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NTES vs. OKTA: A Head-to-Head Stock Comparison

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Here’s a clear look at NTES and OKTA, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

NTES trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, OKTA is a standard domestic listing.

SymbolNTESOKTA
Company NameNetEase, Inc.Okta, Inc.
CountryChinaUnited States
GICS SectorCommunication ServicesInformation Technology
GICS IndustryEntertainmentIT Services
Market Capitalization94.99 billion USD16.07 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateJune 30, 2000April 7, 2017
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of NTES and OKTA by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

NTES vs. OKTA: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolNTESOKTA
5-Day Price Return-0.58%2.04%
13-Week Price Return11.31%-8.27%
26-Week Price Return47.44%-19.58%
52-Week Price Return60.43%23.94%
Month-to-Date Return-1.30%-1.15%
Year-to-Date Return68.17%16.37%
10-Day Avg. Volume0.71M2.98M
3-Month Avg. Volume0.81M3.97M
3-Month Volatility29.21%32.47%
Beta0.700.84

Profitability

Return on Equity (TTM)

NTES

24.25%

Entertainment Industry

Max
42.50%
Q3
24.06%
Median
13.69%
Q1
5.35%
Min
-17.95%

In the upper quartile for the Entertainment industry, NTES’s Return on Equity of 24.25% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

OKTA

2.59%

IT Services Industry

Max
32.78%
Q3
19.28%
Median
13.86%
Q1
5.50%
Min
-10.00%

OKTA’s Return on Equity of 2.59% is in the lower quartile for the IT Services industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

NTES vs. OKTA: A comparison of their Return on Equity (TTM) against their respective Entertainment and IT Services industry benchmarks.

Net Profit Margin (TTM)

NTES

31.19%

Entertainment Industry

Max
45.33%
Q3
24.40%
Median
13.94%
Q1
4.28%
Min
-23.67%

A Net Profit Margin of 31.19% places NTES in the upper quartile for the Entertainment industry, signifying strong profitability and more effective cost management than most of its peers.

OKTA

6.08%

IT Services Industry

Max
19.71%
Q3
11.01%
Median
6.66%
Q1
2.96%
Min
-6.22%

OKTA’s Net Profit Margin of 6.08% is aligned with the median group of its peers in the IT Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

NTES vs. OKTA: A comparison of their Net Profit Margin (TTM) against their respective Entertainment and IT Services industry benchmarks.

Operating Profit Margin (TTM)

NTES

31.43%

Entertainment Industry

Max
41.77%
Q3
28.26%
Median
16.13%
Q1
8.03%
Min
-3.93%

An Operating Profit Margin of 31.43% places NTES in the upper quartile for the Entertainment industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

OKTA

3.18%

IT Services Industry

Max
22.44%
Q3
14.90%
Median
8.82%
Q1
4.91%
Min
-9.89%

OKTA’s Operating Profit Margin of 3.18% is in the lower quartile for the IT Services industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

NTES vs. OKTA: A comparison of their Operating Profit Margin (TTM) against their respective Entertainment and IT Services industry benchmarks.

Profitability at a Glance

SymbolNTESOKTA
Return on Equity (TTM)24.25%2.59%
Return on Assets (TTM)17.31%1.80%
Net Profit Margin (TTM)31.19%6.08%
Operating Profit Margin (TTM)31.43%3.18%
Gross Profit Margin (TTM)63.17%76.91%

Financial Strength

Current Ratio (MRQ)

NTES

3.23

Entertainment Industry

Max
6.76
Q3
4.02
Median
1.55
Q1
0.86
Min
0.38

NTES’s Current Ratio of 3.23 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.

OKTA

1.35

IT Services Industry

Max
3.17
Q3
2.00
Median
1.47
Q1
1.05
Min
0.52

OKTA’s Current Ratio of 1.35 aligns with the median group of the IT Services industry, indicating that its short-term liquidity is in line with its sector peers.

NTES vs. OKTA: A comparison of their Current Ratio (MRQ) against their respective Entertainment and IT Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

NTES

0.08

Entertainment Industry

Max
1.54
Q3
0.77
Median
0.16
Q1
0.02
Min
0.00

NTES’s Debt-to-Equity Ratio of 0.08 is typical for the Entertainment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

OKTA

0.13

IT Services Industry

Max
3.11
Q3
1.55
Median
0.55
Q1
0.17
Min
0.00

Falling into the lower quartile for the IT Services industry, OKTA’s Debt-to-Equity Ratio of 0.13 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

NTES vs. OKTA: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Entertainment and IT Services industry benchmarks.

Interest Coverage Ratio (TTM)

NTES

161.13

Entertainment Industry

Max
87.17
Q3
35.59
Median
7.06
Q1
1.13
Min
-44.74

With an Interest Coverage Ratio of 161.13, NTES demonstrates a superior capacity to service its debt, placing it well above the typical range for the Entertainment industry. This stems from either robust earnings or a conservative debt load.

OKTA

-9.31

IT Services Industry

Max
129.00
Q3
56.00
Median
11.69
Q1
0.77
Min
-28.15

OKTA has a negative Interest Coverage Ratio of -9.31. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

NTES vs. OKTA: A comparison of their Interest Coverage Ratio (TTM) against their respective Entertainment and IT Services industry benchmarks.

Financial Strength at a Glance

SymbolNTESOKTA
Current Ratio (MRQ)3.231.35
Quick Ratio (MRQ)3.101.30
Debt-to-Equity Ratio (MRQ)0.080.13
Interest Coverage Ratio (TTM)161.13-9.31

Growth

Revenue Growth

NTES vs. OKTA: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

NTES vs. OKTA: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

NTES

1.90%

Entertainment Industry

Max
2.90%
Q3
1.29%
Median
0.59%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 1.90%, NTES offers a more attractive income stream than most of its peers in the Entertainment industry, signaling a strong commitment to shareholder returns.

OKTA

0.00%

IT Services Industry

Max
2.79%
Q3
1.76%
Median
0.58%
Q1
0.00%
Min
0.00%

OKTA currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

NTES vs. OKTA: A comparison of their Dividend Yield (TTM) against their respective Entertainment and IT Services industry benchmarks.

Dividend Payout Ratio (TTM)

NTES

36.90%

Entertainment Industry

Max
82.30%
Q3
38.45%
Median
29.74%
Q1
0.00%
Min
0.00%

NTES’s Dividend Payout Ratio of 36.90% is within the typical range for the Entertainment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

OKTA

0.00%

IT Services Industry

Max
107.85%
Q3
52.62%
Median
22.53%
Q1
0.00%
Min
0.00%

OKTA has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

NTES vs. OKTA: A comparison of their Dividend Payout Ratio (TTM) against their respective Entertainment and IT Services industry benchmarks.

Dividend at a Glance

SymbolNTESOKTA
Dividend Yield (TTM)1.90%0.00%
Dividend Payout Ratio (TTM)36.90%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

NTES

19.44

Entertainment Industry

Max
92.09
Q3
54.51
Median
28.92
Q1
19.75
Min
2.96

In the lower quartile for the Entertainment industry, NTES’s P/E Ratio of 19.44 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

OKTA

95.72

IT Services Industry

Max
56.41
Q3
33.17
Median
23.17
Q1
16.18
Min
6.62

At 95.72, OKTA’s P/E Ratio is exceptionally high, exceeding the typical maximum for the IT Services industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

NTES vs. OKTA: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Entertainment and IT Services industry benchmarks.

Price-to-Sales Ratio (TTM)

NTES

6.06

Entertainment Industry

Max
12.34
Q3
7.67
Median
5.06
Q1
2.72
Min
0.67

NTES’s P/S Ratio of 6.06 aligns with the market consensus for the Entertainment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

OKTA

5.82

IT Services Industry

Max
5.99
Q3
4.26
Median
1.93
Q1
0.97
Min
0.12

OKTA’s P/S Ratio of 5.82 is in the upper echelon for the IT Services industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

NTES vs. OKTA: A comparison of their Price-to-Sales Ratio (TTM) against their respective Entertainment and IT Services industry benchmarks.

Price-to-Book Ratio (MRQ)

NTES

4.06

Entertainment Industry

Max
22.84
Q3
10.54
Median
6.60
Q1
2.30
Min
0.65

NTES’s P/B Ratio of 4.06 is within the conventional range for the Entertainment industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

OKTA

2.54

IT Services Industry

Max
12.34
Q3
7.54
Median
3.84
Q1
2.52
Min
0.88

OKTA’s P/B Ratio of 2.54 is within the conventional range for the IT Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

NTES vs. OKTA: A comparison of their Price-to-Book Ratio (MRQ) against their respective Entertainment and IT Services industry benchmarks.

Valuation at a Glance

SymbolNTESOKTA
Price-to-Earnings Ratio (TTM)19.4495.72
Price-to-Sales Ratio (TTM)6.065.82
Price-to-Book Ratio (MRQ)4.062.54
Price-to-Free Cash Flow Ratio (TTM)15.0219.19