Comparing Fujian Blue Hat Interactive Entertainment Technology (NASDAQ:BHAT) & SRM Entertainment (NASDAQ:SRM)

Fujian Blue Hat Interactive Entertainment Technology (NASDAQ:BHAT) and SRM Entertainment (NASDAQ:SRM) are both small-cap consumer discretionary companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, profitability, risk, analyst recommendations, institutional ownership, dividends and earnings.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Fujian Blue Hat Interactive Entertainment Technology and SRM Entertainment, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fujian Blue Hat Interactive Entertainment Technology	0	0	0	0	N/A
SRM Entertainment	0	0	0	0	N/A

Volatility and Risk

Fujian Blue Hat Interactive Entertainment Technology has a beta of 1.12, indicating that its stock price is 12% more volatile than the S&P 500. Comparatively, SRM Entertainment has a beta of 1.85, indicating that its stock price is 85% more volatile than the S&P 500.

Institutional and Insider Ownership

1.9% of Fujian Blue Hat Interactive Entertainment Technology shares are owned by institutional investors. Comparatively, 1.6% of SRM Entertainment shares are owned by institutional investors. 26.2% of Fujian Blue Hat Interactive Entertainment Technology shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Fujian Blue Hat Interactive Entertainment Technology and SRM Entertainment”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fujian Blue Hat Interactive Entertainment Technology	$73.69 million	0.07	-$19.30 million	N/A	N/A
SRM Entertainment	$5.76 million	1.28	-$2.05 million	($0.45)	-1.58

SRM Entertainment has lower revenue, but higher earnings than Fujian Blue Hat Interactive Entertainment Technology.

Profitability

This table compares Fujian Blue Hat Interactive Entertainment Technology and SRM Entertainment’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fujian Blue Hat Interactive Entertainment Technology	N/A	N/A	N/A
SRM Entertainment	-92.34%	-118.78%	-107.39%

Summary

Fujian Blue Hat Interactive Entertainment Technology beats SRM Entertainment on 6 of the 9 factors compared between the two stocks.

About Fujian Blue Hat Interactive Entertainment Technology

Fujian Blue Hat Interactive Entertainment Technology Ltd. designs, produces, promotes, and sells animated toys with mobile games features, intellectual property, and peripheral derivatives features worldwide. It offers AR Racer, a car-racing mobile game; AR Crazy Bug, a combat game played using a ladybug-shaped electronic toy; AR 3D Magic Box, which uses AR recognition technology to allow children to draw shapes or objects onto a physical card while the mobile game captures the drawings and animates them onto a set background; AR Dinosaur, an educational toy; and AR Shake Bouncing Bubble, which helps children to improve concentration and reaction, as well as Talking Tom and Friends' Bouncing Bubble. The company also holds license to sell products with WUHUANGWANSHUI brand images. Its distribution channels include domestic distributors, e-commerce platforms, supermarkets, and export distributors. Fujian Blue Hat Interactive Entertainment Technology Ltd. was incorporated in 2010 and is based in Xiamen, China.

About SRM Entertainment

SRM Entertainment, Inc. designs, manufactures, and sells toys and souvenirs to theme parks. It sells its products through amusement parks, entertainment venues, and theme hotels in the United States, China, Japan, and internationally. The company was incorporated in 2022 and is based in Jupiter, Florida.