UMeWorld (OTCMKTS:UMEWF) & LivePerson (NASDAQ:LPSN) Critical Analysis

UMeWorld (OTCMKTS:UMEWF) and LivePerson (NASDAQ:LPSN) are both small-cap computer and technology companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, earnings, valuation, institutional ownership, risk, profitability and analyst recommendations.

Profitability

This table compares UMeWorld and LivePerson’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
UMeWorld	N/A	N/A	N/A
LivePerson	-24.23%	-101.10%	-5.77%

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for UMeWorld and LivePerson, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
UMeWorld	0	0	0	0	N/A
LivePerson	1	6	1	0	2.00

LivePerson has a consensus price target of $1.32, suggesting a potential upside of 9.71%. Given LivePerson’s higher possible upside, analysts clearly believe LivePerson is more favorable than UMeWorld.

Institutional & Insider Ownership

79.8% of LivePerson shares are held by institutional investors. 6.0% of UMeWorld shares are held by company insiders. Comparatively, 9.0% of LivePerson shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Volatility & Risk

UMeWorld has a beta of -1.84, meaning that its stock price is 284% less volatile than the S&P 500. Comparatively, LivePerson has a beta of 1.73, meaning that its stock price is 73% more volatile than the S&P 500.

Earnings and Valuation

This table compares UMeWorld and LivePerson’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
UMeWorld	N/A	N/A	-$310,000.00	N/A	N/A
LivePerson	$361.82 million	0.27	-$100.43 million	($1.44)	-0.76

UMeWorld has higher earnings, but lower revenue than LivePerson.

Summary

LivePerson beats UMeWorld on 6 of the 10 factors compared between the two stocks.

About UMeWorld

UMeWorld Limited, together with its subsidiaries, operates as an educational technology company with a focus on the K-12 education market in China. It offers UMFun, an online learning and assessment platform used by teachers and students. The company engages in the marketing and selling of cooking oils and nutritional supplements. It serves schools, teachers, students, and parents through online platforms. The company was formerly known as AlphaRx, Inc. and changed its name to UMeWorld Limited in March 2013. UMeWorld Limited was incorporated in 1997 and is based in Miami, Florida.

About LivePerson

LivePerson, Inc. engages in conversational artificial intelligence. It enables brands to leverage the Conversational Cloud's intelligence engine to connect with consumers through an integrated suite of mobile and online business messaging technologies. The company offers the Conversational Cloud, an enterprise-class digital customer conversation platform, which enables businesses and consumers to connect through conversational channels, such as voice, in-app, and mobile messaging. It also provides professional services; LivePerson's Conversational AI, including conversation builder, manager, and intelligence, and intent manager. In addition, it provides Voice AI, conversational intelligence and insights, and integration services. The company sells its products to Fortune 500 companies, Internet businesses, online merchants, automotive dealers, educational institution, public sector, and not-for-profit organizations. It operates in the United States, Canada, Latin America, South America, Europe, the Middle East, Africa, the United Kingdom, and the Asia-Pacific. LivePerson, Inc. was incorporated in 1995 and is headquartered in New York, New York.