Aterian (NASDAQ:ATER) and Deer Consumer Products (OTCMKTS:DEER) are both business services companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, risk, institutional ownership, profitability and dividends.
Analyst Ratings
This is a summary of current ratings and recommmendations for Aterian and Deer Consumer Products, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Aterian | 0 | 0 | 2 | 0 | 3.00 |
| Deer Consumer Products | 0 | 0 | 0 | 0 | N/A |
Aterian presently has a consensus target price of $36.00, suggesting a potential upside of 111.27%. Given Aterian’s higher possible upside, equities research analysts clearly believe Aterian is more favorable than Deer Consumer Products.
Earnings and Valuation
This table compares Aterian and Deer Consumer Products’ revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Aterian | $185.70 million | 2.81 | -$63.13 million | ($1.50) | -11.36 |
| Deer Consumer Products | N/A | N/A | N/A | N/A | N/A |
Deer Consumer Products has lower revenue, but higher earnings than Aterian.
Institutional and Insider Ownership
16.0% of Aterian shares are held by institutional investors. 7.4% of Aterian shares are held by company insiders. Comparatively, 30.2% of Deer Consumer Products shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.
Profitability
This table compares Aterian and Deer Consumer Products’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Aterian | -62.75% | -108.98% | -19.09% |
| Deer Consumer Products | N/A | N/A | N/A |
Volatility & Risk
Aterian has a beta of 4.21, meaning that its share price is 321% more volatile than the S&P 500. Comparatively, Deer Consumer Products has a beta of 59.91, meaning that its share price is 5,891% more volatile than the S&P 500.
Summary
Deer Consumer Products beats Aterian on 5 of the 9 factors compared between the two stocks.
Aterian Company Profile
Aterian, Inc., together with its subsidiaries, operates as a technology-enabled consumer products company in North America and internationally. It provides Artificial Intelligence Mohawk e-Commerce Engine, a software technology platform, which uses machine learning, natural language processing, and data analytics to design, develop, market, and sell products. The company's platform provides home and kitchen appliances; kitchenware, heating, cooling, and health and beauty products; and air quality appliances, such as dehumidifiers, humidifiers, and air conditioners under the hOmeLabs, Vremi, Xtava, RIF6, Aussie Health, Holonix, Truweo, Mueller, Pursteam, Pohl and Schmitt, and Spiralizer brands. It also sells essential oils. The company primarily serves individual online consumers through Amazon and other e-commerce platforms, as well as through its owned and operated websites and other marketplaces. The company was formerly known as Mohawk Group Holdings, Inc. and changes its name to Aterian, Inc. in April 2021. Aterian, Inc. was founded in 2014 and is headquartered in New York, New York.
Deer Consumer Products Company Profile
Deer Consumer Products, Inc., through its subsidiaries, engages in the design, manufacture, and sale of small home and kitchen electronic appliances. It offers blenders, juicers, soy milk makers, food processors, popcorn makers, meat grinders, coffee machines, and hot water kettles primarily under the Deer brand name, as well as under one store brand for retailer's private label programs. Deer Consumer Products also offers humidifiers and dehumidifiers, rice cookers, and toasters. The company sells its products to consumer product companies internationally; and to retail stores through agents in the People's Republic of China. It also operates as an original design manufacturer and original equipment manufacturer. The company was formerly known as Tag Events Corp. and changed its name to Deer Consumer Products, Inc. in September 2008. Deer Consumer Products, Inc. is based in Shenzhen, the People's Republic of China.