Gravity Co Ltd (GRVY)vsNetEase Inc (NTES)
GRVY
Gravity Co Ltd
$62.01
-1.07%
COMMUNICATION SERVICES · Cap: $423.88M
NTES
NetEase Inc
$113.06
+0.82%
COMMUNICATION SERVICES · Cap: $74.82B
Smart Verdict
WallStSmart Research — data-driven comparison
Gravity Co Ltd generates 398% more annual revenue ($561.21B vs $112.63B). NTES leads profitability with a 30.0% profit margin vs 13.9%. GRVY trades at a lower P/E of 8.2x. NTES earns a higher WallStSmart Score of 65/100 (C+).
GRVY
Buy50
out of 100
Grade: C-
NTES
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-31.3%
Fair Value
$50.80
Current Price
$62.01
$11.21 premium
Margin of Safety
-129.0%
Fair Value
$51.75
Current Price
$113.06
$61.31 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Keeps 30 of every $100 in revenue as profit
Strong operational efficiency at 30.2%
Generating 14.3B in free cash flow
Large-cap with strong market position
Every $100 of equity generates 23 in profit
Attractively priced relative to earnings
Areas to Watch
Smaller company, higher risk/reward
Earnings declined 11.2%
Trading at 15.5x book value
3.0% revenue growth
Earnings declined 29.4%
Comparative Analysis Report
WallStSmart ResearchBull Case : GRVY
The strongest argument for GRVY centers on P/E Ratio, Price/Book, Altman Z-Score. Revenue growth of 10.9% demonstrates continued momentum.
Bull Case : NTES
The strongest argument for NTES centers on Profit Margin, Operating Margin, Free Cash Flow. Profitability is solid with margins at 30.0% and operating margin at 30.2%. PEG of 1.27 suggests the stock is reasonably priced for its growth.
Bear Case : GRVY
The primary concerns for GRVY are Market Cap, EPS Growth.
Bear Case : NTES
The primary concerns for NTES are Price/Book, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
GRVY carries more volatility with a beta of 1.05 — expect wider price swings.
GRVY is growing revenue faster at 10.9% — sustainability is the question.
Monitor ELECTRONIC GAMING & MULTIMEDIA industry trends, competitive dynamics, and regulatory changes.
Bottom Line
NTES scores higher overall (65/100 vs 50/100), backed by strong 30.0% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Gravity Co Ltd
COMMUNICATION SERVICES · ELECTRONIC GAMING & MULTIMEDIA · USA
Gravity Co., Ltd. develops, publishes, and distributes online games primarily in South Korea, Taiwan, Thailand, the Philippines, and internationally. The company is headquartered in Seoul, South Korea.
Visit Website →NetEase Inc
COMMUNICATION SERVICES · ELECTRONIC GAMING & MULTIMEDIA · China
NetEase, Inc. offers online services that focus on gaming, communication, and commerce in the People's Republic of China and internationally. The company is headquartered in Hangzhou, the People's Republic of China.
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