Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 7 stocks made the list for top value stocks in the Interactive Media & Services industry. Those looking for value stocks to add to their portfolio may want to use this list as a starting point for further investment research.

Why Focus on Undervalued Interactive Media & Services Stocks?

Value investors seek to buy stocks at a discount to their intrinsic value. Long-term returns show that such strategies are advantageous. Value stocks, as a group, tend to outperform growth stocks over extended periods of time. Typically, value investors perform financial analysis of numerous metrics, don’t follow the herd and are long-term investors.

AAII’s A+ Investor Value Grade is derived from a stock’s Value Score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

What Goes Into AAII’s Value Grade?

Stock evaluation requires access to huge amounts of data as well as the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movement. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors with that task.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A–F grades for more than just value. It is possible for a stock to appear cheap based on one valuation metric but appear expensive on another. It is also possible for one valuation ratio to be associated with outperforming stocks during certain periods of time but not others. Some stocks may even have null values for certain metrics like the price-earnings ratio or the price-to-book ratio but not others. An example of this would be a company with losses instead of profits or a negative book value because of heavy borrowing. Negative earnings or book value result in non-meaningful ratios that are left blank or null.

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7 Undervalued Interactive Media & Services Stocks

Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 7 undervalued stocks in the Interactive Media & Services industry for Friday, November 08, 2024. Let’s take a closer look at their individual scores to see how they measure up against each other and the Interactive Media & Services industry median.

The Value Grade is assigned based on how each stock’s composite valuation compares to all other stocks.

The process for assigning grades starts with each variable for a given stock. The percentile rankings for all valid ratios that a stock has are calculated. So, for instance, a stock could have a price-to-book ranking in the 43rd percentile, a price-earnings ranking in the 67th percentile, a price-to-sales ranking in the 23rd percentile, etc. Then, those rankings are averaged for each stock. (A minimum of two valid variables are required, though all six will be used if available.)

Once the average of the individual variables is calculated, that average is ranked against all stocks. Put another way, each stock’s composite valuation is compared to all other stocks. These ranks are then sorted into quintiles from the cheapest 20% (a grade of A) to the most expensive 20% (a grade of F).

As always, we recommend that you conduct proper due diligence and research before investing in any security. We also suggest that investors utilize numerous grades, not just value, when it comes to deciding whether a company is a good fit for their allocation needs.

9F Inc.’s Value Grade

Value Grade:

9F Inc., together with its subsidiaries, provides digital technology services in the People’s Republic of China and Hong Kong. It offers technology empowerment services to the banking, automobile, securities investment, and insurance industries; e-commerce business services through third-party e-commerce platforms, which offers various categories of merchandise, including 3C products, beauty and skin care products, food, household appliances, and liquor and beverages, as well as customer services; and wealth management and investment advisory services. The company also provides internet securities services, such as real time trading information and professional news push notification services; online whole-process account opening services using facial recognition and e-signatures; transfer, FPS, and EDDA deposit and withdrawal services; multi-category trading services; and account design services, as well as fund sales and insurance brokerage services. In addition, the company offers technical services, including operation and marketing support services, and customized software development, etc. The company serves borrowers, investors, and financial institutions partners. The company was formerly known as JIUFU Financial Technology Service Limited and changed its name to 9F Inc. in June 2014. 9F Inc. was founded in 2006 and is based in Beijing, the People’s Republic of China.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

9F Inc. has a Value Score of 74, which is considered to be undervalued.

When you look at 9F Inc.’s price-to-sales ratio at 0.06 compared to the industry median at 1.12, this company has a lower price relative to revenue compared to its peers. This could make 9F Inc.’s stock more attractive for value investors.

9F Inc.’s price-earnings ratio is 16.50 compared to the industry median at 26.05. This means it has a lower share price relative to earnings compared to its peers. This could make 9F Inc. more attractive for value investors.

Now, let’s assess 9F Inc.’s EV/EBITDA ratio, also known as enterprise multiple. At 25.1, when compared to the industry median of 13.3, the company may be considered overvalued in relation to its peers. Value investors could use the enterprise multiple to identify stocks that are considered overvalued or undervalued relative to their industry.

Shareholder yield is the sum of a stock’s dividend yield (paid over previous 12 months minus special dividends) and the percentage of net share buybacks over the previous 12 months. 9F Inc.’s shareholder yield is higher than its industry median ratio of (0.60%). Value investors may look for an attractive shareholder yield because it can be a powerful tool for identifying if the company has a good management team.

Lastly, let’s take a look at 9F Inc.’s price-to-free-cash-flow ratio (P/FCF), which can indicate a company’s market value relative to its operating cash flow. 9F Inc.’s price-to-free-cash-flow ratio is lower than its industry median ratio of 15.80. This could make 9F Inc. more attractive because the lower P/FCF ratio indicates that 9F Inc. is undervalued. The P/FCF ratio metric can also be viewed over a long-term time frame to see if the company's cash flow to share price value is generally improving or worsening.

Hello Group Inc.’s Value Grade

Value Grade:

Hello Group Inc. provides mobile-based social and entertainment services in the People’s Republic of China. It operates in three segments: Momo, Tantan, and QOOL. The company offers Momo, a mobile application that connects people and facilitates social interactions based on location, interests, and various online recreational activities, including live talent shows, short videos, social games, as well as other video- and audio-based interactive experiences, such as online parties, mobile karaoke and user participated reality shows; Tantan, a social and dating application; and other applications under the Hertz, Soulchill, Duidui, and Tietie names. The company also provides livestream services for various content and activities comprising talent shows, such as singing, dancing, and talk shows, as well as casual chatting, and other forms of interactions between broadcasters and viewers; value-added services; advertising and marketing services; and mobile games. The company was formerly known as Momo Inc. and changed its name to Hello Group Inc. in August 2021. Hello Group Inc. was incorporated in 2011 and is headquartered in Beijing, the People’s Republic of China.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Hello Group Inc. has a Value Score of 100, which is considered to be undervalued.

Hello Group Inc.’s price-earnings ratio is 7.3 compared to the industry median at 26.0. This means that it has a lower price relative to its earnings compared to its peers. This makes Hello Group Inc. more attractive for value investors.

Hello Group Inc.’s price-to-book ratio is higher than its peers. This could make Hello Group Inc. less attractive for value investors when compared to the industry median at 1.13.

You can read more about Hello Group Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Nebius Group N.V.’s Value Grade

Value Grade:

Nebius Group N.V., a technology company, provides infrastructure and services for AI builders worldwide. Its businesses include Nebius, an AI-centric cloud platform built for intensive AI workloads. Nebius builds full-stack infrastructure for AI, including large-scale GPU clusters, cloud platforms, and tools and services for developers. The company’s businesses also comprise Toloka, a data partner for various stages of generative AI development from training to evaluation; TripleTen, an edtech player re-skilling people for careers in tech; and Avride, which develops autonomous driving technology for self-driving cars and delivery robots. The company was formerly known as Yandex N.V. and changed its name to Nebius Group N.V. in August 2024. Nebius Group N.V. was founded in 1989 and is headquartered in Amsterdam, the Netherlands.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Nebius Group N.V. has a Value Score of 81, which is considered to be undervalued.

Nebius Group N.V.’s price-earnings ratio is 20.4 compared to the industry median at 26.0. This means that it has a lower price relative to its earnings compared to its peers. This makes Nebius Group N.V. more attractive for value investors.

Nebius Group N.V.’s price-to-book ratio is lower than its peers. This could make Nebius Group N.V. more attractive for value investors when compared to the industry median at 1.13.

You can read more about Nebius Group N.V.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Oriental Culture Holding LTD’s Value Grade

Value Grade:

Oriental Culture Holding LTD, through its subsidiaries, operates an online platform to facilitate e-commerce trading of artwork and collectables in China and Hong Kong. The company facilitates trading by individual and institutional customers of various collectibles, artworks, and commodities on its online platforms. It also provides online and offline integrated marketing, storage, and technical maintenance services. In addition, the company offers industry solutions and related software products, and system development and technical support services. Further, it is involved in the development of Wine and Spirits metaverse project. Oriental Culture Holding LTD was incorporated in 2018 and is headquartered in Central, Hong Kong.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Oriental Culture Holding LTD has a Value Score of 85, which is considered to be undervalued.

Oriental Culture Holding LTD’s price-to-book ratio is higher than its peers. This could make Oriental Culture Holding LTD less attractive for value investors when compared to the industry median at 1.13.

You can read more about Oriental Culture Holding LTD’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

So-Young International Inc.’s Value Grade

Value Grade:

So-Young International Inc. operates an online platform for consumption healthcare services in the People’s Republic of China. The company offers So-Young Mobile App that offers users medical aesthetic knowledge and experience to reach an informed medical aesthetic treatment decision and make reservations for treatment with medical professionals and medical aesthetic institutions; So-Young Beauty which provides similar interfaces and functions as the mobile app, as well as serves as additional access points to the platform; and medical aesthetic community content through its website soyoung.com. It provides content in various media formats on its online platform generated by users, including professional generated, content from in-house editorial team that shares opinions on specific new medical procedures and trends; user generated content comprising Beauty Diaries that provides details about medical institution, doctor, price, and other information on the treatment; professional user generated, contents from the medical aesthetic influencers; and doctor generated, content from doctors to generate knowledge. In addition, the company offers consumption healthcare services, including dermatology, dentistry and orthodontics, physical examinations, gynecology, and postnatal care; reservation services; and software as a service. Further, it engages in research and development, production, sales, and agency of laser and other optoelectronic medical beauty equipment; manufacture and sells light therapy device, surgical laser device and other equipment; internet information and technology advisory; online medical treatment and consultation; management consulting; internet culture; micro finance services, as well as sells cosmetics products. The company was founded in 2013 and is headquartered in Beijing, China.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

So-Young International Inc. has a Value Score of 82, which is considered to be undervalued.

So-Young International Inc.’s price-earnings ratio is 20.7 compared to the industry median at 26.0. This means that it has a lower price relative to its earnings compared to its peers. This makes So-Young International Inc. more attractive for value investors.

So-Young International Inc.’s price-to-book ratio is higher than its peers. This could make So-Young International Inc. less attractive for value investors when compared to the industry median at 1.13.

You can read more about So-Young International Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

VS MEDIA Holdings Limited’s Value Grade

Value Grade:

VS MEDIA Holdings Limited, an investment holding company, operates a network of digital creators who create and upload content to social media platforms in Hongkong and Taiwan. It provides marketing services for brands, including strategy development, creator selection, branding and messaging, content creation and distribution, social media amplification, social media engagement, and data insights and measurement; and creates and publishes content on social media platforms. The company also resells brands’ products to its creators and helps them to build their own e-commerce businesses; and sells products directly to customers. It serves creators in the lifestyle, travel, food, gaming, travel and tourism, fast-moving consumer goods, and retail sectors. VS MEDIA Holdings Limited was founded in 2013 and is headquartered in Kwun Tong, Hong Kong.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

VS MEDIA Holdings Limited has a Value Score of 84, which is considered to be undervalued.

VS MEDIA Holdings Limited’s price-to-book ratio is higher than its peers. This could make VS MEDIA Holdings Limited less attractive for value investors when compared to the industry median at 1.13.

You can read more about VS MEDIA Holdings Limited’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Weibo Corporation’s Value Grade

Value Grade:

Weibo Corporation, through its subsidiaries, operates as a social media platform for people to create, discover, and distribute content in the People’s Republic of China. It operates in two segments, Advertising and Marketing Services; and Value-Added Services. The company offers discovery products to help users discover content on its platform; self-expression products that enable its users to express themselves on its platform; and social products to promote social interaction between users on its platform. It also provides advertising and marketing solutions, such as social display advertisements; and promoted marketing offerings, such as Fans Headline and Weibo Express promoted feeds, as well as promoted trends and search products that appear alongside user’s trends discovery and search behaviors. In addition, the company offers products, such as trends, search, video/live streaming, and editing tools; content customization, copyright contents pooling, and user interaction development; and search list recommendation, trends list recommendation, and Weibo app opening advertisements. Further, it provides back-end management, traffic support, and product services for better displaying and promotion of its account and content; open application platform for other app developers that allows users to log into third-party applications with their Weibo account for sharing third-party content on its platform; and Weibo Wallet, a product that enables platform partners to conduct interest generation activities on Weibo, such as handing out red envelops and coupons. The company was formerly known as T.CN Corporation and changed its name to Weibo Corporation in 2012. The company was founded in 2009 and is headquartered in Beijing, the People’s Republic of China.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Weibo Corporation has a Value Score of 92, which is considered to be undervalued.

Weibo Corporation’s price-earnings ratio is 7.2 compared to the industry median at 26.0. This means that it has a lower price relative to its earnings compared to its peers. This makes Weibo Corporation more attractive for value investors.

Weibo Corporation’s price-to-book ratio is higher than its peers. This could make Weibo Corporation less attractive for value investors when compared to the industry median at 1.13.

You can read more about Weibo Corporation’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Other Interactive Media & Services Stock Grades

Value is just one of the five Stock Grades included in our A+ Investor service. AAII members can see the top-graded stocks—those with grades of A or B for value, growth, momentum, earnings estimate revisions and quality—on the A+ Stock Grades Screener.

Also, if you want full access to all of AAII’s premium services, you can subscribe to one convenient bundled plan called AAII Platinum where you can try out A+ Investor, AAII Dividend Investing, the Stock Superstars Report, Growth Investing and VMQ Stocks. With the other premium services, you can dive deep into additional metrics, portfolios, commentary and information about Interactive Media & Services stocks as well as other industrys.

Choosing Which of the 7 Best Interactive Media & Services Stocks Is Right for You

Choosing which value stocks to invest in will ultimately depend on your individual goals and allocation; however, comparing similar value stocks in the same industry can help you analyze which might be better investments for you in the long run. So, let’s take a look at the Value Grade for all of our stocks.

• 9F Inc. stock has a Value Grade of B.
• Hello Group Inc. stock has a Value Grade of A.
• Nebius Group N.V. stock has a Value Grade of A.
• Oriental Culture Holding LTD stock has a Value Grade of A.
• So-Young International Inc. stock has a Value Grade of A.
• VS MEDIA Holdings Limited stock has a Value Grade of A.
• Weibo Corporation stock has a Value Grade of A.

Now that you have a bit more background about each of the 7 undervalued stocks in the Interactive Media & Services industry as well as their overall grades, it’s time for you to conduct additional research to see if these could fit your portfolio needs based on your goals and risk tolerance. AAII can help you figure out both and identify which investments align with what works best for you.

We do so through a program of education that teaches you to invest for yourself and become an effective manager of your own wealth—no more relying on others for your financial independence. You can rely on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis that makes you a better investor.

A+ Investor adds to that qualitative teaching by giving you a powerful data suite that helps you whittle down investment decisions to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

Additional Resources About Interactive Media & Services Stocks

Want to learn more about Interactive Media & Services stocks to see if they could be the right investment for you? Check out some additional resources and articles to help you on your financial journey.

• 7 Undervalued Interactive Media & Services Stocks for Friday, November 08
• 6 Undervalued Interactive Media & Services Stocks for Thursday, November 07
• 3 Undervalued Interactive Media & Services Stocks for Wednesday, November 06
• 4 Undervalued Interactive Media & Services Stocks for Tuesday, November 05

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith and we accept no liability for any errors or omissions. The full disclaimer can be read here.