ATA (NASDAQ:ATAI) and China Distance Education (NYSE:DL) are both small-cap consumer discretionary companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, dividends, valuation, profitability, risk, earnings and institutional ownership.
ATA has a beta of 1.57, indicating that its share price is 57% more volatile than the S&P 500. Comparatively, China Distance Education has a beta of 1.3, indicating that its share price is 30% more volatile than the S&P 500.
This is a summary of recent recommendations and price targets for ATA and China Distance Education, as reported by MarketBeat.com.
1.6% of ATA shares are held by institutional investors. Comparatively, 20.9% of China Distance Education shares are held by institutional investors. 52.9% of ATA shares are held by insiders. Comparatively, 41.6% of China Distance Education shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.
This table compares ATA and China Distance Education’s net margins, return on equity and return on assets.
This table compares ATA and China Distance Education’s gross revenue, earnings per share (EPS) and valuation.
China Distance Education has higher revenue and earnings than ATA.
China Distance Education beats ATA on 5 of the 9 factors compared between the two stocks.
China Distance Education Holdings Limited provides online and offline education services, and sells related products in the People's Republic of China. It operates in three segments: Professional Education Services, Business Start-Up Training Services, and The Sale of Learning Simulation Software. The company offers online professional education services in accounting, healthcare, and engineering and construction industries; and other professional education courses, such as online test-preparation courses for the legal professional qualification examination and self-taught learners pursuing higher education diplomas or degrees, test preparation courses for university students, accounting practical skills training courses, and online language courses. Its online courses feature pre-recorded audio-video lectures taught by experts; and other content, such as course outlines, exercise questions, mock exams, and frequently asked questions and answers. The company's online lectures are supplemented by its proprietary Learning Management System, which tracks individual study progress, records course notes, and collects incorrectly answered questions. As of September 30, 2018, it operated 32 Websites, including its primary Website cdeledu.com. The company also operates an Open Learning Platform, a proprietary education platform to share educational content and deliver live courses online; and sells proprietary books and reference materials. In addition, it provides business start-up training services to university students, job seekers, and individuals; offline accounting, tax, healthcare, and legal professional training services; courseware production and online platform development services; and mobile accounting, healthcare, engineering and construction, and legal courses through an app, as well as sells learning simulation software to the college market. The company was founded in 2000 and is based in Beijing, the People's Republic of China.