Head-To-Head Analysis: Charles River Associates (NASDAQ:CRAI) & CBIZ (NYSE:CBZ)

Charles River Associates (NASDAQ:CRAI) and CBIZ (NYSE:CBZ) are both business services companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, analyst recommendations, earnings, profitability, valuation, risk and institutional ownership.

Valuation & Earnings

This table compares Charles River Associates and CBIZ”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Charles River Associates	$687.41 million	1.95	$46.65 million	$7.41	26.50
CBIZ	$1.81 billion	2.21	$41.04 million	$1.47	50.18

Charles River Associates has higher earnings, but lower revenue than CBIZ. Charles River Associates is trading at a lower price-to-earnings ratio than CBIZ, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Charles River Associates and CBIZ’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Charles River Associates	7.31%	25.88%	9.44%
CBIZ	4.03%	14.83%	6.12%

Volatility & Risk

Charles River Associates has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500. Comparatively, CBIZ has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and target prices for Charles River Associates and CBIZ, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Charles River Associates	0	0	1	0	3.00
CBIZ	0	0	2	0	3.00

Charles River Associates presently has a consensus price target of $228.00, suggesting a potential upside of 16.10%. CBIZ has a consensus price target of $86.00, suggesting a potential upside of 16.59%. Given CBIZ’s higher possible upside, analysts plainly believe CBIZ is more favorable than Charles River Associates.

Institutional and Insider Ownership

84.1% of Charles River Associates shares are owned by institutional investors. Comparatively, 87.4% of CBIZ shares are owned by institutional investors. 5.2% of Charles River Associates shares are owned by insiders. Comparatively, 5.0% of CBIZ shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

About Charles River Associates

CRA International, Inc., together with its subsidiaries, provides economic, financial, and management consulting services worldwide. It advises clients on economic and financial matters pertaining to litigation and regulatory proceedings; and guides corporations through business strategy and performance-related issues. The company also offers consulting services, including research and analysis, expert testimony, and support in litigation and regulatory proceedings in the areas of finance, accounting, economics, insurance, and forensic accounting and investigations to corporate clients and attorneys. In addition, it offers management consulting services comprising strategy development, performance improvement, corporate strategy and portfolio analysis, estimation of market demand, environmental, social and corporate governance and sustainability strategy and analysis, design and implementation of auction and bidding, new product pricing strategies, survey and market research, valuation of intellectual property and other assets, assessment of competitors’ actions, and analysis of new sources of supply. The company serves various industries, including communications and media; consumer, health, and wellness products; energy; entertainment and leisure; financial services; healthcare; life sciences; manufacturing and industries; natural resources; retail and distribution; technology; and transportation. CRA International, Inc. was incorporated in 1965 and is headquartered in Boston, Massachusetts.

About CBIZ

CBIZ, Inc. provides financial, insurance, and advisory services in the United States and Canada. It operates through Financial Services, Benefits and Insurance Services, and National Practices segments. The Financial Services segment offers accounting and tax, financial advisory, valuation, risk and advisory, and government healthcare consulting services. The Benefits and Insurance Services provides employee benefits consulting, payroll/human capital management, property and casualty insurance, and retirement and investment services. The National Practices segment offers information technology managed networking and hardware, and health care consulting services. The company primarily serves small and medium-sized businesses, as well as individuals, governmental entities, and not-for-profit enterprises. CBIZ, Inc. was incorporated in 1987 and is headquartered in Independence, Ohio.