Financial Analysis: Perdoceo Education (NASDAQ:PRDO) versus China Bilingual Technology & Education Group (OTCMKTS:CATG)

Perdoceo Education (NASDAQ:PRDO) and China Bilingual Technology & Education Group (OTCMKTS:CATG) are both consumer discretionary companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, risk, earnings, dividends, valuation, analyst recommendations and institutional ownership.

Profitability

This table compares Perdoceo Education and China Bilingual Technology & Education Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Perdoceo Education	20.09%	17.13%	13.41%
China Bilingual Technology & Education Group	N/A	N/A	N/A

Insider & Institutional Ownership

93.5% of Perdoceo Education shares are owned by institutional investors. 2.1% of Perdoceo Education shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Perdoceo Education and China Bilingual Technology & Education Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Perdoceo Education	$681.26 million	3.54	$147.59 million	$2.31	16.08
China Bilingual Technology & Education Group	N/A	N/A	N/A	N/A	N/A

Perdoceo Education has higher revenue and earnings than China Bilingual Technology & Education Group.

Analyst Ratings

This is a summary of recent recommendations and price targets for Perdoceo Education and China Bilingual Technology & Education Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Perdoceo Education	0	0	1	0	3.00
China Bilingual Technology & Education Group	0	0	0	0	0.00

Perdoceo Education presently has a consensus target price of $42.00, suggesting a potential upside of 13.06%. Given Perdoceo Education’s stronger consensus rating and higher possible upside, research analysts clearly believe Perdoceo Education is more favorable than China Bilingual Technology & Education Group.

Volatility & Risk

Perdoceo Education has a beta of 0.88, suggesting that its stock price is 12% less volatile than the S&P 500. Comparatively, China Bilingual Technology & Education Group has a beta of -2.25, suggesting that its stock price is 325% less volatile than the S&P 500.

Summary

Perdoceo Education beats China Bilingual Technology & Education Group on 10 of the 10 factors compared between the two stocks.

About Perdoceo Education

Perdoceo Education Corporation provides postsecondary education through online, campus-based, and blended learning programs in the United States. It operates in two segments, Colorado Technical University and The American InterContinental University System. The Colorado Technical University segment offers academic programs, such as business and management, nursing, healthcare management, computer science, engineering, information systems and technology, project management, cybersecurity, and criminal justice. The American InterContinental University System segment provides academic programs, including business studies, information technologies, education, and health sciences. The company also offers non-degree and professional development programs. In addition, it operates intellipath, a learning platform used to educate students; and a mobile application and two-way messaging platform. The company was formerly known as Career Education Corporation and changed its name to Perdoceo Education Corporation in January 2020. Perdoceo Education Corporation was incorporated in 1994 and is headquartered in Schaumburg, Illinois.

About China Bilingual Technology & Education Group

Capstone Technologies Group, Inc. intends to operate as a holding company. It engages in customer data platform market, and provides software design, development, and other services. The company was formerly known as China Bilingual Technology & Education Group Inc. and changed its name to Capstone Technologies Group, Inc. in April 2017. Capstone Technologies Group, Inc. is based in Charlotte, North Carolina.