Financial Analysis: YogaWorks (OTCMKTS:YOGAQ) vs. Universal Technical Institute (NYSE:UTI)

Universal Technical Institute (NYSE:UTI) and YogaWorks (OTCMKTS:YOGAQ) are both consumer discretionary companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, risk, earnings, valuation, profitability, analyst recommendations and dividends.

Analyst Ratings

This is a summary of recent ratings and target prices for Universal Technical Institute and YogaWorks, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Universal Technical Institute	0	0	6	1	3.14
YogaWorks	0	0	0	0	0.00

Universal Technical Institute presently has a consensus price target of $35.83, indicating a potential upside of 14.47%. Given Universal Technical Institute’s stronger consensus rating and higher possible upside, analysts plainly believe Universal Technical Institute is more favorable than YogaWorks.

Profitability

This table compares Universal Technical Institute and YogaWorks’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Universal Technical Institute	7.79%	22.12%	8.53%
YogaWorks	N/A	N/A	N/A

Valuation & Earnings

This table compares Universal Technical Institute and YogaWorks”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Universal Technical Institute	$732.69 million	2.33	$42.00 million	$1.14	27.46
YogaWorks	N/A	N/A	N/A	N/A	N/A

Universal Technical Institute has higher revenue and earnings than YogaWorks.

Institutional & Insider Ownership

75.7% of Universal Technical Institute shares are held by institutional investors. 15.1% of Universal Technical Institute shares are held by company insiders. Comparatively, 72.4% of YogaWorks shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

Universal Technical Institute beats YogaWorks on 9 of the 10 factors compared between the two stocks.

About Universal Technical Institute

Universal Technical Institute, Inc. provides transportation, skilled trades, and healthcare education programs in the United States. The company operates in two segments, UTI and Concorde. It offers certificate, diploma, or degree programs under various brands, such as Universal Technical Institute, Motorcycle Mechanics Institute, Marine Mechanics Institute, NASCAR Technical Institute, and MIAT College of Technology. The company also provides manufacturer specific advanced training programs, including student paid electives at its campuses; and manufacturer or dealer sponsored training at various campuses and dedicated training centers. It serves students, partners, and communities by providing education and support services in various fields. Universal Technical Institute, Inc. was founded in 1965 and is headquartered in Phoenix, Arizona.

About YogaWorks

YogaWorks, Inc. operates yoga studios under the YogaWorks and Yoga Tree brand names in the United States. It primarily provides yoga classes, workshops, teacher training programs, and yoga-related retail merchandise. The company offers online yoga instruction and programming services through its MyYogaWorks.com Web platform. As of May 14, 2019, it owned and operated 68 studios in Los Angeles, Orange County, Northern California, New York City, Boston, Baltimore, the Washington, D.C. area, Houston, and Atlanta. The company was formerly known as YWX Holdings, Inc. and changed its name to YogaWorks, Inc. in April 2017. YogaWorks, Inc. was founded in 1987 and is headquartered in Culver City, California. On October 14, 2020, YogaWorks, Inc., a Delaware C-Corporation, along with its affiliate, filed a voluntary petition for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the District of Delaware. The plan was later approved as Chapter 11 liquidation on May 5, 2021.