Critical Contrast: ATIF (ZBAI) and The Competition

ATIF (NASDAQ:ZBAI) is one of 20 public companies in the “Consulting” industry, but how does it contrast to its rivals? We will compare ATIF to similar businesses based on the strength of its risk, institutional ownership, valuation, analyst recommendations, earnings, profitability and dividends.

Profitability

This table compares ATIF and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ATIF	N/A	-90.49%	-79.46%
ATIF Competitors	7.61%	26.73%	8.45%

Institutional & Insider Ownership

85.1% of shares of all “Consulting” companies are owned by institutional investors. 32.2% of ATIF shares are owned by insiders. Comparatively, 5.6% of shares of all “Consulting” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares ATIF and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
ATIF	$620,000.00	-$3.19 million	-1.13
ATIF Competitors	$3.19 billion	$272.15 million	23.96

ATIF’s rivals have higher revenue and earnings than ATIF. ATIF is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Volatility and Risk

ATIF has a beta of -0.6, suggesting that its share price is 160% less volatile than the S&P 500. Comparatively, ATIF’s rivals have a beta of 0.71, suggesting that their average share price is 29% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and target prices for ATIF and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ATIF	1	0	0	0	1.00
ATIF Competitors	90	734	1309	64	2.61

As a group, “Consulting” companies have a potential upside of 24.92%. Given ATIF’s rivals stronger consensus rating and higher possible upside, analysts plainly believe ATIF has less favorable growth aspects than its rivals.

Summary

ATIF rivals beat ATIF on 12 of the 13 factors compared.

About ATIF

ATIF Holdings Ltd. engages in the provision of financial consulting services. It is also involved in merger and acquisition business advisory, post-listing compliance, management support, and related services. The company was founded on January 5, 2015 and is headquartered in Lake Forest, CA.