Star Fashion Culture (NASDAQ:STFS) & USA Today (NYSE:TDAY) Head-To-Head Contrast

USA Today (NYSE:TDAY) and Star Fashion Culture (NASDAQ:STFS) are both small-cap business services companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, institutional ownership, earnings, analyst recommendations, risk, profitability and valuation.

Institutional and Insider Ownership

76.7% of USA Today shares are owned by institutional investors. 4.2% of USA Today shares are owned 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.

Valuation and Earnings

This table compares USA Today and Star Fashion Culture”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
USA Today	$2.51 billion	0.34	-$26.35 million	$0.21	27.81
Star Fashion Culture	$120.79 million	0.01	-$18.26 million	N/A	N/A

Star Fashion Culture has lower revenue, but higher earnings than USA Today.

Profitability

This table compares USA Today and Star Fashion Culture’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
USA Today	4.11%	42.98%	3.97%
Star Fashion Culture	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings and target prices for USA Today and Star Fashion Culture, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
USA Today	0	2	1	0	2.33
Star Fashion Culture	1	0	0	0	1.00

USA Today presently has a consensus price target of $5.55, suggesting a potential downside of 4.97%. Given USA Today’s stronger consensus rating and higher possible upside, equities research analysts clearly believe USA Today is more favorable than Star Fashion Culture.

Risk & Volatility

USA Today has a beta of 1.52, indicating that its stock price is 52% more volatile than the S&P 500. Comparatively, Star Fashion Culture has a beta of 0.21, indicating that its stock price is 79% less volatile than the S&P 500.

Summary

USA Today beats Star Fashion Culture on 11 of the 12 factors compared between the two stocks.

About USA Today

Gannett Co Inc. invests in, owns, and operates local media assets in the United States. The company’s principal products include 125 daily newspapers with total paid circulation of approximately 1.4 million; 314 weekly newspapers with total paid circulation of approximately 315,000 and total free circulation of approximately 1.9 million; 124 shoppers with total circulation of approximately 3.0 million; and 538 locally-focused Websites, including Internet and mobile devices with approximately 224 million page views per month. Its principal products also comprise 2 yellow page directories with a total distribution of approximately 230,000 that cover a population of approximately 411,000 people; 68 business publications; and Propel digital marketing and business services. In addition, the company produces niche publications that address specific local market interests, such as recreation, sports, healthcare, and real estate. Further, it provides print and online products that offer local market news and information on various topics comprising local news and politics, community and regional events, youth sports, opinion and editorial pages, local schools, obituaries, weddings, and police reports, as well as print and digital advertising products, as well as commercial printing and regional business-oriented publications services. The company reaches approximately 20 million people per week; and serves approximately 220,000 business customers. New Media Investment Group Inc. was founded in 1997 and is based in New York, New York.

About Star Fashion Culture

Star Fashion Culture Holdings Limited provides content marketing solutions services in the People’s Republic of China. It offers marketing campaign planning and execution services; offline advertising services; and online precision marketing services. The company was founded in 2015 and is based in Xiamen, the People’s Republic of China. Star Fashion Culture Holdings Limited operates as a subsidiary of Xingji ZhangPingting Limited.