Analyzing ATA (NASDAQ:AACG) and China Bilingual Technology & Education Group (OTCMKTS:CATG)

ATA (NASDAQ:AACG) and China Bilingual Technology & Education Group (OTCMKTS:CATG) are both small-cap consumer discretionary companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, institutional ownership, analyst recommendations, risk, valuation, earnings and dividends.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for ATA and China Bilingual Technology & Education Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ATA	1	0	0	0	1.00
China Bilingual Technology & Education Group	0	0	0	0	0.00

Profitability

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

	Net Margins	Return on Equity	Return on Assets
ATA	-3.08%	-13.12%	-1.88%
China Bilingual Technology & Education Group	N/A	N/A	N/A

Insider & Institutional Ownership

0.7% of ATA shares are owned by institutional investors. 52.9% of ATA shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares ATA and China Bilingual Technology & Education Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ATA	$36.72 million	0.69	-$4.95 million	($0.02)	-40.01
China Bilingual Technology & Education Group	N/A	N/A	N/A	N/A	N/A

China Bilingual Technology & Education Group has lower revenue, but higher earnings than ATA.

Volatility & Risk

ATA has a beta of 1.04, suggesting that its stock price is 4% more 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

ATA beats China Bilingual Technology & Education Group on 5 of the 8 factors compared between the two stocks.

About ATA

ATA Creativity Global, together with its subsidiaries, provides educational services to individual students through its training center network in China and internationally. Its educational services include portfolio training, research-based learning, overseas study counselling, in-school art classes through cooperation with high schools and training organizations, foreign language training services, junior art education, and other related educational services to its students. The company also offers online courses for students. It provides its services through partnership with sales channels, internet and mobile advertisement, word of mouth referral, and marketing events and activities. The company was formerly known as ATA Inc. and changed its name to ATA Creativity Global in September 2019. ATA Creativity Global was founded in 1999 and is headquartered in Hefei, China.

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.