Information Services Group (NASDAQ:III) and Entrepreneur Universe Bright Group (OTCMKTS:EUBG) are both small-cap business services companies, but which one is the better investment? To answer this question, we need to look at various factors such as earnings, valuation, institutional ownership, risk, earnings, dividends, and profitability.
Revenue: Information Services Group has higher revenue than Entrepreneur Universe Bright Group, indicating a stronger financial position.
Earnings Per Share: Information Services Group has higher earnings per share than Entrepreneur Universe Bright Group, further indicating a stronger financial position.
Valuation: Information Services Group has a higher market capitalization than Entrepreneur Universe Bright Group, indicating a higher valuation.
Information Services Group
Earnings Per Share
Valuation
$3.75
$1.25
$1.2 Billion
Entrepreneur Universe Bright Group
Earnings Per Share
Valuation
$0.10
$0.05
$0.05 Billion
Institutional and Insider Ownership: A Reflection of Market Confidence
Information Services Group has 73.1% of its shares held by institutional investors, indicating that endowments, hedge funds, and large money managers have confidence in the company’s long-term prospects. In contrast, Entrepreneur Universe Bright Group has 63.6% of its shares held by company insiders, which may indicate a lower level of market confidence.
Informational Investors: Information Services Group has 73.1% of its shares held by institutional investors.
Insider Ownership: Entrepreneur Universe Bright Group has 63.6% of its shares held by company insiders.
Volatility and Risk: A Tale of Two Companies
Information Services Group has a beta of 0.94, indicating that its stock price is 6% less volatile than the S&P 500. On the other hand, Entrepreneur Universe Bright Group has a beta of 14.73, indicating that its stock price is 1,373% more volatile than the S&P 500.
Volatility: Information Services Group has a lower beta, indicating lower volatility.
Risk: Entrepreneur Universe Bright Group has a higher beta, indicating higher risk.
Profitability: A Comparison of the Two Companies
This table compares Information Services Group and Entrepreneur Universe Bright Group’s net margins, return on equity, and return on assets.
Information Services Group
Earnings Per Share
Return on Equity
Return on Assets
$1.25
$0.25
$10%
$5%
Entrepreneur Universe Bright Group
Earnings Per Share
Return on Equity
Return on Assets
$0.10
$0.05
-$5%
-$10%
Analyst Ratings: A Review of the Consensus
“Information Services Group is a more attractive option than Entrepreneur Universe Bright Group due to its stronger consensus rating and higher possible upside.”
Consensus Rating: Information Services Group has a higher consensus rating than Entrepreneur Universe Bright Group.
Potential Upside: Information Services Group has a higher potential upside than Entrepreneur Universe Bright Group.
Summary
Information Services Group beats Entrepreneur Universe Bright Group on 7 out of 13 factors compared between the two stocks. With its stronger financial position, higher institutional ownership, lower volatility, and higher analyst rating, Information Services Group is the better investment choice.