Head to Head Survey: QuantaSing Group (NASDAQ:QSG) vs. Gravitas Education (NYSE:GEHI)

QuantaSing Group (NASDAQ:QSG) and Gravitas Education (NYSE:GEHI) are both small-cap consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their valuation, institutional ownership, dividends, risk, earnings, analyst recommendations and profitability.

Profitability

This table compares QuantaSing Group and Gravitas Education’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
QuantaSing Group	-3.58%	N/A	-12.28%
Gravitas Education	N/A	N/A	N/A

Insider and Institutional Ownership

0.0% of QuantaSing Group shares are held by institutional investors. Comparatively, 8.5% of Gravitas Education shares are held by institutional investors. 64.1% of Gravitas Education shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares QuantaSing Group and Gravitas Education’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
QuantaSing Group	$424.94 million	0.30	-$14.97 million	N/A	N/A
Gravitas Education	$50.01 million	0.62	-$41.37 million	N/A	N/A

QuantaSing Group has higher revenue and earnings than Gravitas Education.

Analyst Ratings

This is a summary of recent ratings for QuantaSing Group and Gravitas Education, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
QuantaSing Group	0	1	1	0	2.50
Gravitas Education	0	0	0	0	N/A

QuantaSing Group currently has a consensus target price of $9.85, indicating a potential upside of 328.26%. Given QuantaSing Group’s higher probable upside, analysts clearly believe QuantaSing Group is more favorable than Gravitas Education.

Summary

Gravitas Education beats QuantaSing Group on 5 of the 9 factors compared between the two stocks.

About QuantaSing Group

QuantaSing Group Limited provides online learning services in the People's Republic of China. The company offers online courses, including financial literacy, short-video production, personal well-being, electronic keyboard, and meditation courses. It also offers marketing and enterprise talent management services to enterprise customers. In addition, the company provides online and literacy course to adult learners under various brands, including QiNiu, JiangZhen, and QianChi. QuantaSing Group Limited was founded in 2019 and is headquartered in Beijing, the People's Republic of China.

About Gravitas Education

Gravitas Education Holdings, Inc. provides early childhood education services in the People's Republic of China. It operates play-and-learn centers that offer services for the joint participation of 0-6-year-old children and their adult family members to promote children's development, foster bonding with family, and prepare them for their entry into kindergartens and primary schools. The company also operates student care centers; teaching facilities; and provides course content, training, support and guidance, and other services to franchisees and licensees. In addition, it develops and sells educational products and services; and distributes merchandise, such as teaching aids, educational toys, at-home educational products, and school uniforms through franchisees and other business partners, as well as directly to a market of families. Further, the company operates Qingtian Youpin, an e-commerce platform for maternity and children's products. The company was formerly known as RYB Education, Inc. and changed its name to Gravitas Education Holdings, Inc. in May 2022. Gravitas Education Holdings, Inc. was founded in 1998 and is based in Beijing, China.