Financial Review: Visionary Education Technology Holdings Group (NASDAQ:VEDU) vs. Chegg (NYSE:CHGG)

Visionary Education Technology Holdings Group (NASDAQ:VEDU) and Chegg (NYSE:CHGG) are both small-cap consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, risk, institutional ownership, profitability, analyst recommendations, valuation and dividends.

Institutional & Insider Ownership

0.1% of Visionary Education Technology Holdings Group shares are held by institutional investors. Comparatively, 95.2% of Chegg shares are held by institutional investors. 8.5% of Visionary Education Technology Holdings Group shares are held by company insiders. Comparatively, 3.4% of Chegg shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current recommendations and price targets for Visionary Education Technology Holdings Group and Chegg, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Visionary Education Technology Holdings Group	0	0	0	0	N/A
Chegg	4	5	0	0	1.56

Chegg has a consensus price target of $6.84, indicating a potential upside of 109.29%. Given Chegg’s higher probable upside, analysts plainly believe Chegg is more favorable than Visionary Education Technology Holdings Group.

Earnings and Valuation

This table compares Visionary Education Technology Holdings Group and Chegg’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Visionary Education Technology Holdings Group	$8.43 million	0.89	-$3.47 million	N/A	N/A
Chegg	$716.29 million	0.47	$18.18 million	($0.19)	-17.21

Chegg has higher revenue and earnings than Visionary Education Technology Holdings Group.

Profitability

This table compares Visionary Education Technology Holdings Group and Chegg’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Visionary Education Technology Holdings Group	N/A	N/A	N/A
Chegg	2.07%	0.87%	0.48%

Volatility and Risk

Visionary Education Technology Holdings Group has a beta of 2.52, meaning that its stock price is 152% more volatile than the S&P 500. Comparatively, Chegg has a beta of 1.35, meaning that its stock price is 35% more volatile than the S&P 500.

Summary

Chegg beats Visionary Education Technology Holdings Group on 7 of the 10 factors compared between the two stocks.

About Visionary Education Technology Holdings Group

Visionary Education Technology Holdings Group Inc. provides private online and in person educational programs and services to Canadian and international students that reside in Canada and internationally. The company's educational programs include Ontario secondary school diploma, career-oriented two-year college and four-year university diploma programs, vocational education programs, and master programs. It also provides educational services, such as immigration and study visa, student housing, career guidance, internship, and entrepreneurship guidance. The company was formerly known as 123 Natural Food Ontario Ltd. and changed its name to Visionary Education Technology Holdings Group Inc. in March 2021. The company was incorporated in 2013 and is headquartered in Toronto, Canada. Visionary Education Technology Holdings Group Inc. operates as a subsidiary of 3888 Investment Group Limited.

About Chegg

Chegg, Inc. operates a direct-to-student learning platform that helps learners build essential life and job skills to accelerate their path from learning programs in the United States and internationally. Its subscription services include Chegg Study, which offers personalized step-by-step learning support from AI, computational engines, and subject matter experts, as well as Tinger Gold and DashPash Student services; Chegg Writing that provides students with a suite of tools, such as plagiarism detection scans, grammar and writing fluency checking, expert personalized writing feedback, and premium citation generation; Chegg Math, a step-by-step math problem solver and calculator that helps students to solve problems; Chegg Study Pack, a bundle of various subscription product offerings, including Chegg Study, Chegg Writing, and Chegg Math services; and Busuu, an online language learning platform that offers comprehensive support through self-paced lessons, live classes with expert tutors, and a community of members to practice alongside. The company also provides a skills-based learning platform to learn technical skills comprising AI, coding, data analytics, and cybersecurity, as well as competencies consisting of emotional intelligence, mindset, emerging leadership, and decision making. In addition, it rents and sells print textbooks and eTextbooks; and offers advertising services. The company serves students and companies through direct marketing channels and social media. Chegg, Inc. was incorporated in 2005 and is headquartered in Santa Clara, California.