Comparing Cielo (OTCMKTS:CIOXY) & Claritev (NYSE:CTEV)

Cielo (OTCMKTS:CIOXY) and Claritev (NYSE:CTEV) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, institutional ownership, risk, dividends, analyst recommendations, earnings and valuation.

Profitability

This table compares Cielo and Claritev’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cielo	17.54%	12.28%	1.80%
Claritev	-35.93%	-245.89%	-3.96%

Valuation & Earnings

This table compares Cielo and Claritev”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cielo	$2.12 billion	1.07	$418.05 million	$0.16	5.25
Claritev	$930.62 million	0.52	-$1.65 billion	($20.91)	-1.41

Cielo has higher revenue and earnings than Claritev. Claritev is trading at a lower price-to-earnings ratio than Cielo, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

0.0% of Cielo shares are held by institutional investors. Comparatively, 87.2% of Claritev shares are held by institutional investors. 8.0% of Claritev shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Risk and Volatility

Cielo has a beta of 1.01, meaning that its share price is 1% more volatile than the S&P 500. Comparatively, Claritev has a beta of 0.51, meaning that its share price is 49% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Cielo and Claritev, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cielo	0	0	0	0	0.00
Claritev	1	0	1	0	2.00

Claritev has a consensus target price of $80.00, indicating a potential upside of 171.46%. Given Claritev’s stronger consensus rating and higher possible upside, analysts plainly believe Claritev is more favorable than Cielo.

Summary

Cielo beats Claritev on 9 of the 14 factors compared between the two stocks.

About Cielo

Cielo S.A., through its subsidiaries, provides payment services in Brazil and the United States. The company provides services related to credit and debit cards, and other payment methods, including signing up of merchants and service providers; rental, installation, and maintenance of point-of-sale terminals; and data capture and processing of electronic and manual transactions, as well as the issuance and management of payment accounts. It also offers services related to the processing means of payments that involve cards, maintenance services, and contacts with merchants for acceptance of credit and debit cards; development and licensing of computer software; electronic transactions processing; and technology services for collection and management of accounts payable and receivable using the Internet. The company was formerly known as Companhia Brasileira de Meios de Pagamento and changed its name to Cielo S.A. in December 2009. Cielo S.A. was founded in 1995 and is headquartered in Barueri, Brazil.

About Claritev

MultiPlan Corporation, together with its subsidiaries, provides data analytics and technology-enabled cost management, payment, and revenue integrity solutions to the healthcare industry in the United States. The company offers analytics-based services that reduce medical costs, through data-driven algorithms and insights that detect claims over-charges and negotiate or recommend reimbursement; and network-based services that provide contracted discounts with healthcare providers, as well as outsourced network development and management services. It provides payment and revenue integrity services, such as identifying and removing improper and unnecessary charges paid during the claim, as well as services to identify and help restore and preserve underpaid premium dollars. In addition, the company offers data and decision science services including a suite of solutions that apply modern methods of data science to produce descriptive, predictive, and prescriptive analytics that drive optimized benefit plan design, support decision-making, improve clinical outcomes, and reduce the total cost of care; and business-to-business healthcare payments and other services. It serves national and regional insurance companies, Blue Cross and Blue Shield plans, provider-sponsored and independent health plans, TPAs, self-insured health plans, property and casualty insurers, bill review companies, and other companies involved in the claim adjudication process. MultiPlan Corporation was founded in 1980 and is headquartered in New York, New York.