Comparing Perdoceo Education (NASDAQ:PRDO) and WW International (NASDAQ:WW)

WW International (NASDAQ:WW) and Perdoceo Education (NASDAQ:PRDO) are both small-cap consumer discretionary companies, but which is the better stock? We will compare the two companies based on the strength of their earnings, risk, analyst recommendations, profitability, institutional ownership, dividends and valuation.

Earnings & Valuation

This table compares WW International and Perdoceo Education”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
WW International	$710.64 million	0.18	-$112.25 million	($2.86)	-4.46
Perdoceo Education	$862.60 million	2.13	$159.91 million	$2.84	10.41

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

Profitability

This table compares WW International and Perdoceo Education’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
WW International	-56.84%	N/A	-0.32%
Perdoceo Education	21.06%	19.26%	14.93%

Analyst Ratings

This is a breakdown of recent ratings and price targets for WW International and Perdoceo Education, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WW International	1	1	1	0	2.00
Perdoceo Education	0	1	2	0	2.67

WW International presently has a consensus target price of $25.00, indicating a potential upside of 95.85%. Perdoceo Education has a consensus target price of $44.00, indicating a potential upside of 48.77%. Given WW International’s higher probable upside, equities research analysts plainly believe WW International is more favorable than Perdoceo Education.

Institutional and Insider Ownership

86.2% of WW International shares are held by institutional investors. Comparatively, 93.5% of Perdoceo Education shares are held by institutional investors. 0.4% of WW International shares are held by company insiders. Comparatively, 1.5% of Perdoceo Education shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Risk & Volatility

WW International has a beta of 1.67, meaning that its share price is 67% more volatile than the S&P 500. Comparatively, Perdoceo Education has a beta of 0.76, meaning that its share price is 24% less volatile than the S&P 500.

Summary

Perdoceo Education beats WW International on 12 of the 14 factors compared between the two stocks.

About WW International

WW International, Inc., formerly known as Weight Watchers, is a global wellness company focused on helping people manage their weight and improve their overall health. The company provides personalized programs built around nutrition, physical activity, behavior change and lifestyle support. WW’s offerings have historically included digital subscriptions, personalized meal and activity guidance, health and wellness content, mobile applications, virtual coaching and community-based support. The company has also operated in-person workshops and has expanded its services to include clinical weight-management support, including access to prescription-based treatment through its digital health platform.

About Perdoceo Education

Perdoceo Education Corporation provides postsecondary education through Colorado Technical University (CTU) and American InterContinental University (AIU). The institutions offer undergraduate and graduate degree programs, as well as certificates, in fields including business, technology, healthcare, and criminal justice. Both universities deliver much of their instruction online and also maintain campus locations. Their programs are designed to serve working adults and other students seeking flexible study options, primarily in the United States.