ATIF (ZBAI) vs. Its Competitors Critical Review

ATIF (NASDAQ:ZBAI) is one of 20 public companies in the “Consulting” industry, but how does it compare to its competitors? We will compare ATIF to similar companies based on the strength of its valuation, risk, earnings, analyst recommendations, profitability, dividends and institutional ownership.

Insider & Institutional Ownership

85.1% of shares of all “Consulting” companies are held by institutional investors. 32.2% of ATIF shares are held by insiders. Comparatively, 5.6% of shares of all “Consulting” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for ATIF and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ATIF	1	0	0	0	1.00
ATIF Competitors	90	733	1309	63	2.61

As a group, “Consulting” companies have a potential upside of 24.92%. Given ATIF’s competitors stronger consensus rating and higher probable upside, analysts plainly believe ATIF has less favorable growth aspects than its competitors.

Risk and Volatility

ATIF has a beta of -0.6, meaning that its stock price is 160% less volatile than the S&P 500. Comparatively, ATIF’s competitors have a beta of 0.71, meaning that their average stock price is 29% less volatile than the S&P 500.

Profitability

This table compares ATIF and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ATIF	N/A	-90.49%	-79.46%
ATIF Competitors	7.61%	26.73%	8.45%

Valuation and Earnings

This table compares ATIF and its competitors gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
ATIF	$620,000.00	-$3.19 million	-1.13
ATIF Competitors	$3.19 billion	$272.15 million	23.96

ATIF’s competitors have higher revenue and earnings than ATIF. ATIF is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Summary

ATIF competitors beat ATIF on 12 of the 13 factors compared.

ATIF Company Profile

ATIF Holdings Ltd. engages in the provision of financial consulting services. It is also involved in merger and acquisition business advisory, post-listing compliance, management support, and related services. The company was founded on January 5, 2015 and is headquartered in Lake Forest, CA.