Udemy (NASDAQ:UDMY – Get Rating) and Afya (NASDAQ:AFYA – Get Rating) are both small-cap computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, earnings, institutional ownership, profitability, dividends, analyst recommendations and valuation.
Institutional and Insider Ownership
66.7% of Udemy shares are held by institutional investors. Comparatively, 57.0% of Afya shares are held by institutional investors. 39.2% of Udemy shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.
Valuation and Earnings
This table compares Udemy and Afya’s gross revenue, earnings per share (EPS) and valuation.
Earnings Per Share
Afya has lower revenue, but higher earnings than Udemy.
This is a summary of recent ratings and target prices for Udemy and Afya, as provided by MarketBeat.
Strong Buy Ratings
Udemy currently has a consensus target price of $23.92, suggesting a potential upside of 96.84%. Afya has a consensus target price of $20.00, suggesting a potential upside of 108.12%. Given Afya’s stronger consensus rating and higher possible upside, analysts clearly believe Afya is more favorable than Udemy.
This table compares Udemy and Afya’s net margins, return on equity and return on assets.
Return on Equity
Return on Assets
Afya beats Udemy on 6 of the 11 factors compared between the two stocks.