Financial Analysis: Wolters Kluwer (OTCMKTS:WTKWY) versus Worley (OTCMKTS:WYGPY)

Wolters Kluwer (OTCMKTS:WTKWY) and Worley (OTCMKTS:WYGPY) are both business services companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, dividends, earnings, profitability, analyst recommendations, valuation and risk.

Volatility & Risk

Wolters Kluwer has a beta of 0.7, indicating that its stock price is 30% less volatile than the S&P 500. Comparatively, Worley has a beta of 0.92, indicating that its stock price is 8% less volatile than the S&P 500.

Profitability

This table compares Wolters Kluwer and Worley’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Wolters Kluwer	N/A	N/A	N/A
Worley	N/A	N/A	N/A

Dividends

Wolters Kluwer pays an annual dividend of $1.87 per share and has a dividend yield of 2.5%. Worley pays an annual dividend of $0.28 per share and has a dividend yield of 3.8%.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Wolters Kluwer and Worley, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Wolters Kluwer	1	0	3	1	2.80
Worley	0	1	1	0	2.50

Institutional & Insider Ownership

0.0% of Wolters Kluwer shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Wolters Kluwer and Worley”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Wolters Kluwer	$6.93 billion	2.55	$1.48 billion	N/A	N/A
Worley	$7.28 billion	0.51	$264.87 million	N/A	N/A

Wolters Kluwer has higher earnings, but lower revenue than Worley.

Summary

Wolters Kluwer beats Worley on 6 of the 9 factors compared between the two stocks.

About Wolters Kluwer

Wolters Kluwer N.V. provides professional information, software solutions, and services in the Netherlands, rest of Europe, the United States, Canada, the Asia Pacific, and internationally. The company operates through Health; Tax & Accounting; Financial & Corporate Compliance; Legal & Regulatory; and Corporate Performance & ESG segments. The Health segment offers clinical technology and evidence-based solutions that drive effective decision-making and improved outcomes across healthcare. It serves hospitals, healthcare organizations, clinicians, students, schools, libraries, payers, life sciences, and pharmacies. The Tax & Accounting segment offers solutions that help tax, accounting, and audit professionals to drive productivity, navigate change, and deliver better outcomes. It serves accounting firms, tax and auditing departments, businesses of all sizes, government agencies, libraries, and universities. The Financial & Corporate Compliance segment offers solutions for legal entity compliance and banking product compliance. It serves corporations, small businesses, law firms, banks, non-bank lenders, credit unions, insurers, and securities firms. The Legal & Regulatory segment provides information, insights, and workflow solutions for changing regulatory obligations, managing risk, and increasing efficiency. It provides solutions for legal and compliance professionals in law firms, corporate legal departments, universities, and government organizations. The Corporate Performance & ESG segment offers enterprise software to drive financial and sustainability performance and manage risks, meet reporting requirements, improve safety and productivity, and reduce environmental impact. It serves corporate finance, audit, planning, risk, environmental, health and safety, operational risk management, and sustainability professionals in corporations, banks, and governments. Wolters Kluwer N.V. was founded in 1836 and is based in Alphen aan den Rijn, the Netherlands.

About Worley

Worley Limited provides professional project and asset services to energy, chemicals, and resources sectors worldwide. The company offers digital, consulting, engineering and design, construction management, construction and fabrication, supply chain management, project management, and operation and maintenance services, as well as maintenance, modification, and operation services. It serves new energy, power, upstream and midstream, refining and chemicals, and infrastructure markets, as well as mining, minerals, and metals markets. The company was formerly known as WorleyParsons Limited and changed its name to Worley Limited in October 2019. The company was founded in 1893 and is based in Sydney, Australia.