Critical Contrast: TCTM Kids IT Education (VSA) vs. Its Rivals

TCTM Kids IT Education (NASDAQ:VSA) is one of 19 publicly-traded companies in the “Staffing” industry, but how does it compare to its competitors? We will compare TCTM Kids IT Education to similar companies based on the strength of its institutional ownership, analyst recommendations, valuation, profitability, earnings, dividends and risk.

Earnings and Valuation

This table compares TCTM Kids IT Education and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
TCTM Kids IT Education	$660.42 million	-$80.36 million	-4.98
TCTM Kids IT Education Competitors	$4.43 billion	$25.85 million	-2.40

TCTM Kids IT Education’s competitors have higher revenue and earnings than TCTM Kids IT Education. TCTM Kids IT Education 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.

Profitability

This table compares TCTM Kids IT Education and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TCTM Kids IT Education	N/A	N/A	N/A
TCTM Kids IT Education Competitors	-13.67%	-14.49%	-9.10%

Analyst Recommendations

This is a summary of current ratings for TCTM Kids IT Education and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TCTM Kids IT Education	1	0	0	0	1.00
TCTM Kids IT Education Competitors	142	634	763	51	2.45

As a group, “Staffing” companies have a potential upside of 29.88%. Given TCTM Kids IT Education’s competitors stronger consensus rating and higher probable upside, analysts plainly believe TCTM Kids IT Education has less favorable growth aspects than its competitors.

Insider & Institutional Ownership

49.8% of TCTM Kids IT Education shares are owned by institutional investors. Comparatively, 64.8% of shares of all “Staffing” companies are owned by institutional investors. 32.9% of TCTM Kids IT Education shares are owned by company insiders. Comparatively, 16.4% of shares of all “Staffing” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Volatility and Risk

TCTM Kids IT Education has a beta of 0.34, indicating that its stock price is 66% less volatile than the S&P 500. Comparatively, TCTM Kids IT Education’s competitors have a beta of 0.83, indicating that their average stock price is 17% less volatile than the S&P 500.

Summary

TCTM Kids IT Education competitors beat TCTM Kids IT Education on 9 of the 13 factors compared.

About TCTM Kids IT Education

Tarena International, Inc., through its subsidiaries, provides professional education services through full-time and part-time classes under the Tarena brand in the People’s Republic of China. It operates through two segments, Adult Professional Education and Childhood & Adolescent Quality Education Services. The company offers education courses in 7 information technology (IT) subjects, such as Java, software testing, Linux and network engineering, Big Data, Web front-end development, Python, and network engineer courses; and 3 non-IT subjects, including digital art, online sales and marketing, and visual effects-VFX, as well as live distance instruction, classroom-based tutoring, and online learning modules. It also provides 9 childhood and adolescent quality education programs, including robotics programming, graphical intelligent programming, NOI informatics Olympiad, Python artificial intelligence, high level hardware programming for secondary school, soft and hard programming enlightenment, creative programming starter, and SPIKE starter and advanced under the TongchengTongmei brand. In addition, the company offers online learning platform for education courses and job placement training courses. As of December 31, 2021, it had a network of 100 directly managed learning centers in 44 cities; and 238 TongchengTongmei standalone learning centers in 54 cities. The company was founded in 2002 and is headquartered in Beijing, the People’s Republic of China.