Critical Analysis: Japan Exchange Group (OTCMKTS:JPXGY) versus Value Line (NASDAQ:VALU)

Value Line (NASDAQ:VALU) and Japan Exchange Group (OTCMKTS:JPXGY) are both finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, risk, institutional ownership, dividends, profitability, analyst recommendations and earnings.

Analyst Recommendations

This is a summary of current recommendations and price targets for Value Line and Japan Exchange Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Value Line	0	0	0	0	N/A
Japan Exchange Group	0	0	0	0	N/A

Earnings & Valuation

This table compares Value Line and Japan Exchange Group’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Value Line	$39.69 million	9.48	$18.07 million	$1.94	20.57
Japan Exchange Group	N/A	N/A	N/A	$49.88	0.27

Value Line has higher revenue and earnings than Japan Exchange Group. Japan Exchange Group is trading at a lower price-to-earnings ratio than Value Line, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

6.3% of Value Line shares are held by institutional investors. 0.0% of Value Line shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares Value Line and Japan Exchange Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Value Line	47.81%	21.23%	13.83%
Japan Exchange Group	N/A	N/A	N/A

Summary

Value Line beats Japan Exchange Group on 7 of the 8 factors compared between the two stocks.

About Value Line

Value Line, Inc. produces and sells investment periodicals and related publications. Its investment periodicals and related publications cover a range of investments, including stocks, mutual funds, exchange traded funds (ETFs), and options. The company's research services include The Value Line Investment Survey, The Value Line Investment Survey – Small and Mid-Cap, The Value Line 600, and The Value Line Fund Advisor Plus that provide statistical and text coverage of various investment securities, with an emphasis placed on its proprietary research, analysis, and statistical ranks. It also provides niche newsletters comprising Value Line Select: Dividend Income & Growth, Value Line Select: ETFs, The Value Line Special Situations Service, The Value Line M&A Service, The Value Line Climate Change Investing Service, and The Value Line Information You Should Know Wealth Newsletter that offer information on a less comprehensive basis for securities that are of particular interest to subscribers; digital versions of its products through its Website, www.valueline.com; The Value Line Research Center online platform; and investment analysis software, such as The Value Line Investment Analyzer and The New Value Line ETFs Service. In addition, the company offers current and historical financial databases comprising fundamental DataFile, estimates and projections, and mutual funds; and copyright products, which include unit investment trusts, variable annuities, managed accounts, and ETFs. Further, it operates as publishing unit for the investment related periodical publications and copyrights; places advertising on behalf of the company's publications; and distributes print publications. It serves individual and professional investors, as well as institutions, including municipal and university libraries, and investment firms. The company was founded in 1931 and is headquartered in New York, New York. Value Line, Inc. is a subsidiary of Arnold Bernhard & Co., Inc.

About Japan Exchange Group

Japan Exchange Group, Inc. operates as a financial instruments exchange holding company in Japan. The company engages in the operation of financial instruments exchange markets for trading listed securities and derivatives instruments to market users; publication of stock prices and quotations; provision of market facilities for trading of commodity derivatives, physical commodities, and commodity index futures; self-regulatory operations, such as listing examination, listed company compliance, market surveillance, and inspections and examinations of trading participants. It also provides clearing and settlement, and market-related services. The company was incorporated in 1949 and is headquartered in Tokyo, Japan.