Head to Head Comparison: Benev Capital (OTCMKTS:BEVFF) versus Addentax Group (NASDAQ:ATXG)

Benev Capital (OTCMKTS:BEVFF) and Addentax Group (NASDAQ:ATXG) are both small-cap multi-sector conglomerates companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, analyst recommendations, earnings, valuation, institutional ownership, dividends and profitability.

Earnings and Valuation

This table compares Benev Capital and Addentax Group”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Benev Capital	$47.44 million	8.89	$19.43 million	$0.12	20.67
Addentax Group	$4.18 million	1.33	-$5.09 million	($0.70)	-0.68

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

Institutional and Insider Ownership

10.1% of Addentax Group shares are held by institutional investors. 12.0% of Benev Capital shares are held by insiders. Comparatively, 4.9% of Addentax Group shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of recent recommendations for Benev Capital and Addentax Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Benev Capital	0	1	0	0	2.00
Addentax Group	1	0	0	0	1.00

Risk and Volatility

Benev Capital has a beta of 0.91, indicating that its share price is 9% less volatile than the S&P 500. Comparatively, Addentax Group has a beta of 0.94, indicating that its share price is 6% less volatile than the S&P 500.

Profitability

This table compares Benev Capital and Addentax Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Benev Capital	41.88%	11.86%	5.83%
Addentax Group	-98.96%	-17.87%	-8.60%

Summary

Benev Capital beats Addentax Group on 10 of the 12 factors compared between the two stocks.

About Benev Capital

Diversified Royalty Corp., a multi-royalty corporation, engages in the acquisition of royalties from multi-location businesses and franchisors in North America. It owns the Sutton, Mr. Lube + Tires, AIR MILES, Mr. Mikes, Nurse Next Door, Oxford Learning Centres, Stratus Building Solutions, and BarBurrito trademarks. The company was formerly known as BENEV Capital Inc. and changed its name to Diversified Royalty Corp. in September 2014. Diversified Royalty Corp. was founded in 1960 and is headquartered in Vancouver, Canada.

About Addentax Group

Addentax Group Corp., together with its subsidiaries, operates as a logistic service provider in China. It operates through three segments: Garment Manufacturing, Logistics Services, and Property Management and Subleasing. The company manufactures and distributes garments; and provides logistic services, such as storage, transportation, warehousing, handling, packaging, and order processing, as well as customs declaration and tax clearance services. It also offers shop subleasing and property management services for garment wholesalers and retailers in the garment market. In addition, the company engages in the building decoration designing business. Addentax Group Corp. is based in Shenzhen, China.