Literacy Capital (BOOK) Competitors

Literacy Capital (LON:BOOK) and Capital Gearing (LON:CGT) are both small-cap financial services companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, risk, community ranking, media sentiment, valuation, institutional ownership, profitability, analyst recommendations and dividends.

Which has more volatility and risk, BOOK or CGT?

Literacy Capital has a beta of -0.25, meaning that its share price is 125% less volatile than the S&P 500. Comparatively, Capital Gearing has a beta of 0.23, meaning that its share price is 77% less volatile than the S&P 500.

Do insiders & institutionals hold more shares of BOOK or CGT?

1.8% of Literacy Capital shares are owned by institutional investors. Comparatively, 16.2% of Capital Gearing shares are owned by institutional investors. 63.0% of Literacy Capital shares are owned by insiders. Comparatively, 7.0% of Capital Gearing shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Which has higher earnings and valuation, BOOK or CGT?

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

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Literacy Capital	£10.97M	20.23	£6.99M	£12.41	30.72
Capital Gearing	£17.92M	49.51	£45.77M	£245.96	19.39

Is BOOK or CGT more profitable?

Capital Gearing has a net margin of 255.48% compared to Literacy Capital's net margin of 63.70%. Capital Gearing's return on equity of 5.25% beat Literacy Capital's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Literacy Capital	63.70%	2.42%	39.07%
Capital Gearing	255.48%	5.25%	-2.63%

Does the MarketBeat Community prefer BOOK or CGT?

Capital Gearing received 121 more outperform votes than Literacy Capital when rated by MarketBeat users.

Company	Underperform	Outperform
Literacy Capital	N/A	N/A
Capital Gearing	Outperform Votes 121 77.56%	Underperform Votes 35 22.44%

Does the media refer more to BOOK or CGT?

In the previous week, Capital Gearing had 3 more articles in the media than Literacy Capital. MarketBeat recorded 5 mentions for Capital Gearing and 2 mentions for Literacy Capital. Literacy Capital's average media sentiment score of 1.16 beat Capital Gearing's score of -0.86 indicating that Literacy Capital is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Literacy Capital	1 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Capital Gearing	0 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	4 Very Negative mention(s)	Negative

Summary

Capital Gearing beats Literacy Capital on 10 of the 14 factors compared between the two stocks.