Ucommune International (NASDAQ:UK) and Concentrix (NASDAQ:CNXC) Financial Analysis

Concentrix (NASDAQ:CNXC) and Ucommune International (NASDAQ:UK) are both business services companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, dividends, risk, institutional ownership, profitability, valuation and earnings.

Institutional and Insider Ownership

90.3% of Concentrix shares are owned by institutional investors. Comparatively, 36.9% of Ucommune International shares are owned by institutional investors. 3.0% of Concentrix shares are owned by company insiders. Comparatively, 14.2% of Ucommune International shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Volatility and Risk

Concentrix has a beta of 0.6, meaning that its share price is 40% less volatile than the S&P 500. Comparatively, Ucommune International has a beta of 2.25, meaning that its share price is 125% more volatile than the S&P 500.

Dividends

Concentrix pays an annual dividend of $1.21 per share and has a dividend yield of 1.9%. Ucommune International pays an annual dividend of $0.64 per share and has a dividend yield of 32.2%. Concentrix pays out 28.0% of its earnings in the form of a dividend.

Profitability

This table compares Concentrix and Ucommune International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Concentrix	3.08%	17.00%	5.72%
Ucommune International	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Concentrix and Ucommune International, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Concentrix	1	1	3	0	2.40
Ucommune International	0	0	0	0	N/A

Concentrix currently has a consensus price target of $84.80, indicating a potential upside of 34.01%. Given Concentrix’s higher possible upside, research analysts clearly believe Concentrix is more favorable than Ucommune International.

Valuation & Earnings

This table compares Concentrix and Ucommune International’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Concentrix	$7.11 billion	0.59	$313.84 million	$4.32	14.65
Ucommune International	$459.82 million	0.00	-$690,000.00	N/A	N/A

Concentrix has higher revenue and earnings than Ucommune International.

Summary

Concentrix beats Ucommune International on 9 of the 13 factors compared between the two stocks.

About Concentrix

Concentrix Corporation engages in the provision of technology-infused customer experience (CX) solutions worldwide. The company provides CX process optimization, technology innovation, front- and back-office automation, analytics, and business transformation services, across various channels of communication, such as voice, chat, email, social media, asynchronous messaging, and custom applications. It also offers customer lifecycle management; customer experience/user experience strategy and design; analytics and actionable insights; digital transformation services that design and engineer CX solutions to enable efficient customer self-service and build customer loyalty; customer engagement solutions and services that address the entirety of the customer lifecycle; AI technology that can intelligently act on customer intent to improve customer experience with non-human engagement; voice of the customer and analytics solutions to gather and analyze customer feedback to foster loyalty to, and growth with, clients; analytics and consulting solutions that synthesize data and provide professional insight to improve clients' customer experience strategies; vertical business process outsourcing (BPO) services; and back office BPO services that support clients in non-customer facing areas. The company's clients include technology and consumer electronics, retail, travel and e-commerce, communications and media, banking, financial services and insurance, healthcare, and others, as well as global IPOs, social brands, and banks. Concentrix Corporation was founded in 2004 and is based in Newark, California.

About Ucommune International

Ucommune International Ltd manages and provides agile office spaces in China. It operates self-operated and asset-light models. The company also provides individual services, such as catering, fitness, healthcare, training, and entertainment; general corporate services, such as corporate secretary, human resources, legal, finance, IT support, and tax services; incubation and corporate venturing services; design and build services; advertising and branding services; and related services. It serves individuals and enterprises. The company operates under the Ucommune brand. Ucommune International Ltd was founded in 2015 and is based in Beijing, the People's Republic of China.