TCTM Kids IT Education (NASDAQ:TCTM) & TAL Education Group (NYSE:TAL) Financial Contrast

TCTM Kids IT Education (NASDAQ:TCTM) and TAL Education Group (NYSE:TAL) are both business services companies, but which is the superior business? We will contrast the two businesses based on the strength of their risk, dividends, earnings, valuation, institutional ownership, profitability and analyst recommendations.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for TCTM Kids IT Education and TAL Education Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TCTM Kids IT Education	0	0	0	0	0.00
TAL Education Group	0	0	3	0	3.00

TAL Education Group has a consensus price target of $15.53, indicating a potential upside of 26.34%. Given TAL Education Group’s stronger consensus rating and higher probable upside, analysts plainly believe TAL Education Group is more favorable than TCTM Kids IT Education.

Profitability

This table compares TCTM Kids IT Education and TAL Education Group’s 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
TAL Education Group	5.77%	3.22%	2.23%

Valuation & Earnings

This table compares TCTM Kids IT Education and TAL Education Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TCTM Kids IT Education	$1.38 billion	0.00	$1.26 million	N/A	N/A
TAL Education Group	$2.07 billion	3.59	-$3.57 million	$0.19	64.71

TCTM Kids IT Education has higher earnings, but lower revenue than TAL Education Group.

Insider & Institutional Ownership

49.8% of TCTM Kids IT Education shares are owned by institutional investors. Comparatively, 37.8% of TAL Education Group shares are owned by institutional investors. 32.9% of TCTM Kids IT Education shares are owned by company insiders. Comparatively, 1.8% of TAL Education Group shares are owned by company 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.

Risk & Volatility

TCTM Kids IT Education has a beta of -0.32, suggesting that its stock price is 132% less volatile than the S&P 500. Comparatively, TAL Education Group has a beta of 0.06, suggesting that its stock price is 94% less volatile than the S&P 500.

Summary

TAL Education Group beats TCTM Kids IT Education on 9 of the 12 factors compared between the two stocks.

About TCTM Kids IT Education

TCTM Kids IT Education Inc., through its subsidiaries, engages in the provision of IT-focused education services in Mainland China. It offers supplementary science, technology, engineering, and mathematics (STEM) education programs to young children aged between three and eighteen through online teaching models and instructors from online or offline learning centers. The company also operates an education platform that offers distance instruction, classroom-based learning, and online learning modules. In addition, it operates 61it.cn, an online platform to facilitate the live instruction of STEM education courses; and Tongcheng Online App. The company was formerly known as Tarena International, Inc. and changed its name to TCTM Kids IT Education Inc. in February 2024. TCTM Kids IT Education Inc. was founded in 2002 and is headquartered in Beijing, the People's Republic of China.

About TAL Education Group

TAL Education Group provides K-12 after-school tutoring services in the People’s Republic of China. It provides learning services primarily through small-classes services; personalized premium services; and learning content solutions, such as print books, smart books, mobile apps, and AI-driven learning devices. The company also operates www.xueersi.com, an online education platform; provides investment management and consulting services; develops and sells software and networks, as well as related consulting services; and sells educational materials and products. It offers its services under the Haoweilai and Think Academy brands. TAL Education Group was founded in 2003 and is headquartered in Beijing, the People’s Republic of China.