Critical Analysis: QuantaSing Group (NASDAQ:QSG) and Everybody Loves Languages (OTCMKTS:LMDCF)

Everybody Loves Languages (OTCMKTS:LMDCF) and QuantaSing Group (NASDAQ:QSG) are both consumer discretionary companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, valuation, risk, profitability, dividends, earnings and analyst recommendations.

Risk & Volatility

Everybody Loves Languages has a beta of -18.85, suggesting that its stock price is 1,985% less volatile than the S&P 500. Comparatively, QuantaSing Group has a beta of -0.98, suggesting that its stock price is 198% less volatile than the S&P 500.

Profitability

This table compares Everybody Loves Languages and QuantaSing Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Everybody Loves Languages	9.89%	7.85%	6.67%
QuantaSing Group	13.13%	47.31%	21.93%

Earnings and Valuation

This table compares Everybody Loves Languages and QuantaSing Group”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Everybody Loves Languages	$1.78 million	N/A	$310,000.00	N/A	N/A
QuantaSing Group	$2.73 billion	0.09	$50.08 million	$0.90	5.08

QuantaSing Group has higher revenue and earnings than Everybody Loves Languages.

Analyst Ratings

This is a summary of recent recommendations and price targets for Everybody Loves Languages and QuantaSing Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Everybody Loves Languages	0	0	0	0	0.00
QuantaSing Group	0	1	1	0	2.50

QuantaSing Group has a consensus price target of $9.52, suggesting a potential upside of 108.32%. Given QuantaSing Group’s stronger consensus rating and higher possible upside, analysts plainly believe QuantaSing Group is more favorable than Everybody Loves Languages.

Summary

QuantaSing Group beats Everybody Loves Languages on 9 of the 9 factors compared between the two stocks.

About Everybody Loves Languages

Everybody Loves Languages Corp., an edtech language-learning and content development company, develops, markets, and supports a suite of English and other language learning solutions in the People's Republic of China. The company operates in two segments, Content-Based English Language Learning (License of Intellectual Property), and Online and Offline Language Learning. The Content-Based English Language Learning segment publishes print-based English language learning textbook programs. It co-publishes approximately 870 million units from library of program titles. The Online English Language Learning segment provides web-based educational technology language learning, training, and assessment solutions. It develops and markets libraries of online language learning resources and offers approximately 3,000 hours of interactive learning through various product offerings that include Winnie's World, English Academy, Campus, English for Success, AcadeMe English, AcadeMe Junior, and Master and Business English. The company markets its products in Latin America, Asia, Europe, and the United States through a network of distributors. The company was formerly known as Lingo Media Corporation and changed its name to Everybody Loves Languages Corp. in October 2022. Everybody Loves Languages Corp. is headquartered in Toronto, Canada.

About QuantaSing Group

QuantaSing Group Limited provides online learning services in the People's Republic of China. The company offers online courses, including financial literacy, short-video production, personal well-being, electronic keyboard, and meditation courses. It also offers marketing and enterprise talent management services to enterprise customers. In addition, the company provides online and literacy course to adult learners under various brands, including QiNiu, JiangZhen, and QianChi. QuantaSing Group Limited was founded in 2019 and is headquartered in Beijing, the People's Republic of China.