Analyzing Bright Horizons Family Solutions (NYSE:BFAM) and Premium Catering (NASDAQ:PC)

Premium Catering (NASDAQ:PC) and Bright Horizons Family Solutions (NYSE:BFAM) are both business services companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, risk, earnings, valuation and analyst recommendations.

Profitability

This table compares Premium Catering and Bright Horizons Family Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Premium Catering	N/A	N/A	N/A
Bright Horizons Family Solutions	6.98%	17.07%	5.99%

Analyst Recommendations

This is a summary of recent recommendations for Premium Catering and Bright Horizons Family Solutions, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Premium Catering	1	0	0	0	1.00
Bright Horizons Family Solutions	1	4	3	0	2.25

Bright Horizons Family Solutions has a consensus price target of $128.29, indicating a potential upside of 25.10%. Given Bright Horizons Family Solutions’ stronger consensus rating and higher probable upside, analysts plainly believe Bright Horizons Family Solutions is more favorable than Premium Catering.

Valuation & Earnings

This table compares Premium Catering and Bright Horizons Family Solutions”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Premium Catering	$3.35 million	5.81	-$4.24 million	N/A	N/A
Bright Horizons Family Solutions	$2.69 billion	2.16	$140.19 million	$3.48	29.47

Bright Horizons Family Solutions has higher revenue and earnings than Premium Catering.

Volatility & Risk

Premium Catering has a beta of 1.1, suggesting that its stock price is 10% more volatile than the S&P 500. Comparatively, Bright Horizons Family Solutions has a beta of 1.41, suggesting that its stock price is 41% more volatile than the S&P 500.

Summary

Bright Horizons Family Solutions beats Premium Catering on 9 of the 10 factors compared between the two stocks.

About Premium Catering

Premium Catering (Holdings) Limited, through its subsidiary, engages in the business of food catering for function, events, and workers in Singapore. The company provides Halal food in Indian, Bangladesh, and Chinese cuisine to foreign workers, students, and other individuals residing in dormitories, as well foreign workers in the marine, logistics, and poultry industries. It also operates a central kitchen under the Premium Catering brand name to supply budget prepared meals to foreign construction workers; operates food stalls; and provides buffet catering services for private functions, and corporate and community events, as well as provides ancillary delivery services. The company was founded in 2012 and is based in Singapore. Premium Catering (Holdings) Limited operates as a subsidiary of Hero Global Enterprises Limited.

About Bright Horizons Family Solutions

Bright Horizons Family Solutions Inc. provides early education and childcare, back-up care, educational advisory, and other workplace solutions services for employers and families in the United States, Puerto Rico, the United Kingdom, the Netherlands, Australia, and India. The company operates in three segments: Full Service Center-Based Child Care, Back-Up Care, and Educational Advisory and Other Services. The Full Service Center-Based Child Care segment offers traditional center-based child care and early education, preschool, and elementary education services. The Back-Up Care segment provides center-based back-up child care, in-home child and adult/elder dependent care, school-age camps, virtual tutoring, and self-sourced reimbursed care services through child care centers, school-age campuses, and in-home caregivers, as well as the back-up care network. The Educational Advisory and Other Services segment offers tuition assistance and student loan repayment program administration, workforce education, and related educational consulting services, as well as college admissions and college financial advisory services. The company was formerly known as Bright Horizons Solutions Corp. and changed its name to Bright Horizons Family Solutions Inc. in July 2012. Bright Horizons Family Solutions Inc. was founded in 1986 and is headquartered in Newton, Massachusetts.