Verra Mobility (NASDAQ:VRRM) and Recruit (OTCMKTS:RCRUY) Head to Head Analysis

Recruit (OTCMKTS:RCRUY) and Verra Mobility (NASDAQ:VRRM) are both industrials companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, valuation, analyst recommendations, earnings, profitability, institutional ownership and dividends.

Risk & Volatility

Recruit has a beta of 1.79, indicating that its stock price is 79% more volatile than the S&P 500. Comparatively, Verra Mobility has a beta of 0.45, indicating that its stock price is 55% less volatile than the S&P 500.

Earnings and Valuation

This table compares Recruit and Verra Mobility”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Recruit	$24.56 billion	6.60	$3.28 billion	$0.52	42.33
Verra Mobility	$979.08 million	0.34	$136.63 million	$0.24	9.12

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

Profitability

This table compares Recruit and Verra Mobility’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Recruit	14.94%	35.54%	20.88%
Verra Mobility	3.77%	71.65%	11.45%

Analyst Recommendations

This is a summary of recent ratings and price targets for Recruit and Verra Mobility, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Recruit	0	1	0	1	3.00
Verra Mobility	2	8	0	0	1.80

Verra Mobility has a consensus price target of $6.50, indicating a potential upside of 196.80%. Given Verra Mobility’s higher possible upside, analysts clearly believe Verra Mobility is more favorable than Recruit.

Summary

Recruit beats Verra Mobility on 10 of the 12 factors compared between the two stocks.

About Recruit

Recruit Holdings Co., Ltd. provides HR technology and business solutions that transforms the world of work. It operates through three segments: HR Technology, Matching & Solutions, and Staffing. The HR Technology segment provides various technological solutions that help job seekers and employers in navigating hiring and recruitment. The Matching & Solutions segment offers HR solutions that support business clients’ recruiting and hiring activities and individual users’ job search activities through its job advertising services and placement services. This segment also provides marketing solutions that provide matching platforms for businesses in various industries, including housing and real estate, beauty, bridal, travel, dining, and others, as well as SaaS solutions, which are business and management support tools for small and medium-sized companies. The Staffing segment provides temporary staffing services in Japan, Europe, the United States, and Australia. Recruit Holdings Co., Ltd. operates in more than 60 countries. The company was formerly known as Recruit Co., Ltd. and changed its name to Recruit Holdings Co., Ltd. in October 2012. Recruit Holdings Co., Ltd. was founded in 1960 and is headquartered in Tokyo, Japan.

About Verra Mobility

Verra Mobility Corporation provides smart mobility technology solutions and services in the United States, Australia, Canada, and Europe. It operates through three segments: Commercial Services, Government Solutions, and Parking Solutions. The Commercial Services segment provides automated toll and violations management, and title and registration services to rental car companies, fleet management companies, and other large fleet owners. The Government Solutions segment offers automated safety solutions to national, state, and local government agencies, including services and technologies that enable photo enforcement through road safety cameras to detect and process traffic violations for red-light, speed, school bus, and city bus lanes. This segment serves municipalities, counties, school districts, and law enforcement agencies. The Parking Solutions segment provides an integrated suite of parking software and hardware solutions to universities, municipalities, parking operators, healthcare facilities, and transportation hubs. Verra Mobility Corporation was incorporated in 2016 and is headquartered in Mesa, Arizona.