Comparing CorVel (NASDAQ:CRVL) & CAPITA (OTCMKTS:CTAGY)

CorVel (NASDAQ:CRVL) and CAPITA (OTCMKTS:CTAGY) are both business services companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, earnings, institutional ownership, risk, valuation, profitability and analyst recommendations.

Risk and Volatility

CorVel has a beta of 1.06, meaning that its share price is 6% more volatile than the S&P 500. Comparatively, CAPITA has a beta of -0.75, meaning that its share price is 175% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations and price targets for CorVel and CAPITA, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CorVel	0	1	0	0	2.00
CAPITA	0	0	0	1	4.00

Insider and Institutional Ownership

51.4% of CorVel shares are held by institutional investors. 44.6% of CorVel shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares CorVel and CAPITA’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CorVel	11.23%	30.15%	17.62%
CAPITA	N/A	N/A	N/A

Earnings and Valuation

This table compares CorVel and CAPITA”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CorVel	$895.59 million	2.63	$95.17 million	$2.04	22.55
CAPITA	$3.09 billion	0.14	$98.01 million	N/A	N/A

CAPITA has higher revenue and earnings than CorVel.

Summary

CorVel beats CAPITA on 7 of the 11 factors compared between the two stocks.

About CorVel

CorVel Corporation provides workers’ compensation, auto, liability, and health solutions. It applies technology, including artificial intelligence, machine learning, and natural language processing to enhance the managing of episodes of care and the related health care costs. The company also offers network solutions services, including automated medical fee auditing, preferred provider management and reimbursement, retrospective utilization review, facility claim review, professional review, pharmacy, directed care, clearinghouse, independent medical examination, and inpatient medical bill review services, as well as Medicare solutions. In addition, it provides a range of patient management services, such as claims management, case management, 24/7 nurse triage, utilization management, vocational rehabilitation, and life care planning, as well as processing of claims for self-insured payors with respect to property and casualty insurance. The company offers solutions to employers, third party administrators, insurance companies, and government agencies to assist them in managing the medical costs and monitoring the quality of care associated with healthcare claims. CorVel Corporation was incorporated in 1987 and is based in Fort Worth, Texas.

About CAPITA

Capita plc provides consulting, digital, and software products and services to clients in the private and public sectors in the United Kingdom and internationally. It operates in two divisions: Public Service and Capita Experience divisions. The company offers solutions for finance and accounting, procurement, property and infrastructure, travel and event, and workplace administration. It also provides customer experience transformation, contact management, collection and debt management, complaint handling, customer experience system and software, acquisition and retention, and data and analytics. In addition, the company offers licensing and support, support, digital policing, and engineering practice; learning and development services; education service and local education authority software; solutions for central and local government services; and business process services. Further, it provides pension administration and software, pensions consulting, and data solutions; finance software, automation, and management information systems solutions; cloud, cyber security, digital connectivity, IT services, robotic process automation, and workplace IT solutions; and actuarial, defence, financial, healthcare, housing, legal, public safety, retail, retail banking, utility, and welfare and employability services. The company was formerly known as The Capita Group plc and changed its name to Capita plc in January 2012. Capita plc was founded in 1984 and is based in London, the United Kingdom.