Critical Analysis: Relx (NYSE:RELX) vs. China CGame (OTCMKTS:CCGM)

Relx (NYSE:RELX) and China CGame (OTCMKTS:CCGM) are both computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their earnings, dividends, institutional ownership, risk, profitability, analyst recommendations and valuation.

Risk & Volatility

Relx has a beta of 0.77, suggesting that its share price is 23% less volatile than the S&P 500. Comparatively, China CGame has a beta of 13.34, suggesting that its share price is 1,234% more volatile than the S&P 500.

Insider & Institutional Ownership

15.0% of Relx shares are owned by institutional investors. 0.0% of Relx shares are owned by insiders. Comparatively, 53.4% of China CGame shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Relx and China CGame’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Relx	N/A	N/A	N/A
China CGame	N/A	N/A	N/A

Earnings and Valuation

This table compares Relx and China CGame”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Relx	$12.06 billion	6.10	$2.47 billion	N/A	N/A
China CGame	N/A	N/A	N/A	N/A	N/A

Relx has higher revenue and earnings than China CGame.

Analyst Recommendations

This is a summary of current recommendations and price targets for Relx and China CGame, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Relx	0	1	5	1	3.00
China CGame	0	0	0	0	0.00

Given China CGame’s higher possible upside, analysts clearly believe China CGame is more favorable than Relx.

Summary

Relx beats China CGame on 5 of the 8 factors compared between the two stocks.

About Relx

RELX Plc engages in provision of information and analytics solutions for professional and business customers across industries. It operates through the following business segments: Scientific, Technical & Medical; Risk & Business Analytics; Legal; and Exhibitions. The Scientific, Technical & Medical segment is a global information analytics business that helps institutions and professionals advance healthcare, open science, and improve performance for the benefit of humanity. The Risk & Business Analytics segment provides customers with solutions and decision tools that combine public and industry specific content with advanced technology and analytics to assist them in evaluating and predicting risk and enhancing operational efficiency. The Legal segment is a global provider of legal, regulatory and business information and analytics that helps customers increase productivity, improve decision-making and outcomes and advance the rule of law around the world. The Exhibitions segment is an event business, enhancing the effect of face-to-face through data and digital tools. The company was founded by Albert Edward Reed in 1903 and is headquartered in London, the United Kingdom.

About China CGame

China CGame, Inc. develops Massively Multiplayer Online Role Playing Game (MMORPG) in China. It focuses on self-developed MMORPGs game titles that are based on China’s iconic characters and nostalgic epochs. The company owns two self-developed game engines, Turbo and Apocalypse. It intends to sell prepaid game cards to a range of regional distributors in China; and directly sell game points to players through its online sales platform. The company was formerly known as China Architectural Engineering, Inc. and changed its name to China CGame, Inc. in March 2011. China CGame, Inc. was founded in 1992 and is based in Changzhou, China.