iHuman (NYSE:IH) & China Education Resources (OTCMKTS:CHNUF) Critical Review

iHuman (NYSE:IH) and China Education Resources (OTCMKTS:CHNUF) are both consumer defensive companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, institutional ownership, valuation, profitability, analyst recommendations, earnings and risk.

Institutional and Insider Ownership

4.9% of iHuman shares are owned by institutional investors. Comparatively, 11.6% of China Education Resources shares are owned by institutional investors. 63.6% of iHuman shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares iHuman and China Education Resources”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
iHuman	$962.05 million	0.11	$25.48 million	$0.39	5.03
China Education Resources	N/A	N/A	N/A	($0.07)	N/A

iHuman has higher revenue and earnings than China Education Resources. China Education Resources is trading at a lower price-to-earnings ratio than iHuman, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings and recommmendations for iHuman and China Education Resources, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
iHuman	0	0	0	0	N/A
China Education Resources	0	0	0	0	N/A

Profitability

This table compares iHuman and China Education Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
iHuman	15.12%	16.20%	10.65%
China Education Resources	N/A	N/A	N/A

Summary

iHuman beats China Education Resources on 7 of the 8 factors compared between the two stocks.

About iHuman

iHuman Inc. provides intellectual development products to individual users, kindergartens, and distributors in the People’s Republic of China. The company offers interactive and self-directed learning apps, including iHuman Chinese, iHuman ABC, iHuman Pinyin, iHuman Magic Thinking, iHuman Books, iHuman Stories, iHuman Reading, iHumanpedia, iHuman Kids Workout, iHuman Coding, iHuman Fun Idioms, iHuman Little Artists, iHuman Writing, iHuman Fantastic Friends, and iHuman Readers; bekids Coding, bekids Coloring, bekids Reading, bekids Puzzle, bekids Academy, and Gogo Town; and Aha World, an open-ended interactive app that nurtures a desire for discovery. It provides intellectually stimulating materials, including books, interactive materials, and smart devices that develop children’s abilities in speaking, critical thinking, independent reading, and creativity. iHuman Inc. was founded in 1996 and is based in Beijing, the People’s Republic of China.

About China Education Resources

China Education Resources Inc., an ed-tech company, provides education resources and services for teachers, students, parents, education professionals, and school administrators in the People's Republic of China and China. The company provides systems and contents for online/offline learning, training courses, and social media. It operates an education services portal, cersp.com that provides education resources and services to China's kindergarten to grade 12 education market. The company's portal offers school platform that provides a link between a school with its teachers, students, and parents; online tutoring program, a platform developed for a teacher to provide online tutoring services through the internet to students; and digital education products containing digital textbook tutorial materials and digital supplementary materials, such as lesson plans, course modules, and tests. It also develops and distributes educational textbooks and materials to bookstores and schools. The company was founded in 1997 and is headquartered in Vancouver, Canada.