Houghton Mifflin Harcourt (NASDAQ:HMHC) vs. John Wiley & Sons (NYSE:WLYB) Financial Comparison


Houghton Mifflin Harcourt (NASDAQ:HMHC – Get Rating) and John Wiley & Sons (NYSE:WLYB – Get Rating) are both mid-cap business services companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, valuation, profitability, risk, dividends and earnings.

Earnings and Valuation

This table compares Houghton Mifflin Harcourt and John Wiley & Sons’ gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Houghton Mifflin Harcourt $1.05 billion 2.56 $213.58 million $1.61 13.06
John Wiley & Sons $1.94 billion 1.51 $148.26 million $2.59 20.37

Houghton Mifflin Harcourt has higher earnings, but lower revenue than John Wiley & Sons. Houghton Mifflin Harcourt is trading at a lower price-to-earnings ratio than John Wiley & Sons, indicating that it is currently the most affordable of the two stocks.
Profitability

This table compares Houghton Mifflin Harcourt and John Wiley & Sons’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Houghton Mifflin Harcourt 20.33% 0.81% 0.11%
John Wiley & Sons 7.06% 18.61% 6.04%

Volatility & Risk

Houghton Mifflin Harcourt has a beta of 1.13, indicating that its share price is 13% more volatile than the S&P 500. Comparatively, John Wiley & Sons has a beta of 0.74, indicating that its share price is 26% less volatile than the S&P 500 .

Analyst Ratings

This is a summary of recent recommendations for Houghton Mifflin Harcourt and John Wiley & Sons, as provided by MarketBeat.

Sell ​​Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Houghton Mifflin Harcourt 0 2 0 0 2.00
John Wiley & Sons 0 0 0 0 N/A

Houghton Mifflin Harcourt currently has a consensus target price of $20.00, suggesting a potential downside of 4.90%. Given Houghton Mifflin Harcourt’s higher probable upside, research analysts plainly believe Houghton Mifflin Harcourt is more favorable than John Wiley & Sons.

Insider and Institutional Ownership

85.9% of Houghton Mifflin Harcourt shares are owned by institutional investors. 2.3% of Houghton Mifflin Harcourt shares are owned by insiders. Comparatively, 29.7% of John Wiley & Sons shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

About Houghton Mifflin Harcourt (Get Rating)

Houghton Mifflin Harcourt Company, a learning technology company, provides a curriculum, supplemental, intervention solutions, and professional learning services worldwide. It offers education programs in disciplines including reading, literature, math, science, and social studies; and extensions, such as supplemental and intervention solutions, professional services, professional resources, and educational services for teachers under the Heinemann brand. The company was formerly known as HMH Holdings (Delaware), Inc. and changed its name to Houghton Mifflin Harcourt Company in October 2013. Houghton Mifflin Harcourt Company was founded in 1832 and is headquartered in Boston, Massachusetts.

About John Wiley & Sons (Get Rating)

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