Contrasting Educational Development (NASDAQ:EDUC) & fuboTV (NYSE:FUBO)

fuboTV (NYSE:FUBO) and Educational Development (NASDAQ:EDUC) are both small-cap communication services companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, profitability, risk, valuation, institutional ownership, dividends and earnings.

Volatility & Risk

fuboTV has a beta of 2.37, meaning that its share price is 137% more volatile than the S&P 500. Comparatively, Educational Development has a beta of 1.13, meaning that its share price is 13% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for fuboTV and Educational Development, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
fuboTV	1	2	6	1	2.70
Educational Development	1	0	0	0	1.00

fuboTV presently has a consensus target price of $16.83, indicating a potential upside of 118.47%. Given fuboTV’s stronger consensus rating and higher probable upside, analysts plainly believe fuboTV is more favorable than Educational Development.

Profitability

This table compares fuboTV and Educational Development’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
fuboTV	-0.71%	-7.67%	-1.33%
Educational Development	8.60%	-18.72%	-14.64%

Valuation and Earnings

This table compares fuboTV and Educational Development”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
fuboTV	$377.20 million	0.62	-$18.87 million	($1.28)	-6.02
Educational Development	$22.91 million	0.36	$2.33 million	$0.19	5.16

Educational Development has lower revenue, but higher earnings than fuboTV. fuboTV is trading at a lower price-to-earnings ratio than Educational Development, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

39.3% of fuboTV shares are owned by institutional investors. Comparatively, 19.6% of Educational Development shares are owned by institutional investors. 5.3% of fuboTV shares are owned by insiders. Comparatively, 11.9% of Educational Development 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.

Summary

fuboTV beats Educational Development on 10 of the 15 factors compared between the two stocks.

About fuboTV

fuboTV, Inc. engages in providing subscription to sports, news, and entertainment content. It offers its services through streaming devices and on television, mobile phones, tablets, and computers. The company was founded by David Gandler, Alberto Horihuela Suarez, and Sung Ho Choi on February 20, 2009 and is headquartered in New York, NY.

About Educational Development

Educational Development Corporation, a publishing company, operates as a publisher of educational children's books in the United States. It operates through two segments, PaperPie and Publishing. The company offers various books, including touchy-feely board books, activity books and flashcards, adventure and search books, art books, sticker books, and foreign language books, as well as internet-linked books comprising science and math titles, and chapter books and novels. It markets its products to retail accounts, which include book, school supply, toy and gift stores and museums, through commissioned sales representatives, trade and specialty wholesalers, and its internal tele-sales group; and through a network of independent sales consultants through internet sales, direct sales, home shows, and book fairs. Educational Development Corporation was incorporated in 1965 and is headquartered in Tulsa, Oklahoma.