Contrasting Galaxy Payroll Group (NASDAQ:GLXG) & DHI Group (NYSE:DHX)

DHI Group (NYSE:DHX) and Galaxy Payroll Group (NASDAQ:GLXG) are both small-cap industrials companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, earnings, dividends, profitability, valuation, risk and analyst recommendations.

Analyst Ratings

This is a summary of recent ratings and price targets for DHI Group and Galaxy Payroll Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
DHI Group	1	1	3	0	2.40
Galaxy Payroll Group	1	0	0	0	1.00

DHI Group currently has a consensus target price of $6.75, indicating a potential upside of 71.76%. Given DHI Group’s stronger consensus rating and higher probable upside, equities research analysts clearly believe DHI Group is more favorable than Galaxy Payroll Group.

Volatility & Risk

DHI Group has a beta of 1.21, meaning that its share price is 21% more volatile than the S&P 500. Comparatively, Galaxy Payroll Group has a beta of -2.68, meaning that its share price is 368% less volatile than the S&P 500.

Profitability

This table compares DHI Group and Galaxy Payroll Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
DHI Group	0.97%	13.01%	6.46%
Galaxy Payroll Group	N/A	N/A	N/A

Institutional and Insider Ownership

69.3% of DHI Group shares are held by institutional investors. 16.2% of DHI Group shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares DHI Group and Galaxy Payroll Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
DHI Group	$124.53 million	1.37	-$13.51 million	$0.03	131.00
Galaxy Payroll Group	$3.49 million	1.96	-$3.51 million	N/A	N/A

Galaxy Payroll Group has lower revenue, but higher earnings than DHI Group.

Summary

DHI Group beats Galaxy Payroll Group on 10 of the 12 factors compared between the two stocks.

About DHI Group

DHI Group, Inc. provides data, insights, and employment connections through specialized services for technology professionals and other select online communities in the United States. Its solutions include talent profiles; job postings; employer branding; and other services comprising virtual and live career events, sourcing services, and content and data services that provides tailored content to help professionals manage their careers and provide employers insight into recruiting strategies and trends. The company operates Dice that offers job postings of technology and non-technology companies for industries, such as positions for software engineers, big data professionals, systems administrators, database specialists, project managers, and various other technology and engineering professionals; and ClearanceJobs, an online career community, which matches security-cleared professionals with employers in a secure and private environment to fill the jobs that safeguard its nation. It serves small, mid-sized, and large direct employers; staffing companies; recruiting agencies; staffing and consulting firms; and marketing departments of companies, as well as direct hiring companies. The company offers its products and services primarily through its direct sales force and agency partner channel. The company was formerly known as Dice Holdings, Inc. and changed its name to DHI Group, Inc. in April 2015. DHI Group, Inc. was founded in 1990 and is headquartered in Centennial, Colorado.

About Galaxy Payroll Group

Galaxy Payroll Group Limited, through its subsidiaries, provides payroll outsourcing, employment, and consultancy and market research services. It has operations in Hong Kong, Macau, the People’s Republic of China, Taiwan, Japan, Australia, Thailand, Malaysia, Vietnam, India, Indonesia, and the Philippines. The company was founded in 2013 and is based in Sheung Wan, Hong Kong.