Head-To-Head Review: Atlantic International (NASDAQ:ATLN) & Insperity (NYSE:NSP)

Insperity (NYSE:NSP) and Atlantic International (NASDAQ:ATLN) are both business services companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, earnings, valuation, risk, dividends, analyst recommendations and institutional ownership.

Analyst Recommendations

This is a summary of recent recommendations for Insperity and Atlantic International, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Insperity	1	3	0	0	1.75
Atlantic International	0	0	0	0	0.00

Insperity presently has a consensus target price of $95.67, suggesting a potential upside of 8.36%. Given Insperity’s stronger consensus rating and higher probable upside, equities analysts plainly believe Insperity is more favorable than Atlantic International.

Insider and Institutional Ownership

93.4% of Insperity shares are held by institutional investors. 5.5% of Insperity shares are held by company insiders. Comparatively, 22.3% of Atlantic International shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Risk and Volatility

Insperity has a beta of 1.02, indicating that its stock price is 2% more volatile than the S&P 500. Comparatively, Atlantic International has a beta of 1.86, indicating that its stock price is 86% more volatile than the S&P 500.

Valuation & Earnings

This table compares Insperity and Atlantic International”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Insperity	$6.58 billion	0.50	$91.00 million	$2.41	36.63
Atlantic International	$27.89 million	7.09	-$5.63 million	($8.24)	-0.48

Insperity has higher revenue and earnings than Atlantic International. Atlantic International is trading at a lower price-to-earnings ratio than Insperity, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Insperity and Atlantic International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Insperity	1.38%	72.22%	4.16%
Atlantic International	N/A	-298.20%	-42.32%

Summary

Insperity beats Atlantic International on 10 of the 13 factors compared between the two stocks.

About Insperity

Insperity, Inc. engages in the provision of human resources (HR) and business solutions to improve business performance for small and medium-sized businesses primarily in the United States. It offers its HR services through its workforce optimization and workforce synchronization solutions that include a range of human resources functions, such as payroll and employment administration, employee benefits, workers' compensation, government compliance, performance management, and training and development services. The company also provides Insperity Premier, a cloud-based human capital management platform that offers professional employer organization HR outsourcing solutions to its clients; people management services; and employer liability management services, as well as solutions for middle market. In addition, it offers MarketPlace, an e-commerce portal that offers a range of products and services; and Workforce Acceleration, a human capital management and payroll services solution; integrated payroll; benefits administration; HR administration and employee onboarding; time and attendance; performance management; reporting and analytics; recruiting; employment screening; retirement; and insurance services. The company was formerly known as Administaff, Inc. and changed its name to Insperity, Inc. in March 2011. Insperity, Inc. was founded in 1986 and is headquartered in Kingwood, Texas.

About Atlantic International

Atlantic International Corp. engages in the design, development, and manufacture of genetic analysis technologies. Its services include RNA sequencing and DNA sequencing. The company was founded by William C. St. Laurent and Daniel R. Jones in 2013 and is headquartered in Billercia, MA.