Critical Comparison: Color Star Technology (NASDAQ:ADD) and PCS Edventures! (OTCMKTS:PCSV)

PCS Edventures! (OTCMKTS:PCSV) and Color Star Technology (NASDAQ:ADD) are both small-cap computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, dividends, profitability, analyst recommendations, valuation, earnings and risk.

Risk and Volatility

PCS Edventures! has a beta of 0.51, indicating that its stock price is 49% less volatile than the S&P 500. Comparatively, Color Star Technology has a beta of 1.76, indicating that its stock price is 76% more volatile than the S&P 500.

Profitability

This table compares PCS Edventures! and Color Star Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PCS Edventures!	48.83%	85.96%	75.18%
Color Star Technology	N/A	N/A	N/A

Earnings and Valuation

This table compares PCS Edventures! and Color Star Technology’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PCS Edventures!	$9.10 million	4.11	$4.44 million	$0.04	7.50
Color Star Technology	$16.52 million	0.20	-$37.85 million	N/A	N/A

PCS Edventures! has higher earnings, but lower revenue than Color Star Technology.

Analyst Recommendations

This is a breakdown of current recommendations for PCS Edventures! and Color Star Technology, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PCS Edventures!	0	0	0	0	N/A
Color Star Technology	0	0	0	0	N/A

Institutional and Insider Ownership

3.4% of Color Star Technology shares are owned by institutional investors. 42.9% of PCS Edventures! shares are owned by company insiders. Comparatively, 38.9% of Color Star Technology shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

PCS Edventures! beats Color Star Technology on 6 of the 9 factors compared between the two stocks.

About PCS Edventures!

PCS Edventures!, Inc. develops, markets, and distributes technology-based educational products and services to the pre-kindergarten through university classroom, the K-12 afterschool, the private learning center, and the home school markets in the United States and internationally. Its products include PCS Edventures! Labs, a learning center that offers teaching in science, technology, engineering, and math (STEM); and PCS BrickLab, a system of building blocks combined with PCS curriculum resources that address technology, math, construction engineering, communication, and science principles. The company also provides PCS Digital Media Labs, which contains lesson plans, a hard cover mobile case, digital cameras, camcorders or voice recorders, accessories, and a teacher guide; and PCS Academy of Engineering Lab, a STEM based program that is designed for use in tech-ed programs and for various environments through 10 student modules, such as hardware, software, lab furniture, and curriculum. In addition, it offers PCS Edventures Robotics system, a platform that provides various robotics lab implementations to its RiQ robot kits for home users, as well as engages students in various areas, including computer programming, physics, math, and other topics; PCS Discover STEM Lab, a modular program that provides activities for afterschool facilitators in the areas of STEM; summer camp packages, which offer summer camp solutions for schools and afterschool programs; and Riot, a racing drone product. PCS Edventures!, Inc. was incorporated in 1994 and is based in Boise, Idaho.

About Color Star Technology

Color Star Technology Co., Ltd., an entertainment and education company, provides online entertainment performances and music education services in the United States and China. The company operates Color World, an online platform of curriculum that includes music, sports, animation, painting and calligraphy, film and television, life skills, etc. Its Color World platform provides celebrity lectures, celebrity concert videos, celebrity peripheral products, and artist interactive communication services. The company was formerly known as Huitao Technology Co., Ltd. and changed its name to Color Star Technology Co., Ltd. in May 2020. The company was founded in 2002 and is based in New York, New York.