Verint Systems (NASDAQ:VRNT) and Godaddy (NYSE:GDDY) are both computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, earnings, dividends, institutional ownership, profitability, analyst recommendations and risk.
Insider & Institutional Ownership
95.8% of Verint Systems shares are owned by institutional investors. Comparatively, 95.5% of Godaddy shares are owned by institutional investors. 1.4% of Verint Systems shares are owned by company insiders. Comparatively, 7.6% of Godaddy shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Valuation & Earnings
This table compares Verint Systems and Godaddy’s top-line revenue, earnings per share (EPS) and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Verint Systems | $1.14 billion | 3.01 | -$6.62 million | $1.77 | 29.60 |
Godaddy | $2.23 billion | 5.66 | $136.40 million | $0.42 | 173.48 |
Godaddy has higher revenue and earnings than Verint Systems. Verint Systems is trading at a lower price-to-earnings ratio than Godaddy, indicating that it is currently the more affordable of the two stocks.
Volatility & Risk
Verint Systems has a beta of 1.14, suggesting that its stock price is 14% more volatile than the S&P 500. Comparatively, Godaddy has a beta of 0.64, suggesting that its stock price is 36% less volatile than the S&P 500.
Profitability
This table compares Verint Systems and Godaddy’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Verint Systems | 4.58% | 12.47% | 5.48% |
Godaddy | 4.96% | 8.01% | 0.86% |
Analyst Recommendations
This is a summary of recent ratings and recommmendations for Verint Systems and Godaddy, as reported by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Verint Systems | 0 | 0 | 6 | 0 | 3.00 |
Godaddy | 1 | 4 | 12 | 0 | 2.65 |
Verint Systems presently has a consensus price target of $56.67, indicating a potential upside of 8.16%. Godaddy has a consensus price target of $77.00, indicating a potential upside of 5.68%. Given Verint Systems’ stronger consensus rating and higher possible upside, analysts plainly believe Verint Systems is more favorable than Godaddy.
Verint Systems Company Profile
Godaddy Company Profile
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