As Application Software companies, Gridsum Holding Inc. (NASDAQ:GSUM) and RingCentral Inc. (NYSE:RNG) are our subject to compare. And more specifically their profitability, analyst recommendations, risk, institutional ownership, dividends, earnings and valuation.
Earnings & Valuation
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Gridsum Holding Inc. | N/A | 0.00 | N/A | -1.60 | 0.00 |
| RingCentral Inc. | 724.77M | 13.97 | 29.84M | -0.33 | 0.00 |
Table 1 highlights Gridsum Holding Inc. and RingCentral Inc.’s gross revenue, earnings per share (EPS) and valuation.
Profitability
Table 2 provides us the net margins, return on equity and return on assets of both businesses.
| Net Margins | Return on Equity | Return on Assets | |
| Gridsum Holding Inc. | 0.00% | -57.2% | -24.6% |
| RingCentral Inc. | -4.12% | 10.8% | 4.2% |
Liquidity
The Current Ratio and a Quick Ratio of Gridsum Holding Inc. are 2 and 2. Competitively, RingCentral Inc. has 4.1 and 4.1 for Current and Quick Ratio. RingCentral Inc.’s better ability to pay short and long-term obligations than Gridsum Holding Inc.
Analyst Recommendations
The next table highlights the given recommendations and ratings for Gridsum Holding Inc. and RingCentral Inc.
| Sell Ratings | Hold Ratings | Buy Ratings | Rating Score | |
| Gridsum Holding Inc. | 0 | 0 | 0 | 0.00 |
| RingCentral Inc. | 0 | 1 | 5 | 2.83 |
Competitively RingCentral Inc. has a consensus price target of $112.75, with potential downside of -8.75%.
Insider and Institutional Ownership
The shares of both Gridsum Holding Inc. and RingCentral Inc. are owned by institutional investors at 40.9% and 0% respectively. About 5.3% of Gridsum Holding Inc.’s share are owned by insiders. Comparatively, 1.5% are RingCentral Inc.’s share owned by insiders.
Performance
Here are the Weekly, Monthly, Quarterly, Half Yearly, Yearly and YTD Performance of both pretenders.
| Performance (W) | Performance (M) | Performance (Q) | Performance (HY) | Performance (Y) | Performance (YTD) | |
| Gridsum Holding Inc. | 1.29% | 79.09% | -6.86% | -33.22% | -61.6% | 76.68% |
| RingCentral Inc. | -1.98% | 12.03% | 31.16% | 10.23% | 65.43% | 25.62% |
For the past year Gridsum Holding Inc. has stronger performance than RingCentral Inc.
Summary
On 7 of the 10 factors RingCentral Inc. beats Gridsum Holding Inc.
Gridsum Holding Inc. provides data analysis software for multinational and domestic enterprises, and government agencies in China. Its proprietary distributed data architecture allows its customers to collect and analyze vast amounts of information; and Gridsum Big Data platform performs multi-dimensional correlation analysis and analyzes complex real-time events. The company offers Web Dissector to analyze customer Websites by monitoring and analyzing key performance indicators; Mobile Dissector to understand mobile app user activity; SEM Dissector for search engine marketing; SEO Dissector, a search engine optimization tool; Ad Dissector, an advertisement performance monitoring and optimization product; Contribution Dissector to evaluate the performance of advertising campaigns; Audience Dissector, an audience analysis product; Recommendation Engine, a data driven content recommendation solution. It also provides Government Web Dissector, a digital intelligence solution; Government Website Group Integrated Management Platform, an integrated management platform; Streaming Dissector, a real-time viewership analysis and operational efficiency monitor for digital online video; Video Dissector, an online video content analytics tool; TV Dissector, an analytics tool; Rating Plus, a television viewing data analytics tool; and Media Dissector, a mass, social, and user-generated content media monitoring and analytics tool. In addition, the company offers Law Dissector, a search and statistical analysis tool; Smart Push, a legal research tool; Information Dissector, an insightful analytical system; Social Listening, a could-based social listening solution; Gridsum Dashboard, a data visualization tool; and Gridsum Report Center, an automated report generation and distribution tool. Further, it develops new media analytics and information discovery solutions to address a range of customer needs. The company was founded in 2005 and is headquartered in Beijing, China.
RingCentral, Inc. provides software-as-a-service solutions for business communications in the United States and internationally. The companyÂ’s products include RingCentral Office, a multi-tenant, multi-location, enterprise-grade communications solution that enables employees to communicate through voice, text, team messaging and collaboration, and HD video and Web conferencing, including smartphones, tablets, PCs, and desk phones for businesses that require a communications solution; RingCentral Professional, an inbound call routing subscription with text and fax capabilities primarily for smaller businesses; and RingCentral Fax solution that provides Internet fax capabilities, which allow businesses to send and receive fax documents without the need for a fax machine. Its products also comprise RingCentral Contact Center, which provides a cloud based contact center solution that delivers multi-channel capabilities; and RingCentral Glip, a team messaging and collaboration solution that allows a range of teams to stay connected through various modes of communication through an integration with RingCentral Office. The company serves advertising, healthcare, real estate, retail, technology, insurance, education, waste management, construction, restaurant, software, solar, automotive dealership, managed care, and publishing industries; and financial, legal, and security service providers, as well as non-profit organizations through its direct sales representatives and resellers. RingCentral, Inc. was founded in 1999 and is headquartered in Belmont, California.
Receive News & Ratings Via Email – Enter your email address below to receive a concise daily summary of the latest news and analysts’ ratings with our FREE daily email newsletter.