HubSpot (NYSE:HUBS) and ANSYS (NASDAQ:ANSS) are both computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, valuation, dividends, institutional ownership, risk, earnings and analyst recommendations.
Earnings & Valuation
This table compares HubSpot and ANSYS’s top-line revenue, earnings per share and valuation.
Gross Revenue
Price/Sales Ratio
Net Income
Earnings Per Share
Price/Earnings Ratio
HubSpot
$512.98 million
13.08
-$63.82 million
($1.02)
-166.02
ANSYS
$1.29 billion
11.73
$419.38 million
$5.21
34.76
ANSYS has higher revenue and earnings than HubSpot. HubSpot is trading at a lower price-to-earnings ratio than ANSYS, indicating that it is currently the more affordable of the two stocks.
Risk & Volatility
HubSpot has a beta of 1.91, meaning that its stock price is 91% more volatile than the S&P 500. Comparatively, ANSYS has a beta of 1.35, meaning that its stock price is 35% more volatile than the S&P 500.
Insider and Institutional Ownership
95.7% of HubSpot shares are owned by institutional investors. Comparatively, 93.0% of ANSYS shares are owned by institutional investors. 9.6% of HubSpot shares are owned by insiders. Comparatively, 1.1% of ANSYS shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
Profitability
This table compares HubSpot and ANSYS’s net margins, return on equity and return on assets.
Net Margins
Return on Equity
Return on Assets
HubSpot
-12.44%
-17.08%
-5.04%
ANSYS
32.42%
17.83%
14.62%
Analyst Recommendations
This is a summary of current ratings for HubSpot and ANSYS, as reported by MarketBeat.com.
Sell Ratings
Hold Ratings
Buy Ratings
Strong Buy Ratings
Rating Score
HubSpot
0
7
10
0
2.59
ANSYS
1
4
10
0
2.60
HubSpot presently has a consensus target price of $175.07, indicating a potential upside of 3.38%. ANSYS has a consensus target price of $179.92, indicating a potential downside of 0.66%. Given HubSpot’s higher possible upside, equities analysts plainly believe HubSpot is more favorable than ANSYS.
Summary
ANSYS beats HubSpot on 8 of the 13 factors compared between the two stocks.
About HubSpot
HubSpot, Inc. provides a cloud-based marketing and sales software platform for businesses in the Americas, Europe, and the Asia Pacific. The company’s software platform includes integrated applications, such as customer relationship management, search engine optimization, blogging, Website content management, messaging, chatbots, social media, marketing automation, email, predictive lead scoring, sales productivity, ticketing and helpdesk tools, customer NPS surveys, analytics, and reporting. It also offers professional, as well as phone and/or email and chat based support services. It serves mid-market business-to-business companies. The company markets its products through inbound go-to-market approach, marketing agency, and sales partners. HubSpot, Inc. was founded in 2005 and is headquartered in Cambridge, Massachusetts.
About ANSYS
ANSYS, Inc. develops and markets engineering simulation software and services worldwide. The company offers ANSYS Workbench, a framework upon which the company’s engineering simulation technologies are built; ANSYS multiphysics software to simulate the interactions between structures, heat transfer, fluids, and electronics in a unified engineering simulation environment; and structural analysis product suite that provides simulation tools for product design and optimization. It also provides fluids product suite that enables modeling of fluid flow and other related physical phenomena; electronics product suite, which provides field simulation software for designing electronic and electromechanical products; and power analysis and optimization software suite. In addition, the company offers power analysis and optimization software suite that manages the power budget, power delivery integrity, and power-induced noise in an electronic design; SCADE product suite, a solution for embedded software simulation, code production, and automated certification; system simulation capability for the design of automated products; and high-performance computing product suite, which delivers cross-physics parallel processing capabilities for simulation software. Further, it provides Discovery product family for use in the simulation of product design; academic product suite with a portfolio of academic products based on associate, research, and teaching; ANSYS medini analyze, a suite for functional safety analysis; and ANSYS Fluent that automatically refines the mesh. The company serves engineers, designers, researchers, and students in the aerospace and defense, automotive, electronics, semiconductors, energy, materials and chemical processing, turbomachinery, consumer products, healthcare, and sports industries and academia. ANSYS, Inc. was founded in 1970 and is headquartered in Canonsburg, Pennsylvania.
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