HolidayCheck Group (ETR:HOC) and GFT Technologies (ETR:GFT) are both small-cap computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, institutional ownership, earnings, risk, analyst recommendations, dividends and valuation.
Analyst Ratings
This is a breakdown of recent ratings and target prices for HolidayCheck Group and GFT Technologies, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
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HolidayCheck Group | 0 | 0 | 0 | 0 | N/A |
GFT Technologies | 0 | 0 | 1 | 0 | 3.00 |
GFT Technologies has a consensus price target of €14.50, suggesting a potential downside of 10.93%. Given GFT Technologies' higher possible upside, analysts clearly believe GFT Technologies is more favorable than HolidayCheck Group.
Earnings & Valuation
This table compares HolidayCheck Group and GFT Technologies' top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
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HolidayCheck Group | $15.80 million | 12.73 | $-110,125,233.60 | (€1.26) | -1.83 |
GFT Technologies | $444.85 million | 0.96 | $9.95 million | €0.38 | 43.07 |
GFT Technologies has higher revenue and earnings than HolidayCheck Group. HolidayCheck Group is trading at a lower price-to-earnings ratio than GFT Technologies, indicating that it is currently the more affordable of the two stocks.
Dividends
HolidayCheck Group pays an annual dividend of €0.04 per share and has a dividend yield of 1.7%. GFT Technologies pays an annual dividend of €0.20 per share and has a dividend yield of 1.2%. HolidayCheck Group pays out -3.2% of its earnings in the form of a dividend. GFT Technologies pays out 52.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. HolidayCheck Group is clearly the better dividend stock, given its higher yield and lower payout ratio.
Profitability
This table compares HolidayCheck Group and GFT Technologies' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
HolidayCheck Group | N/A | N/A | N/A |
GFT Technologies | N/A | N/A | N/A |
Summary
GFT Technologies beats HolidayCheck Group on 6 of the 9 factors compared between the two stocks.