Formula Systems (1985) (FORTY) Competitors

Formula Systems (1985) (NASDAQ:FORTY) and Dropbox (NASDAQ:DBX) are both mid-cap computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, analyst recommendations, institutional ownership, media sentiment, dividends, profitability, valuation and risk.

Which has more risk & volatility, FORTY or DBX?

Formula Systems (1985) has a beta of 0.94, suggesting that its stock price is 6% less volatile than the S&P 500. Comparatively, Dropbox has a beta of 0.7, suggesting that its stock price is 30% less volatile than the S&P 500.

Does the media refer more to FORTY or DBX?

In the previous week, Dropbox had 17 more articles in the media than Formula Systems (1985). MarketBeat recorded 20 mentions for Dropbox and 3 mentions for Formula Systems (1985). Formula Systems (1985)'s average media sentiment score of 1.06 beat Dropbox's score of 0.79 indicating that Formula Systems (1985) is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Formula Systems (1985)	2 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Dropbox	10 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Do insiders & institutionals believe in FORTY or DBX?

34.8% of Formula Systems (1985) shares are held by institutional investors. Comparatively, 94.8% of Dropbox shares are held by institutional investors. 23.3% of Formula Systems (1985) shares are held by insiders. Comparatively, 30.0% of Dropbox shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Do analysts recommend FORTY or DBX?

Dropbox has a consensus target price of $30.33, indicating a potential downside of 1.62%. Given Dropbox's stronger consensus rating and higher possible upside, analysts plainly believe Dropbox is more favorable than Formula Systems (1985).

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Formula Systems (1985)	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00
Dropbox	0 Sell rating(s)	3 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	2.00

Is FORTY or DBX more profitable?

Dropbox has a net margin of 19.17% compared to Formula Systems (1985)'s net margin of 2.70%. Formula Systems (1985)'s return on equity of 5.58% beat Dropbox's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Formula Systems (1985)	2.70%	5.58%	2.58%
Dropbox	19.17%	-61.31%	19.38%

Which has stronger earnings & valuation, FORTY or DBX?

Dropbox has lower revenue, but higher earnings than Formula Systems (1985). Dropbox is trading at a lower price-to-earnings ratio than Formula Systems (1985), indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Formula Systems (1985)	$2.76B	0.77	$79.67M	$4.97	28.01
Dropbox	$2.55B	3.27	$452.30M	$1.64	18.80

Summary

Dropbox beats Formula Systems (1985) on 9 of the 15 factors compared between the two stocks.