Grid Dynamics (NASDAQ:GDYN) and Bottomline Technologies (de) (NASDAQ:EPAY) are both computer and technology companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, valuation, institutional ownership, analyst recommendations, earnings, risk and dividends.
Profitability
This table compares Grid Dynamics and Bottomline Technologies (de)'s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Grid Dynamics | N/A | -8.63% | -5.57% |
Bottomline Technologies (de) | -1.67% | 3.79% | 1.96% |
Analyst Recommendations
This is a breakdown of recent recommendations and price targets for Grid Dynamics and Bottomline Technologies (de), as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Grid Dynamics | 0 | 0 | 7 | 0 | 3.00 |
Bottomline Technologies (de) | 0 | 2 | 5 | 0 | 2.71 |
Grid Dynamics currently has a consensus price target of $26.90, indicating a potential upside of 84.75%. Bottomline Technologies (de) has a consensus price target of $54.2143, indicating a potential upside of 20.00%. Given Grid Dynamics' stronger consensus rating and higher probable upside, research analysts clearly believe Grid Dynamics is more favorable than Bottomline Technologies (de).
Institutional & Insider Ownership
41.9% of Grid Dynamics shares are held by institutional investors. Comparatively, 91.5% of Bottomline Technologies (de) shares are held by institutional investors. 15.6% of Grid Dynamics shares are held by company insiders. Comparatively, 2.6% of Bottomline Technologies (de) shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.
Volatility and Risk
Grid Dynamics has a beta of 0.91, meaning that its stock price is 9% less volatile than the S&P 500. Comparatively, Bottomline Technologies (de) has a beta of 1.29, meaning that its stock price is 29% more volatile than the S&P 500.
Earnings & Valuation
This table compares Grid Dynamics and Bottomline Technologies (de)'s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Grid Dynamics | N/A | N/A | $-3,320,000.00 | N/A | N/A |
Bottomline Technologies (de) | $442.22 million | 4.60 | $-9,230,000.00 | $0.35 | 129.09 |
Grid Dynamics has higher earnings, but lower revenue than Bottomline Technologies (de).
Summary
Grid Dynamics beats Bottomline Technologies (de) on 6 of the 11 factors compared between the two stocks.