Red Cat (RCAT) Competitors

Braze (NASDAQ:BRZE) and Red Cat (NASDAQ:RCAT) are both computer software companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, media sentiment, profitability, earnings, dividends and risk.

Which has more volatility and risk, BRZE or RCAT?

Braze has a beta of 1.1, meaning that its stock price is 10% more volatile than the S&P 500. Comparatively, Red Cat has a beta of 1.44, meaning that its stock price is 44% more volatile than the S&P 500.

Which has stronger valuation & earnings, BRZE or RCAT?

Red Cat has lower revenue, but higher earnings than Braze. Braze is trading at a lower price-to-earnings ratio than Red Cat, 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
Braze	$620.01M	4.58	-$103.74M	-$1.01	-26.64
Red Cat	$17.84M	45.53	-$49.67M	-$0.54	-16.35

Is BRZE or RCAT more profitable?

Red Cat has a net margin of 0.00% compared to Braze's net margin of -16.76%. Braze's return on equity of -18.89% beat Red Cat's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Braze	-16.76%	-18.89%	-10.26%
Red Cat	N/A	-98.48%	-75.68%

Do institutionals and insiders hold more shares of BRZE or RCAT?

90.5% of Braze shares are held by institutional investors. Comparatively, 38.0% of Red Cat shares are held by institutional investors. 18.2% of Braze shares are held by company insiders. Comparatively, 15.3% of Red Cat shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Do analysts rate BRZE or RCAT?

Braze currently has a consensus price target of $45.50, suggesting a potential upside of 69.08%. Red Cat has a consensus price target of $13.00, suggesting a potential upside of 47.23%. Given Braze's higher probable upside, analysts clearly believe Braze is more favorable than Red Cat.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Braze	0 Sell rating(s)	1 Hold rating(s)	20 Buy rating(s)	0 Strong Buy rating(s)	2.95
Red Cat	0 Sell rating(s)	0 Hold rating(s)	1 Buy rating(s)	1 Strong Buy rating(s)	3.50

Does the media prefer BRZE or RCAT?

In the previous week, Red Cat had 1 more articles in the media than Braze. MarketBeat recorded 8 mentions for Red Cat and 7 mentions for Braze. Braze's average media sentiment score of 0.90 beat Red Cat's score of 0.60 indicating that Braze is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Braze	5 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Red Cat	2 Very Positive mention(s)	2 Positive mention(s)	4 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Summary

Red Cat beats Braze on 9 of the 17 factors compared between the two stocks.