SolarWinds (NYSE:SWI – Get Free Report) and Amesite (NASDAQ:AMST – Get Free Report) are both computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, profitability, risk, valuation, earnings, institutional ownership and dividends.
Risk and Volatility
SolarWinds has a beta of 0.88, suggesting that its stock price is 12% less volatile than the S&P 500. Comparatively, Amesite has a beta of 0.96, suggesting that its stock price is 4% less volatile than the S&P 500.
Insider & Institutional Ownership
94.0% of SolarWinds shares are owned by institutional investors. Comparatively, 3.6% of Amesite shares are owned by institutional investors. 2.0% of SolarWinds shares are owned by company insiders. Comparatively, 36.0% of Amesite shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.
Profitability
Net Margins | Return on Equity | Return on Assets | |
SolarWinds | 14.04% | 12.19% | 5.19% |
Amesite | -5,391.86% | -189.67% | -148.13% |
Analyst Recommendations
This is a breakdown of current ratings and price targets for SolarWinds and Amesite, as reported by MarketBeat.com.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
SolarWinds | 0 | 5 | 0 | 0 | 2.00 |
Amesite | 0 | 0 | 0 | 0 | 0.00 |
SolarWinds currently has a consensus target price of $18.00, suggesting a potential downside of 2.65%. Given SolarWinds’ stronger consensus rating and higher possible upside, analysts clearly believe SolarWinds is more favorable than Amesite.
Earnings and Valuation
This table compares SolarWinds and Amesite”s gross revenue, earnings per share and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
SolarWinds | $796.90 million | 4.02 | $111.90 million | $0.63 | 29.35 |
Amesite | $86,115.00 | 108.94 | -$4.40 million | ($1.76) | -1.91 |
SolarWinds has higher revenue and earnings than Amesite. Amesite is trading at a lower price-to-earnings ratio than SolarWinds, indicating that it is currently the more affordable of the two stocks.
Summary
SolarWinds beats Amesite on 10 of the 13 factors compared between the two stocks.
About SolarWinds
SolarWinds Corporation provides information technology (IT) management software products in the United States and internationally. It provides a suite of network management software that offers real-time visibility into network utilization and bandwidth, as well as the ability to detect, diagnose, and resolve network performance problems; and a suite of infrastructure management products, which monitors and analyzes the performance of applications and their supporting infrastructure, including servers, physical, virtual and cloud infrastructure, storage, and databases. The company also provides automated network configuration, log and event management, security information and event management, access rights management, identity monitoring, server configuration monitoring and patching, and secure gateway and file transfer products; a suite of application performance management software that enables visibility into log data, cloud infrastructure metrics, applications, tracing, and digital experiences; and service management software that offers ITIL-compliant service desk solutions for various companies. In addition, it offers a suite of database performance management software that monitors, analyzes, diagnoses, and optimizes database performance and operations for the Microsoft data platform, as well as other database management system platforms; traditional, open-source, and cloud-native databases hosted on-premises, in the cloud, and hybrid models. It markets and sells its products directly to network and systems engineers, database administrators, storage administrators, DevOps, SecOps, and service desk professionals. The company was formerly known as SolarWinds Parent, Inc. and changed its name to SolarWinds Corporation in May 2018. SolarWinds Corporation was founded in 1999 and is headquartered in Austin, Texas.
About Amesite
Amesite Inc., an artificial intelligence driven platform and course designer, that provides online products in the United States. The company uses machine learning to offer a mass customized experience to learners. It serves businesses, universities and colleges, K-12 schools, museums, and non-profit organizations. Amesite Inc. was incorporated in 2017 and is headquartered in Detroit, Michigan.
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