Financial Comparison: BlackLine (NASDAQ:BL) versus Tapinator (OTCMKTS:TAPM)

Tapinator (OTCMKTS:TAPM) and BlackLine (NASDAQ:BL) are both small-cap computer and technology companies, but which is the better business? We will compare the two businesses based on the strength of their risk, valuation, institutional ownership, earnings, dividends, profitability and analyst recommendations.

Insider & Institutional Ownership

95.1% of BlackLine shares are held by institutional investors. 25.8% of Tapinator shares are held by company insiders. Comparatively, 9.1% of BlackLine shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Tapinator and BlackLine’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tapinator	N/A	N/A	N/A
BlackLine	3.71%	18.86%	3.88%

Risk & Volatility

Tapinator has a beta of 1.33, meaning that its share price is 33% more volatile than the S&P 500. Comparatively, BlackLine has a beta of 0.66, meaning that its share price is 34% less volatile than the S&P 500.

Earnings and Valuation

This table compares Tapinator and BlackLine”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tapinator	$4.66 million	0.09	-$299,750.00	($0.11)	-1.40
BlackLine	$700.43 million	2.44	$24.17 million	$0.43	67.70

BlackLine has higher revenue and earnings than Tapinator. Tapinator is trading at a lower price-to-earnings ratio than BlackLine, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current ratings and recommmendations for Tapinator and BlackLine, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tapinator	0	0	0	0	0.00
BlackLine	2	7	5	0	2.21

BlackLine has a consensus target price of $43.25, suggesting a potential upside of 48.57%. Given BlackLine’s stronger consensus rating and higher probable upside, analysts plainly believe BlackLine is more favorable than Tapinator.

Summary

BlackLine beats Tapinator on 12 of the 14 factors compared between the two stocks.

About Tapinator

Tapinator, Inc. develops and publishes mobile games and applications on the iOS, Google Play, and Amazon platforms in North America and Europe. The company’s library includes approximately 300 titles, such as Video Poker Classic and Crypto Trillionaire. It also provides in-app purchase and subscription services. The company was founded in 2013 and is headquartered in New York, New York.

About BlackLine

BlackLine, Inc. operates a cloud-based software platform which is designed to transform accounting and finance operations for organizations of all types and sizes. Its scalable platform supports critical accounting processes such as the financial close, account reconciliations, intercompany accounting, and controls assurance. The company was founded by Therese Tucker in May 2001 and is headquartered in Woodland Hills, CA.