Veea (NASDAQ:VEEA) versus Viavi Solutions (NASDAQ:VIAV) Critical Contrast

Veea (NASDAQ:VEEA) and Viavi Solutions (NASDAQ:VIAV) are both technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, risk, institutional ownership, dividends, profitability, analyst recommendations and earnings.

Analyst Recommendations

This is a summary of current recommendations and price targets for Veea and Viavi Solutions, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Veea	1	0	0	0	1.00
Viavi Solutions	1	2	6	0	2.56

Viavi Solutions has a consensus price target of $55.43, suggesting a potential upside of 66.35%. Given Viavi Solutions’ stronger consensus rating and higher probable upside, analysts clearly believe Viavi Solutions is more favorable than Veea.

Risk and Volatility

Veea has a beta of 0.29, meaning that its share price is 71% less volatile than the S&P 500. Comparatively, Viavi Solutions has a beta of 1.21, meaning that its share price is 21% more volatile than the S&P 500.

Valuation & Earnings

This table compares Veea and Viavi Solutions”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Veea	$220,000.00	73.79	-$6.66 million	($5.20)	-1.00
Viavi Solutions	$1.52 billion	5.40	-$30.40 million	($0.15)	-222.13

Veea has higher earnings, but lower revenue than Viavi Solutions. Viavi Solutions is trading at a lower price-to-earnings ratio than Veea, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

25.9% of Veea shares are held by institutional investors. Comparatively, 95.5% of Viavi Solutions shares are held by institutional investors. 60.8% of Veea shares are held by insiders. Comparatively, 1.2% of Viavi Solutions shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares Veea and Viavi Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Veea	N/A	N/A	-41.65%
Viavi Solutions	-2.00%	19.60%	7.48%

Summary

Viavi Solutions beats Veea on 9 of the 13 factors compared between the two stocks.

About Veea

Veea Inc. provides computing, multiaccess multiprotocol communications, edge storage, and cybersecurity solutions. The company offers multiaccess edge computing (MEC) platform that redefines connectivity and computing at the edge by integrating functions of servers, network attached storage (NAS), routers, firewalls, Wi-Fi Access Points, IoT gateways, and 4G and 5G connections; and Veea Edge Platform enables direct connections from the optical fiber, cellular, and satellite networks. It also provides VeeaHub STAX, an edge computing product integrated with wireless access, including Wi-Fi 6; VeeaHub that offers connectivity options for pro indoor smart edge applications; and VeeaHub Outdoor that integrates with wireless connectivity for smart edge applications in outdoor and industrial environments. The company also offers TROLLEE, a smart shopping cart platform; the VeeaHub toolkit; and Veea AdEdge, an advertising platform. Veea Inc. was founded in 2014 and is headquartered in New York, New York.

About Viavi Solutions

Viavi Solutions, Inc. engages in the provision of network test, monitoring, and assurance solutions for communications service providers, enterprises, network equipment manufacturers, government and avionics. It operates through the following segments: Network Enablement, Service Enablement, and Optical Security and Performance. The Network Enablement segment offers an integrated portfolio of testing solutions that access the network to perform build-out and maintenance tasks. The Service Enablement segment covers solutions and services primarily for communication service providers, and enterprises that deliver and/or operate broadband and IP networks (fixed and mobile) supporting voice, video, and data services as well as a wide range of applications. The Optical Security and Performance segment leverages its core optical coating technologies and volume manufacturing capability to design, manufacture, and sell products targeting anti-counterfeiting, consumer and industrial, government, healthcare, and other markets. The company was founded in 1979 and is headquartered in Chandler, AZ.