Reviewing Dassault Systemes (DASTY) and Its Competitors

Dassault Systemes (OTCMKTS:DASTY) is one of 954 public companies in the “Software” industry, but how does it compare to its competitors? We will compare Dassault Systemes to related companies based on the strength of its dividends, profitability, risk, institutional ownership, analyst recommendations, earnings and valuation.

Dividends

Dassault Systemes pays an annual dividend of $0.24 per share and has a dividend yield of 0.8%. Dassault Systemes pays out 20.9% of its earnings in the form of a dividend. As a group, “Software” companies pay a dividend yield of 2.0% and pay out 49.4% of their earnings in the form of a dividend.

Profitability

This table compares Dassault Systemes and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Dassault Systemes	21.28%	18.52%	10.82%
Dassault Systemes Competitors	-612.31%	21.01%	-8.89%

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Dassault Systemes and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Dassault Systemes	1	5	0	1	2.14
Dassault Systemes Competitors	5714	21418	44674	1492	2.57

As a group, “Software” companies have a potential upside of 27.83%. Given Dassault Systemes’ competitors stronger consensus rating and higher possible upside, analysts plainly believe Dassault Systemes has less favorable growth aspects than its competitors.

Volatility & Risk

Dassault Systemes has a beta of 0.99, meaning that its stock price is 1% less volatile than the S&P 500. Comparatively, Dassault Systemes’ competitors have a beta of 1.27, meaning that their average stock price is 27% more volatile than the S&P 500.

Insider and Institutional Ownership

0.0% of Dassault Systemes shares are owned by institutional investors. Comparatively, 41.8% of shares of all “Software” companies are owned by institutional investors. 19.9% of shares of all “Software” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Dassault Systemes and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Dassault Systemes	$7.05 billion	$1.35 billion	24.56
Dassault Systemes Competitors	$1.89 billion	$385.94 million	111.19

Dassault Systemes has higher revenue and earnings than its competitors. Dassault Systemes is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Summary

Dassault Systemes competitors beat Dassault Systemes on 9 of the 15 factors compared.

Dassault Systemes Company Profile

Dassault Systèmes SE provides software solutions and services worldwide. It offers SOLIDWORKS provides easy-to-use 2D and 3D product development solutions accessible to any business; CATIA, an engineering and design software for product 3D computer-aided design; GEOVIA for intersection of natural resources, infrastructure, and urban planning; and BIOVIA that develops chemicals, biologics, and materials experiences. The company provides SIMULIA that delivers realistic simulation applications; DELMIA, which enables global industrial operations; 3DVIA that provides 3D space planning solutions; and ENOVIA that enables to plan and track the definition of success for customer. In addition, it offers Centric PLM, a product lifecycle management software solution; 3DEXCITE, a real-time 3D visualization software; NETVIBES, which enables organizations to gather, align, and enrich big data; 3DEXPERIENCE platform that provides organizations a holistic and real-time view of their business activities and ecosystem, as well as connecting people, ideas, data, and solutions together in a single environment; and MEDIDATA, a clinical research study software that provides evidences and insights to pharmaceutical, biotech, medical device, and diagnostic companies, as well as academic researchers. The company distributes its products through direct and indirect sales channels. It primarily serves companies in the transportation and mobility; industrial equipment; aerospace and defense; high-tech; life sciences and healthcare; infrastructure, energy, and materials; home and lifestyle; architecture, engineering, and construction; cities, and public services; consumer packaged goods and retail; marine and offshore; and business services. Dassault Systèmes SE was incorporated in 1981 and is headquartered in Vélizy-Villacoublay, France.