SS&C Technologies (SSNC) versus The Competition Head to Head Comparison

SS&C Technologies (NASDAQ:SSNC) is one of 203 public companies in the “Professional Services” industry, but how does it contrast to its competitors? We will compare SS&C Technologies to related businesses based on the strength of its dividends, analyst recommendations, valuation, institutional ownership, earnings, risk and profitability.

Dividends

SS&C Technologies pays an annual dividend of $1.20 per share and has a dividend yield of 1.5%. SS&C Technologies pays out 34.5% of its earnings in the form of a dividend. As a group, “Professional Services” companies pay a dividend yield of 2.4% and pay out -159.5% of their earnings in the form of a dividend. SS&C Technologies has increased its dividend for 9 consecutive years. SS&C Technologies lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.

Risk & Volatility

SS&C Technologies has a beta of 1.04, indicating that its share price is 4% more volatile than the S&P 500. Comparatively, SS&C Technologies’ competitors have a beta of 0.96, indicating that their average share price is 4% less volatile than the S&P 500.

Valuation and Earnings

This table compares SS&C Technologies and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
SS&C Technologies	$6.27 billion	$796.90 million	22.33
SS&C Technologies Competitors	$3.29 billion	$228.38 million	33.54

SS&C Technologies has higher revenue and earnings than its competitors. SS&C Technologies 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.

Profitability

This table compares SS&C Technologies and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SS&C Technologies	12.76%	21.74%	7.25%
SS&C Technologies Competitors	0.21%	36.58%	4.42%

Insider and Institutional Ownership

96.9% of SS&C Technologies shares are held by institutional investors. Comparatively, 57.4% of shares of all “Professional Services” companies are held by institutional investors. 16.0% of SS&C Technologies shares are held by company insiders. Comparatively, 17.1% of shares of all “Professional Services” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and price targets for SS&C Technologies and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SS&C Technologies	1	2	8	1	2.75
SS&C Technologies Competitors	1591	6474	9182	432	2.48

SS&C Technologies presently has a consensus price target of $96.57, suggesting a potential upside of 24.27%. As a group, “Professional Services” companies have a potential upside of 27.35%. Given SS&C Technologies’ competitors higher probable upside, analysts plainly believe SS&C Technologies has less favorable growth aspects than its competitors.

Summary

SS&C Technologies beats its competitors on 9 of the 15 factors compared.

About SS&C Technologies

SS&C Technologies Holdings, Inc. engages in the development and provision of software solutions to the financial services and healthcare industries. It operates through the following geographical segments: United States, Europe, Middle East and Africa, Asia Pacific and Japan, Canada, and the Americas, excluding the United States and Canada. Its products include advent genesis, antares, asset allocators, AWD, axys, BANC mall, BRIX, DST vision, evare, lightning, and moxy. The company was founded by William Charles Stone in March 1986 and is headquartered in Windsor, CT.