Analyzing Perfect (NYSE:PERF) & ODDITY Tech (NASDAQ:ODD)

ODDITY Tech (NASDAQ:ODD) and Perfect (NYSE:PERF) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, valuation, analyst recommendations, earnings, institutional ownership, risk and dividends.

Earnings and Valuation

This table compares ODDITY Tech and Perfect”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ODDITY Tech	$751.85 million	2.89	$101.49 million	$1.80	21.65
Perfect	$66.90 million	2.47	$5.02 million	$0.05	38.80

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

Profitability

This table compares ODDITY Tech and Perfect’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ODDITY Tech	14.65%	32.17%	16.52%
Perfect	8.48%	3.55%	2.83%

Institutional & Insider Ownership

35.9% of ODDITY Tech shares are held by institutional investors. 44.7% of Perfect shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for ODDITY Tech and Perfect, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ODDITY Tech	0	5	7	0	2.58
Perfect	1	0	0	0	1.00

ODDITY Tech currently has a consensus target price of $73.90, indicating a potential upside of 89.63%. Given ODDITY Tech’s stronger consensus rating and higher probable upside, research analysts plainly believe ODDITY Tech is more favorable than Perfect.

Risk & Volatility

ODDITY Tech has a beta of 3.15, suggesting that its stock price is 215% more volatile than the S&P 500. Comparatively, Perfect has a beta of 0.45, suggesting that its stock price is 55% less volatile than the S&P 500.

Summary

ODDITY Tech beats Perfect on 12 of the 14 factors compared between the two stocks.

About ODDITY Tech

Oddity Tech Ltd. operates as a consumer tech company that builds digital-first brands for the beauty and wellness industries in the United States and internationally. It serves consumers worldwide through its AI-driven online platform, which uses data science, machine learning, and computer vision capabilities to identify consumer needs, and develop solutions in the form of beauty and wellness products. The company sells beauty, hair, and skin products under the IL MAKIAGE and SpoiledChild brands. In addition, it operates ODDITY LABS, a biotechnology center, which develops various ingredients, including novel molecules, probiotics, and peptides for beauty and wellness products. Oddity Tech Ltd. was incorporated in 2013 and is headquartered in Tel Aviv, Israel.

About Perfect

Perfect Corp. is a software as a service technology company, which engages in the business of developing makeup virtual try-on solutions. Its solutions include virtual try-ons for makeup, nail art, hairstyles, beard dye and styling, eyewear, jewelry, advanced skin diagnostic technology, foundation shade finder, and interactive artificial reality makeup application tutorial platform. Its brands include Estée Lauder, Clinique, MAC, e.l.e., benefit, Sally Hansen, Belcorp, Decorté, NARS, Aveda, Madisonreed, kate, Sofina iP, Jillstuart, Cosnova, Beekman, Marianna, Ardell, tarte, and Coffret D’or. It operates through the following geographical segments: United States, Japan, France, and Others. The company was founded by Alice H. Chang on February 13, 2015 and is headquartered in New Taipei, Taiwan.