CommVault Systems (NASDAQ: CVLT) and Digital Turbine (NASDAQ:APPS) are both computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, dividends, institutional ownership, profitability, risk, valuation and earnings.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for CommVault Systems and Digital Turbine, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
CommVault Systems 0 1 8 0 2.89
Digital Turbine 0 0 4 0 3.00

CommVault Systems currently has a consensus target price of $70.67, indicating a potential upside of 15.94%. Digital Turbine has a consensus target price of $1.48, indicating a potential upside of 7.66%. Given CommVault Systems’ higher probable upside, research analysts clearly believe CommVault Systems is more favorable than Digital Turbine.

Volatility and Risk

CommVault Systems has a beta of 1.44, suggesting that its share price is 44% more volatile than the S&P 500. Comparatively, Digital Turbine has a beta of 1.25, suggesting that its share price is 25% more volatile than the S&P 500.

Profitability

This table compares CommVault Systems and Digital Turbine’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
CommVault Systems 0.35% 0.30% 0.17%
Digital Turbine -22.54% -31.91% -18.45%

Earnings and Valuation

This table compares CommVault Systems and Digital Turbine’s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
CommVault Systems $664.72 million 4.17 $9.35 million $0.05 1,219.00
Digital Turbine $93.63 million 0.97 -$9.37 million ($0.31) -4.42

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

Institutional and Insider Ownership

88.7% of CommVault Systems shares are owned by institutional investors. Comparatively, 19.2% of Digital Turbine shares are owned by institutional investors. 13.4% of CommVault Systems shares are owned by insiders. Comparatively, 4.8% of Digital Turbine shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

CommVault Systems beats Digital Turbine on 12 of the 13 factors compared between the two stocks.

About CommVault Systems

Commvault Systems, Inc. (Commvault) is a provider of data and information management software applications and related services. The Company develops, markets and sells a suite of software applications and services, primarily in North America, Europe, Australia and Asia, that provides its customers with data protection solutions supporting all operating systems, applications, and databases on virtual and physical servers, Network Attached Storage (NAS) shares, cloud-based infrastructures, and mobile devices; management through a single console; multiple protection methods, including backup and archive, snapshot management, replication, and content indexing for eDiscovery; storage management using deduplication for disk, tape and cloud; integration with the storage arrays; complete virtual infrastructure management supporting multiple hypervisors; security capabilities to limit access to critical data, and policy-based data management.

About Digital Turbine

Digital Turbine, Inc. is engaged in delivering end-to-end products and solutions for mobile operators, application advertisers, device original equipment manufacturers (OEMs) and other third parties to enable them to monetize mobile content. The Company operates its business in two operating segments: Advertising and Content. The Advertising segment consists of two businesses: Operator and OEM (O&O) and Advertiser and Publisher (A&P). The O&O business is an advertiser solution for carrier and OEM inventory consisting of services, such as Ignite, a mobile device management platform and Discover, an intelligent application discovery platform. Its A&P business is a mobile user acquisition network across the world consisting of services, such as syndicated network and real time bidding (RTB). The Content segment consists of services, including Marketplace, which is an application and content store, and Pay, which is a content management and mobile payment solution.

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