TheStreet (NASDAQ: TST) and Equifax (NYSE:EFX) are both computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, risk, earnings, valuation and analyst recommendations.

Profitability

This table compares TheStreet and Equifax’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
TheStreet -21.87% -1.30% -0.71%
Equifax 17.44% 24.88% 10.51%

Insider & Institutional Ownership

46.8% of TheStreet shares are held by institutional investors. Comparatively, 90.0% of Equifax shares are held by institutional investors. 9.7% of TheStreet shares are held by company insiders. Comparatively, 1.3% of Equifax shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Dividends

Equifax pays an annual dividend of $1.56 per share and has a dividend yield of 1.7%. TheStreet does not pay a dividend. Equifax pays out 33.1% of its earnings in the form of a dividend. Equifax has increased its dividend for 5 consecutive years.

Analyst Recommendations

This is a summary of recent recommendations for TheStreet and Equifax, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
TheStreet 0 0 2 0 3.00
Equifax 1 3 9 0 2.62

TheStreet presently has a consensus price target of $2.05, indicating a potential upside of 120.43%. Equifax has a consensus price target of $139.14, indicating a potential upside of 47.43%. Given TheStreet’s stronger consensus rating and higher probable upside, equities research analysts plainly believe TheStreet is more favorable than Equifax.

Valuation and Earnings

This table compares TheStreet and Equifax’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
TheStreet $62.38 million 0.53 $19,389.00 ($0.38) -2.45
Equifax $3.29 billion 3.45 $1.22 billion $4.72 20.00

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

Volatility and Risk

TheStreet has a beta of 0.7, meaning that its stock price is 30% less volatile than the S&P 500. Comparatively, Equifax has a beta of 0.93, meaning that its stock price is 7% less volatile than the S&P 500.

Summary

Equifax beats TheStreet on 12 of the 16 factors compared between the two stocks.

TheStreet Company Profile

TheStreet, Inc. (TheStreet) is a digital financial media company focused on the financial, and mergers and acquisitions environment. The Company’s collection of digital services provides users, subscribers and advertisers with a range of content and tools through a range of online, social media, tablet and mobile channels. With a suite of digital services, TheStreet offers the tools and insights needed to make informed decisions about earning, investing, saving and spending money. TheStreet provides interactive multimedia coverage of the financial markets, economy, industry trends, investment and financial planning. Its subscription products are designed to address the needs of investors with various areas of interest, including fledgling investors, day and swing traders, and fundamental, technical and options traders. Its RateWatch business publishes bank rate market information on a subscription basis to financial institutions and government agencies.

Equifax Company Profile

Equifax Inc. is a global provider of information solutions and human resources business process outsourcing services for businesses, governments and consumers. The Company operates in four segments: U.S. Information Solutions (USIS), International, Workforce Solutions and Global Consumer Solutions. Its products and services are based on databases of consumer and business information derived from various sources, including credit, financial assets, telecommunications and utility payments, employment, income, demographic and marketing data. It uses statistical techniques and software tools to analyze all available data, creating customized insights, decision-making solutions and processing services for its clients. It helps consumers understand, manage and protect their personal information and make more informed financial decisions. The Company also provides information, technology and services to support debt collections and recovery management.

Receive News & Stock Ratings for TheStreet Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for TheStreet Inc. and related stocks with our FREE daily email newsletter.