Intuit (NASDAQ: INTU) and Brightcove (NASDAQ:BCOV) are both computer and technology companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, earnings, dividends, profitability, risk, valuation and analyst recommendations.

Analyst Ratings

This is a breakdown of current recommendations for Intuit and Brightcove, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Intuit 1 7 12 0 2.55
Brightcove 0 1 2 0 2.67

Intuit currently has a consensus target price of $143.88, suggesting a potential downside of 5.60%. Brightcove has a consensus target price of $8.42, suggesting a potential upside of 15.30%. Given Brightcove’s stronger consensus rating and higher possible upside, analysts plainly believe Brightcove is more favorable than Intuit.

Dividends

Intuit pays an annual dividend of $1.56 per share and has a dividend yield of 1.0%. Brightcove does not pay a dividend. Intuit pays out 41.9% of its earnings in the form of a dividend.

Profitability

This table compares Intuit and Brightcove’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Intuit 18.76% 82.43% 22.68%
Brightcove -14.58% -25.11% -13.88%

Valuation & Earnings

This table compares Intuit and Brightcove’s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio NetIncome Earnings Per Share Price/Earnings Ratio
Intuit $5.18 billion 7.51 $971.00 million $3.72 40.97
Brightcove $150.27 million 1.68 -$9.98 million ($0.66) -11.06

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

Institutional & Insider Ownership

86.2% of Intuit shares are owned by institutional investors. Comparatively, 60.9% of Brightcove shares are owned by institutional investors. 5.7% of Intuit shares are owned by insiders. Comparatively, 12.7% of Brightcove shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Volatility & Risk

Intuit has a beta of 1.18, indicating that its share price is 18% more volatile than the S&P 500. Comparatively, Brightcove has a beta of 1.96, indicating that its share price is 96% more volatile than the S&P 500.

Summary

Intuit beats Brightcove on 10 of the 15 factors compared between the two stocks.

Intuit Company Profile

Intuit Inc. is a provider of business and financial management solutions for small businesses, consumers and accounting professionals. The Company operates through three segments: Small Business, Consumer Tax and ProConnect. The Small Business segment serves and advises small businesses and the accounting professionals, and includes QuickBooks financial and business management online services and desktop software, payroll solutions, and payment processing solutions. The Small Business segment also includes third-party applications that integrate with the Company’s offerings. The Consumer Tax segment targets consumers and includes TurboTax products and services, which enable individuals to prepare and file their own federal and state personal income tax returns. The ProConnect segment targets professional accountants in the United States and Canada. Its ProConnect professional tax offerings include Lacerte, ProSeries, ProFile and ProConnect Tax Online.

Brightcove Company Profile

Brightcove Inc. is a global provider of cloud-based services for video. The Company’s products and services include Brightcove Video Cloud (Video Cloud), Brightcove Zencoder (Zencoder), Brightcove Once (Once), Brightcove Perform (Perform), Brightcove Video Marketing Suite (Video Marketing Suite), Brightcove Lift (Lift), Brightcove OTT Flow (OTT Flow) and Brightcove Enterprise Video Suite (Enterprise Video Suite), among others. Video Cloud is an online video platform. Video Cloud enables its customers to publish and distribute video to Internet-connected devices. Zencoder is a cloud-based video encoding service. Once is a cloud-based advertisement insertion and video stitching service. Perform is a cloud-based service for creating and managing video player experiences. Video Marketing Suite is a suite of video technologies designed to address the needs of marketers to drive awareness, engagement and conversion.

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