Incontact (NASDAQ: SAAS) and Rally Software Development (NYSE:RALY) are both technology companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, earnings, analyst recommendations, valuation, profitability, dividends and risk.

Earnings and Valuation

This table compares Incontact and Rally Software Development’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Incontact N/A N/A N/A ($0.32) -43.72
Rally Software Development N/A N/A N/A ($1.27) -15.35

Incontact is trading at a lower price-to-earnings ratio than Rally Software Development, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Incontact and Rally Software Development’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Incontact -10.24% -22.75% -10.27%
Rally Software Development -28.33% -54.33% -25.93%

Analyst Ratings

This is a summary of current ratings for Incontact and Rally Software Development, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Incontact 0 1 0 0 2.00
Rally Software Development 0 0 0 0 N/A

Incontact currently has a consensus price target of $14.00, suggesting a potential upside of 0.07%. Given Incontact’s higher possible upside, equities research analysts plainly believe Incontact is more favorable than Rally Software Development.

Insider & Institutional Ownership

93.5% of Incontact shares are owned by institutional investors. 6.3% of Incontact shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Incontact beats Rally Software Development on 7 of the 8 factors compared between the two stocks.

About Incontact

inContact, Inc. (inContact) is a provider of cloud contact center software solutions. The Company provides a range of cloud contact center call routing, self-service and agent optimization solutions. The Company operates through two business segments: Software and Network connectivity. inContact’s Software segment includes the services related to the delivery of its cloud contact center software solutions. Its Network connectivity segment includes the voice and data long distance services provided to customers. It offers its products and services to its customers in approximately five vertical markets, such as customer services and sales business process outsourcers (BPOs), retail and direct response, healthcare providers, utilities, and state and local Government. It provides software, which includes Automatic call distributing, Computer telephony integration, Interactive voice response with speech recognition, Outbound dialer, Screen recording and Interactive reporting tool.

About Rally Software Development

Rally Software Development Corp. (Rally) is a United States-based company, which offers consulting and training services. The Company offers software as a service (SaaS) platform for organizations to manage the software development lifecycle. The Company’s solutions for Agile includes Agile University, which is an online source for Agile training, and Agile Commons, which is a collaborative Web community focused on software agility. The Company offers a range of Agile platform and products for Application Lifecycle Management (ALM). The Company’s solutions include enterprise scale agile, which consists of Flowdock and leading SAFe; analytics and metrics, which consists of Rally Insights Solution and Agile coaching; product and portfolio management, which include Agile Portfolio Management and transformation consulting, and Team Collaboration, which consists of Rally scrum team launch and test driven development. Its services include transformation consulting, training and coaching.

Receive News & Ratings for Incontact Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Incontact and related companies with MarketBeat.com's FREE daily email newsletter.