Critical Comparison: HubSpot (NYSE:HUBS) & FlexiInternational Software (OTCMKTS:FLXI)

HubSpot (NYSE:HUBS) and FlexiInternational Software (OTCMKTS:FLXI) are both computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their dividends, valuation, institutional ownership, analyst recommendations, profitability, risk and earnings.

Insider and Institutional Ownership

90.4% of HubSpot shares are held by institutional investors. 4.5% of HubSpot shares are held by insiders. Comparatively, 13.1% of FlexiInternational Software shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for HubSpot and FlexiInternational Software, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HubSpot	0	4	25	1	2.90
FlexiInternational Software	0	0	0	0	0.00

HubSpot currently has a consensus price target of $766.71, suggesting a potential upside of 38.73%. Given HubSpot’s stronger consensus rating and higher possible upside, analysts plainly believe HubSpot is more favorable than FlexiInternational Software.

Valuation & Earnings

This table compares HubSpot and FlexiInternational Software”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HubSpot	$2.72 billion	10.70	$4.63 million	($0.45)	-1,228.18
FlexiInternational Software	N/A	N/A	N/A	N/A	N/A

HubSpot has higher revenue and earnings than FlexiInternational Software.

Profitability

This table compares HubSpot and FlexiInternational Software’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HubSpot	0.17%	-0.07%	-0.04%
FlexiInternational Software	N/A	N/A	N/A

Volatility & Risk

HubSpot has a beta of 1.7, indicating that its stock price is 70% more volatile than the S&P 500. Comparatively, FlexiInternational Software has a beta of 0.39, indicating that its stock price is 61% less volatile than the S&P 500.

Summary

HubSpot beats FlexiInternational Software on 8 of the 11 factors compared between the two stocks.

About HubSpot

HubSpot, Inc., together with its subsidiaries, provides a cloud-based customer relationship management (CRM) platform for businesses in the Americas, Europe, and the Asia Pacific. The company's CRM platform includes Marketing Hub, a toolset for marketing automation and email, social media, SEO, and reporting and analytics; Sales Hub offers email templates and tracking, conversations and live chat, meeting and call scheduling, lead and website visit alerts, lead scoring, sales automation, pipeline management, quoting, forecasting, and reporting; Service Hub, a service software designed to help businesses manage, respond, and connect with customers; and Content Management Systems Hub enables businesses to create new and edit existing web content. It offers Operations Hub, which is designed to unify customer data, automate business processes, data cleanup, and provide customer insights and connections; and Commerce Hub, a B2B commerce suite. In addition, the company provides professional services to educate and train customers on how to utilize its CRM platform; and customer success, as well as phone and/or email and chat-based support services. It serves mid-market business-to-business companies. The company was incorporated in 2005 and is headquartered in Cambridge, Massachusetts.

About FlexiInternational Software

FlexiInternational Software Inc. develops, markets, and supports back office accounting software solutions for companies in banking and credit union, insurance, financial services, and other service industries worldwide. The company offers offers FlexiFinancials suite that consists of FlexiLedger, a core repository of financial transactions; FlexiPayables, an accounts payable module; FlexiPurchasing to track and streamline the purchasing processes; FlexiAssets, a fixed assets module; FlexiProjects that manages, tracks, and analyzes project costs, budgets, encumbrances, and status; FlexiFDW, an event-driven data repository; and FlexiReceivables for companies to manage and track their receivables. It also provides FlexiTools applications to customize FlexiFinancials, such as FlexiDesigner to customize the FlexiFinancials Suite GUI using an interactive visual design editor; and FlexiDB that allows the customization of the Flexi database structures. In addition, the company offers FlexiInfo Suite that consist of FlexiWorkflow, an application that is integrated with various FlexiFinancial modules; FlexiImaging that provides integration with various third party imaging solutions, including Microsoft SharePoint; and RenovoFYI, a Web based financial report writer. Further, it provides FlexiIntegration suite that consists of FlexiAPIs that provide real-time, synchronous access to functional components within the FlexiFinancials Suite of applications; FlexiNetExchange to provide a seamless integration with Jack Henry's Silverlake core banking solution, Synergy Workflow, and Synergy Imaging; and FlexiImport/Export Wizard that allow users to import and export data. Furthermore, the company offers consulting, training and education, and support services. It has strategic partnerships with Acturis; and Jack Henry & Associates. The company was founded in 1991 and is based in Shelton, Connecticut with additional locations in Naples, Florida; and Surrey, United Kingdom.