Asana (NYSE:ASAN) & Teradata (NYSE:TDC) Head-To-Head Review

Asana (NYSE:ASAN) and Teradata (NYSE:TDC) are both mid-cap technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, earnings, valuation, risk, institutional ownership, dividends and analyst recommendations.

Analyst Recommendations

This is a summary of recent ratings for Asana and Teradata, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Asana	3	7	4	0	2.07
Teradata	1	6	3	0	2.20

Asana presently has a consensus target price of $9.95, suggesting a potential downside of 10.17%. Teradata has a consensus target price of $34.33, suggesting a potential upside of 2.76%. Given Teradata’s stronger consensus rating and higher probable upside, analysts clearly believe Teradata is more favorable than Asana.

Insider and Institutional Ownership

26.2% of Asana shares are held by institutional investors. Comparatively, 90.3% of Teradata shares are held by institutional investors. 87.5% of Asana shares are held by insiders. Comparatively, 1.0% of Teradata shares are held 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.

Profitability

This table compares Asana and Teradata’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Asana	-18.62%	-80.33%	-14.19%
Teradata	27.08%	47.25%	10.29%

Volatility and Risk

Asana has a beta of 1.19, meaning that its stock price is 19% more volatile than the S&P 500. Comparatively, Teradata has a beta of 0.62, meaning that its stock price is 38% less volatile than the S&P 500.

Earnings & Valuation

This table compares Asana and Teradata”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Asana	$790.81 million	3.21	-$189.02 million	($0.66)	-16.79
Teradata	$1.66 billion	1.87	$130.00 million	$4.75	7.03

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

Summary

Teradata beats Asana on 10 of the 14 factors compared between the two stocks.

About Asana

Asana, Inc., together with its subsidiaries, operates a work management platform for individuals, team leads, and executives in the United States and internationally. Its platform helps organizations to orchestrate work from daily tasks to cross-functional strategic initiatives; manage work across a portfolio of projects or workflows, see progress against goals, identify bottlenecks, resource constraints, and milestones; and communicate company-wide goals, monitor status, and oversee work across projects and portfolios to gain real-time insights. The company serves customers in various industries, such as technology, retail, education, non-profit, government, healthcare, hospitality, media, manufacturing, professional services, and financial services. The company was formerly known as Smiley Abstractions, Inc. and changed its name to Asana, Inc. in July 2009. Asana, Inc. was incorporated in 2008 and is headquartered in San Francisco, California.

About Teradata

Teradata Corporation, together with its subsidiaries, provides a connected multi-cloud data platform for enterprise analytics. The company offers Teradata Vantage, an open and connected platform designed to leverage data across an enterprise. Its business consulting services include support services for organizations to establish a data and analytic vision, enable a multi-cloud ecosystem architecture, and identify and operationalize analytical opportunities, as well as to ensure the analytical infrastructure delivers value. The company offers support and maintenance services. It serves clients in financial services, government, healthcare and life sciences, manufacturing, retail, telecommunications, and travel/transportation sectors through a direct sales force in the Americas, Europe, the Middle East, Africa, the Asia Pacific, and Japan. Teradata Corporation was incorporated in 1979 and is headquartered in San Diego, California.