Ntt Data (OTC:NTDTY) versus VeriSign (NASDAQ:VRSN) Critical Comparison

VeriSign (NASDAQ:VRSNGet Free Report) and Ntt Data (OTC:NTDTYGet Free Report) are both large-cap computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, profitability, analyst recommendations, institutional ownership, risk, valuation and dividends.

Insider and Institutional Ownership

92.9% of VeriSign shares are held by institutional investors. 0.8% of VeriSign shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares VeriSign and Ntt Data’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
VeriSign 50.47% -43.01% 51.54%
Ntt Data 3.20% 5.16% 1.97%

Risk & Volatility

VeriSign has a beta of 0.87, suggesting that its stock price is 13% less volatile than the S&P 500. Comparatively, Ntt Data has a beta of 1.11, suggesting that its stock price is 11% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations and price targets for VeriSign and Ntt Data, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
VeriSign 0 0 2 1 3.33
Ntt Data 0 0 0 1 4.00

VeriSign presently has a consensus price target of $262.50, indicating a potential upside of 9.28%. Given VeriSign’s higher possible upside, analysts plainly believe VeriSign is more favorable than Ntt Data.

Earnings & Valuation

This table compares VeriSign and Ntt Data”s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
VeriSign $1.56 billion 14.59 $785.70 million $8.00 30.03
Ntt Data $30.25 billion 0.76 $923.70 million $0.70 23.34

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

Summary

VeriSign beats Ntt Data on 9 of the 14 factors compared between the two stocks.

About VeriSign

(Get Free Report)

VeriSign, Inc., together with its subsidiaries, provides domain name registry services and internet infrastructure that enables internet navigation for various recognized domain names worldwide. The company enables the security, stability, and resiliency of internet infrastructure and services, including providing root zone maintainer services, operating two of thirteen internet root servers; and offering registration services and authoritative resolution for the .com and .net domains, which supports global e-commerce. It operates directory for .name and .cc; and back-end systems for .edu, domain names. VeriSign, Inc. was incorporated in 1995 and is headquartered in Reston, Virginia.

About Ntt Data

(Get Free Report)

NTT DATA Group Corporation provides IT and business services worldwide. It offers cloud, cybersecurity, data and intelligence, salesforce, SAP, ServiceNow, and application development and management, as well as 5G services. The company also provides consulting, industry solutions, business process services, and IT modernization and managed services. It serves automotive, healthcare, life sciences, media, banking, and insurance industries. The company was formerly known as NTT DATA Corporation. NTT DATA Group Corporation was founded in 1988 and is headquartered in Tokyo, Japan. NTT DATA Group Corporation operates as a subsidiary of Nippon Telegraph and Telephone Corporation.

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