Analyzing Dassault Systemes (OTCMKTS:DASTY) and Datasea (NASDAQ:DTSS)

Dassault Systemes (OTCMKTS:DASTY) and Datasea (NASDAQ:DTSS) are both technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, profitability, dividends, risk, institutional ownership, earnings and analyst recommendations.

Profitability

This table compares Dassault Systemes and Datasea’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Dassault Systemes	21.28%	18.52%	10.82%
Datasea	N/A	N/A	N/A

Valuation and Earnings

This table compares Dassault Systemes and Datasea”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Dassault Systemes	$7.05 billion	5.42	$1.35 billion	$1.15	24.77
Datasea	$40.70 million	0.15	-$2.19 million	($0.32)	-1.77

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

Risk & Volatility

Dassault Systemes has a beta of 0.92, indicating that its stock price is 8% less volatile than the S&P 500. Comparatively, Datasea has a beta of 0.88, indicating that its stock price is 12% less volatile than the S&P 500.

Institutional & Insider Ownership

0.0% of Dassault Systemes shares are held by institutional investors. Comparatively, 82.1% of Datasea shares are held by institutional investors. 50.6% of Datasea shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and target prices for Dassault Systemes and Datasea, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Dassault Systemes	1	5	0	1	2.14
Datasea	1	0	0	0	1.00

Summary

Dassault Systemes beats Datasea on 10 of the 12 factors compared between the two stocks.

About Dassault Systemes

Dassault Systèmes is a French software company that develops tools for designing, simulating, manufacturing and managing products and industrial processes. Its offerings help organizations create and test digital models, coordinate product development and manage information across a product’s lifecycle. The company’s software portfolio includes CATIA for 3D design and engineering, SOLIDWORKS for product design, and applications such as SIMULIA for simulation, DELMIA for manufacturing and operations, and ENOVIA for product lifecycle management.

About Datasea

Datasea Inc. (NASDAQ: DTSS) is a technology company focused on 5G communications, acoustic intelligence and smart-city solutions. Its business activities include the development and commercialization of technology designed to support connected infrastructure, digital services and intelligent applications. The company’s offerings have included 5G-related communication products and services, as well as solutions incorporating artificial intelligence, the Internet of Things and data analytics. Datasea also develops acoustic-intelligence technologies and related products intended for applications across areas such as healthcare, security, industrial operations and consumer use.