Concentrix (NASDAQ:CNXC) vs. BrightView (NYSE:BV) Critical Comparison

BrightView (NYSE:BV) and Concentrix (NASDAQ:CNXC) are both small-cap business services companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, institutional ownership, earnings, risk, dividends, valuation and analyst recommendations.

Institutional & Insider Ownership

92.4% of BrightView shares are held by institutional investors. Comparatively, 90.3% of Concentrix shares are held by institutional investors. 2.8% of BrightView shares are held by insiders. Comparatively, 0.9% of Concentrix shares are held by 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.

Volatility and Risk

BrightView has a beta of 1.25, indicating that its share price is 25% more volatile than the S&P 500. Comparatively, Concentrix has a beta of 0.5, indicating that its share price is 50% less volatile than the S&P 500.

Earnings & Valuation

This table compares BrightView and Concentrix”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BrightView	$2.67 billion	0.41	$56.00 million	($0.02)	-579.25
Concentrix	$9.83 billion	0.17	-$1.28 billion	($21.55)	-1.24

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

Profitability

This table compares BrightView and Concentrix’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BrightView	1.90%	7.85%	2.98%
Concentrix	-13.35%	17.80%	5.45%

Analyst Recommendations

This is a summary of recent recommendations for BrightView and Concentrix, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BrightView	3	2	2	2	2.33
Concentrix	1	1	3	0	2.40

BrightView currently has a consensus price target of $14.68, indicating a potential upside of 26.74%. Concentrix has a consensus price target of $48.50, indicating a potential upside of 81.78%. Given Concentrix’s stronger consensus rating and higher probable upside, analysts plainly believe Concentrix is more favorable than BrightView.

Summary

BrightView beats Concentrix on 8 of the 15 factors compared between the two stocks.

About BrightView

BrightView Holdings, Inc., through its subsidiaries, provides commercial landscaping services in the United States. It operates through two segments, Maintenance Services and Development Services. The Maintenance Services segment delivers a suite of recurring commercial landscaping services, including mowing, gardening, mulching and snow removal, water management, irrigation maintenance, tree care, golf course maintenance, and specialty turf maintenance. Its customers' properties include corporate and commercial properties, homeowners associations, public parks, hotels and resorts, airport authorities, municipalities, hospitals and other healthcare facilities, educational institutions, restaurants and retail, and golf courses. This segment's customer base includes approximately 8,800 office parks and corporate campuses 7,100 residential communities, and 550 educational institutions. The Development Services segment offers landscape architecture and development services for new facilities and redesign projects. Its services include project design and management services, landscape architecture and installation, irrigation installation, tree moving and installation, pool and water features, sports field, and other services. BrightView Holdings, Inc. also operates as official field consultant to various league baseball. The company was founded in 1939 and is headquartered in Blue Bell, Pennsylvania.

About Concentrix

Concentrix Corporation engages in the provision of technology-infused customer experience (CX) solutions worldwide. The company provides CX process optimization, technology innovation, front- and back-office automation, analytics, and business transformation services, across various channels of communication, such as voice, chat, email, social media, asynchronous messaging, and custom applications. It also offers customer lifecycle management; customer experience/user experience strategy and design; analytics and actionable insights; digital transformation services that design and engineer CX solutions to enable efficient customer self-service and build customer loyalty; customer engagement solutions and services that address the entirety of the customer lifecycle; AI technology that can intelligently act on customer intent to improve customer experience with non-human engagement; voice of the customer and analytics solutions to gather and analyze customer feedback to foster loyalty to, and growth with, clients; analytics and consulting solutions that synthesize data and provide professional insight to improve clients’ customer experience strategies; vertical business process outsourcing (BPO) services; and back office BPO services that support clients in non-customer facing areas. The company’s clients include technology and consumer electronics, retail, travel and e-commerce, communications and media, banking, financial services and insurance, healthcare, and others, as well as global IPOs, social brands, and banks. Concentrix Corporation was founded in 2004 and is based in Newark, California.