Critical Contrast: CACI International (NYSE:CACI) and SS&C Technologies (NASDAQ:SSNC)

CACI International (NYSE:CACI) and SS&C Technologies (NASDAQ:SSNC) are both large-cap industrials companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, analyst recommendations, profitability, earnings, risk, institutional ownership and valuation.

Profitability

This table compares CACI International and SS&C Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CACI International	5.55%	15.56%	6.15%
SS&C Technologies	12.76%	21.74%	7.25%

Volatility & Risk

CACI International has a beta of 0.55, suggesting that its share price is 45% less volatile than the S&P 500. Comparatively, SS&C Technologies has a beta of 1.04, suggesting that its share price is 4% more volatile than the S&P 500.

Institutional & Insider Ownership

86.4% of CACI International shares are held by institutional investors. Comparatively, 96.9% of SS&C Technologies shares are held by institutional investors. 0.9% of CACI International shares are held by insiders. Comparatively, 16.0% of SS&C Technologies shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Valuation & Earnings

This table compares CACI International and SS&C Technologies”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CACI International	$9.57 billion	1.48	$535.81 million	$24.36	26.23
SS&C Technologies	$6.27 billion	2.94	$796.90 million	$3.48	22.62

SS&C Technologies has lower revenue, but higher earnings than CACI International. SS&C Technologies is trading at a lower price-to-earnings ratio than CACI International, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings and recommmendations for CACI International and SS&C Technologies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CACI International	1	1	9	0	2.73
SS&C Technologies	1	2	8	1	2.75

CACI International presently has a consensus price target of $727.70, indicating a potential upside of 13.88%. SS&C Technologies has a consensus price target of $96.57, indicating a potential upside of 22.69%. Given SS&C Technologies’ stronger consensus rating and higher possible upside, analysts clearly believe SS&C Technologies is more favorable than CACI International.

Summary

SS&C Technologies beats CACI International on 11 of the 15 factors compared between the two stocks.

About CACI International

CACI International is a U.S. government services and technology company that supports national security, defense and civilian missions. Its work includes intelligence analysis, cybersecurity, electronic warfare, communications and command-and-control systems, and the modernization of government information technology. The company provides technology, engineering and mission-support services to U.S. defense, intelligence and civilian agencies, as well as allied customers. Its work spans areas such as digital transformation, data analytics, software development, and the design and integration of complex systems.

About SS&C Technologies

SS&C Technologies Holdings, Inc. provides software and technology-enabled services to financial services and healthcare organizations. Its offerings include software for investment and wealth management, alternative investments, insurance, retirement and healthcare operations, as well as related business process outsourcing and fund administration services. The company was founded in 1986 by William C. Stone and is headquartered in Windsor, Connecticut. Stone serves as chairman and chief executive officer.