Descartes Systems Group (NASDAQ:DSGX) and Opera (NASDAQ:OPRA) are both computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their dividends, institutional ownership, profitability, earnings, analyst recommendations, valuation and risk.
Insider & Institutional Ownership
79.4% of Descartes Systems Group shares are owned by institutional investors. Comparatively, 11.8% of Opera shares are owned by institutional investors. 0.3% of Descartes Systems Group shares are owned 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.
Analyst Ratings
This is a breakdown of current ratings and recommmendations for Descartes Systems Group and Opera, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Descartes Systems Group | 0 | 5 | 5 | 0 | 2.50 |
| Opera | 0 | 0 | 3 | 0 | 3.00 |
Descartes Systems Group presently has a consensus price target of $45.20, suggesting a potential downside of 2.27%. Opera has a consensus price target of $16.00, suggesting a potential upside of 127.60%. Given Opera’s stronger consensus rating and higher probable upside, analysts clearly believe Opera is more favorable than Descartes Systems Group.
Risk and Volatility
Descartes Systems Group has a beta of 0.69, suggesting that its stock price is 31% less volatile than the S&P 500. Comparatively, Opera has a beta of 1.82, suggesting that its stock price is 82% more volatile than the S&P 500.
Earnings & Valuation
This table compares Descartes Systems Group and Opera’s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Descartes Systems Group | $275.17 million | 14.14 | $31.28 million | $0.40 | 115.63 |
| Opera | $172.28 million | 4.48 | $35.16 million | $0.40 | 17.58 |
Opera has lower revenue, but higher earnings than Descartes Systems Group. Opera is trading at a lower price-to-earnings ratio than Descartes Systems Group, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Descartes Systems Group and Opera’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Descartes Systems Group | 10.70% | 4.98% | 3.89% |
| Opera | 18.82% | 6.53% | 5.98% |
Summary
Opera beats Descartes Systems Group on 7 of the 13 factors compared between the two stocks.
About Descartes Systems Group
The Descartes Systems Group Inc. provides federated network and logistics technology solutions worldwide. Its Logistics Application Suite offers a range of modular, cloud-based, and interoperable Web and wireless logistics management applications. The company’s Logistics Application Suite offers solutions, such as route planning and execution, mobile applications, and telematics and compliance; transportation management solutions comprising carrier compliance and rate management, freight audit and settlement, dock scheduling and yard management, pool distribution, transportation planning and execution, and logistics flow control, as well as visibility, tracking, and performance management; and global logistics network services, such as document management, community, and connectivity services. Its Logistics Application Suite solutions also include customs and regulatory compliance solutions, such as cargo security compliance, declaration and fiscal compliance, customs warehouse management, ocean regulatory services, industry program support services, global trade content, and government solutions; and broker and forwarder enterprise system solutions, such as forwarder back office, and brokerage and declaration services. In addition, the company offers consulting, implementation, and training services; and maintenance and support services. It serves transportation providers, logistics service providers, and distribution-intensive companies through distributors, alliance partners, and value added resellers. The company was founded in 1981 and is headquartered in Waterloo, Canada.
About Opera
Opera Limited, through its subsidiaries, provides mobile and PC web browsers in Ireland, Russia, and internationally. It offers mobile browser products under the Opera Mini, Opera for Android, and Opera Touch names; PC browser under the Opera for Computers name; Opera News, a personalized news aggregation app; and Okash, a microfinance app. The company was founded in 1996 and is headquartered in Oslo, Norway.
Receive News & Ratings for Descartes Systems Group Daily – Enter your email address below to receive a concise daily summary of the latest news and analysts’ ratings for Descartes Systems Group and related companies with MarketBeat.com’s FREE daily email newsletter.
Recent Comments