Phunware (NASDAQ:PHUN – Get Free Report) and StoneCo (NASDAQ:STNE – Get Free Report) are both computer and technology companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, earnings, dividends, profitability, risk, valuation and analyst recommendations.
Profitability
This table compares Phunware and StoneCo’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Phunware | -397.39% | -16.61% | -14.50% |
| StoneCo | -8.90% | 16.65% | 4.21% |
Earnings & Valuation
This table compares Phunware and StoneCo”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Phunware | $3.19 million | 19.03 | -$10.32 million | ($0.81) | -3.72 |
| StoneCo | $2.46 billion | 1.69 | -$280.92 million | ($0.78) | -18.62 |
Phunware has higher earnings, but lower revenue than StoneCo. StoneCo is trading at a lower price-to-earnings ratio than Phunware, indicating that it is currently the more affordable of the two stocks.
Insider and Institutional Ownership
7.6% of Phunware shares are owned by institutional investors. Comparatively, 73.2% of StoneCo shares are owned by institutional investors. 1.2% of Phunware shares are owned by insiders. Comparatively, 11.3% of StoneCo shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Analyst Ratings
This is a breakdown of current recommendations for Phunware and StoneCo, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Phunware | 0 | 1 | 1 | 0 | 2.50 |
| StoneCo | 1 | 1 | 8 | 1 | 2.82 |
Phunware currently has a consensus target price of $6.67, suggesting a potential upside of 121.48%. StoneCo has a consensus target price of $15.63, suggesting a potential upside of 7.61%. Given Phunware’s higher possible upside, research analysts plainly believe Phunware is more favorable than StoneCo.
Risk & Volatility
Phunware has a beta of 2.35, suggesting that its share price is 135% more volatile than the S&P 500. Comparatively, StoneCo has a beta of 1.92, suggesting that its share price is 92% more volatile than the S&P 500.
Summary
StoneCo beats Phunware on 10 of the 15 factors compared between the two stocks.
About Phunware
Phunware, Inc., together with its subsidiaries, provides integrated software platform that equips companies with the products, solutions, and services to engage, manage, and monetize their mobile application portfolios in the United States and internationally. The company's products and services include mobile software and application transaction solutions comprise integration of software development kit (SDK) licenses, which consists of analytics that offers data related to application use and engagement; content management that allows application administrators to create and manage app content in a cloud-based portal; alerts, notifications, and messaging, which enables brands to send messages; marketing automation that enables location-triggered messages and workflow; advertising; and location-based services, such as mapping, navigation, wayfinding, workflow, asset management, and policy enforcement. It is also involved in the integration of its SDK licenses into existing applications maintained by its customers, as well as custom application development and support services; and provision of cloud-based vertical solutions for healthcare, retail, sports, aviation, real estate, hospitality, education, and other applications, as well as application transactions, including re-occurring and one-time transactional media purchases for application discovery, user acquisition and audience building, audience engagement, and audience monetization. Phunware, Inc. was founded in 2009 and is headquartered in Austin, Texas.
About StoneCo
StoneCo Ltd. provides financial technology and software solutions to merchants and integrated partners to conduct electronic commerce across in-store, online, and mobile channels in Brazil. It distributes its solutions, principally through proprietary Stone Hubs, which offer hyper-local sales and services; and sells solutions to brick-and-mortar and digital merchants through sales team. The company served small-and-medium-sized businesses; and marketplaces, e-commerce platforms, and integrated software vendors. StoneCo Ltd. was founded in 2000 and is headquartered in George Town, the Cayman Islands.
Receive News & Ratings for Phunware Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Phunware and related companies with MarketBeat.com's FREE daily email newsletter.
