Head to Head Comparison: Atlassian (NASDAQ:TEAM) vs. Flywire (NASDAQ:FLYW)

Atlassian (NASDAQ:TEAM) and Flywire (NASDAQ:FLYW) are both computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their valuation, earnings, dividends, analyst recommendations, risk, profitability and institutional ownership.

Volatility & Risk

Atlassian has a beta of 0.92, indicating that its share price is 8% less volatile than the S&P 500. Comparatively, Flywire has a beta of 1.29, indicating that its share price is 29% more volatile than the S&P 500.

Insider & Institutional Ownership

94.5% of Atlassian shares are owned by institutional investors. Comparatively, 95.9% of Flywire shares are owned by institutional investors. 36.7% of Atlassian shares are owned by company insiders. Comparatively, 4.4% of Flywire shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Atlassian and Flywire”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Atlassian	$5.22 billion	8.44	-$256.69 million	($0.99)	-169.59
Flywire	$492.14 million	3.36	$2.90 million	$0.05	270.00

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

Analyst Recommendations

This is a breakdown of current ratings and target prices for Atlassian and Flywire, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Atlassian	2	6	19	1	2.68
Flywire	2	9	5	0	2.19

Atlassian presently has a consensus price target of $248.74, suggesting a potential upside of 48.16%. Flywire has a consensus price target of $13.88, suggesting a potential upside of 2.85%. Given Atlassian’s stronger consensus rating and higher possible upside, analysts plainly believe Atlassian is more favorable than Flywire.

Profitability

This table compares Atlassian and Flywire’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Atlassian	-4.92%	-14.77%	-3.28%
Flywire	1.27%	1.94%	1.38%

Summary

Flywire beats Atlassian on 8 of the 15 factors compared between the two stocks.

About Atlassian

Atlassian Corporation, through its subsidiaries, designs, develops, licenses, and maintains various software products worldwide. Its product portfolio includes Jira Software and Jira Work Management, a project management system that connects technical and business teams so they can better plan, organize, track and manage their work and projects; Confluence, a connected workspace that organizes knowledge across all teams to move work forward; and Trello, a collaboration and organization product that captures and adds structure to fluid and fast-forming work for teams. The company also offers Jira Service Management, an intuitive and flexible service desk product for creating and managing service experiences for various service team providers, such as IT, legal, and HR teams; and Jira Align, an Atlassian's enterprise agility solution designed to help businesses to adapt and respond dynamic business conditions with a focus on value-creation. In addition, it provides Bitbucket, an enterprise-ready Git solution that enables professional dev teams to manage, collaborate, and deploy quality code; Atlassian Access, an enterprise-wide product for enhanced security and centralized administration that works across every Atlassian cloud product; and Jira Product, a prioritization and road mapping tool. Further, the company's portfolio includes Atlas, a teamwork directory; Bamboo, a continuous delivery pipeline; Crowd, a single sign-on; Crucible, a collaborative code review; Fisheye, a search, track, and visualize code change software; and Compass, a developer experience platform. Additionally, it offers Opsgenie, an on-call and alert management software; Sourcetree, a free git client for windows and mac; Statuspage that communicates real-time status to users; Beacon, an intelligent threat detection software; and Atlassian Access that enhance data security and governance for Atlassian Cloud products. The company was founded in 2002 and is headquartered in Sydney, Australia.

About Flywire

Flywire Corporation, together with its subsidiaries, operates as a payments enablement and software company in the United States and internationally. Its payment platform and network, and vertical-specific software help clients to get paid and help their customers to pay. The company’s platform facilitates payment flows across multiple currencies, payment types, and payment options, as well as provides direct connections to alternative payment methods, such as Alipay, Boleto, PayPal/Venmo, and Trustly. It serves education, healthcare, travel, and business to business organizations. The company was formerly known as peerTransfer Corporation and changed its name to Flywire Corporation in December 2016. Flywire Corporation was incorporated in 2009 and is headquartered in Boston, Massachusetts.