Analyzing Sangoma Technologies (NASDAQ:SANG) and Domo (NASDAQ:DOMO)

Domo (NASDAQ:DOMOGet Free Report) and Sangoma Technologies (NASDAQ:SANGGet Free Report) are both small-cap computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, earnings, risk, profitability, dividends, valuation and analyst recommendations.

Insider & Institutional Ownership

76.6% of Domo shares are owned by institutional investors. Comparatively, 39.7% of Sangoma Technologies shares are owned by institutional investors. 13.3% of Domo shares are owned by insiders. Comparatively, 14.0% of Sangoma Technologies shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Volatility and Risk

Domo has a beta of 1.78, indicating that its share price is 78% more volatile than the S&P 500. Comparatively, Sangoma Technologies has a beta of 1.29, indicating that its share price is 29% more volatile than the S&P 500.

Profitability

This table compares Domo and Sangoma Technologies’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Domo -18.61% N/A -27.88%
Sangoma Technologies -3.04% -2.26% -1.71%

Analyst Ratings

This is a summary of current ratings and recommmendations for Domo and Sangoma Technologies, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Domo 3 2 3 0 2.00
Sangoma Technologies 1 2 1 0 2.00

Domo presently has a consensus price target of $6.42, indicating a potential upside of 112.47%. Sangoma Technologies has a consensus price target of $4.00, indicating a potential upside of 10.53%. Given Domo’s higher possible upside, equities analysts clearly believe Domo is more favorable than Sangoma Technologies.

Earnings and Valuation

This table compares Domo and Sangoma Technologies”s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Domo $318.86 million 0.43 -$59.34 million ($1.45) -2.08
Sangoma Technologies $236.69 million 0.51 -$5.01 million ($0.19) -19.05

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

Summary

Domo beats Sangoma Technologies on 7 of the 13 factors compared between the two stocks.

About Domo

(Get Free Report)

Domo, Inc., together with its subsidiaries, operates a cloud-based business intelligence platform in North America, Western Europe, Canada, Australia, and Japan. Its platform digitally connects from the chief executive officer to the frontline employee with the various people, data, and systems in an organization, as well as giving them access to real-time data and insights, and allowing them to manage business via various browsers and visualization engines accessible across laptops, TV screens, monitors, tablets, and smartphones. The company was formerly known as Domo Technologies, Inc. and changed its name to Domo, Inc. in December 2011. Domo, Inc. was incorporated in 2010 and is headquartered in American Fork, Utah.

About Sangoma Technologies

(Get Free Report)

Sangoma Technologies Corporation develops, manufactures, distributes, and supports voice and data connectivity components for software-based communication applications worldwide. The company offers Switchvox, a voice over internet protocol phone system; Switchvox Cloud, a unified communications solution, as well as provides cloud communication solutions. It offers SIP Trunking, a telephone service for one or multiple locations; PBXact Cloud, a centralized internet based solution; Asterisk and FreePBX, an open source IP PBX software; and FAXStation, a fax-over-IP solution. In addition, the company provides desk phone, DECT phones, and headset related products. Further, it offers VoIP gateways, session border controllers, telephony card, and managed service provider services. Sangoma Technologies Corporation was founded in 1984 and is headquartered in Markham, Canada.

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