Amplitude (NASDAQ:AMPL) & Oracle (NYSE:ORCL) Critical Analysis

Amplitude (NASDAQ:AMPL – Get Free Report) and Oracle (NYSE:ORCL – Get Free Report) are both technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, dividends, earnings, profitability, risk and institutional ownership.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Amplitude and Oracle, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Amplitude 1 2 7 1 2.73
Oracle 1 9 36 1 2.79

Amplitude currently has a consensus target price of $13.05, indicating a potential downside of 11.76%. Oracle has a consensus target price of $251.72, indicating a potential upside of 73.92%. Given Oracle’s stronger consensus rating and higher probable upside, analysts plainly believe Oracle is more favorable than Amplitude.

Volatility & Risk

Amplitude has a beta of 1.49, suggesting that its share price is 49% more volatile than the S&P 500. Comparatively, Oracle has a beta of 1.78, suggesting that its share price is 78% more volatile than the S&P 500.

Insider and Institutional Ownership

73.2% of Amplitude shares are held by institutional investors. Comparatively, 42.4% of Oracle shares are held by institutional investors. 21.6% of Amplitude shares are held by insiders. Comparatively, 38.4% of Oracle shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Amplitude and Oracle’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Amplitude -26.59% -42.62% -22.69%
Oracle 26.36% 48.85% 7.93%

Earnings and Valuation

This table compares Amplitude and Oracle”s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Amplitude $343.21 million 4.36 -$88.54 million ($0.75) -19.72
Oracle $67.36 billion 6.50 $17.09 billion $6.38 22.69

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

Summary

Oracle beats Amplitude on 13 of the 14 factors compared between the two stocks.

About Amplitude

(Get Free Report)

Amplitude, Inc., together with its subsidiaries, provides a digital analytics platform that analyzes customer behavior in the United States and internationally. It offers Amplitude Analytics, which provides real-time product data and reconstructed user visits; Amplitude Experiment, a solution that allows teams to test new capabilities and safely roll out new features; Amplitude CDP, an insight-driven solution that encompasses the data infrastructure, audience management, and data streaming capabilities; and Amplitude Session Replay used by product, marketing, and data teams to understand user behavior, diagnose product issues, and improve product outcomes. The company also provides customer support services related to initial implementation setup, ongoing support, and application training. It delivers its application over the Internet as a subscription service using a software-as-a-service model. The company was formerly known as Sonalight, Inc. and changed its name to Amplitude, Inc. in December 2014. Amplitude, Inc. was incorporated in 2011 and is headquartered in San Francisco, California.

About Oracle

(Get Free Report)

Oracle Corporation offers products and services that address enterprise information technology environments worldwide. Its Oracle cloud software as a service offering include various cloud software applications, including Oracle Fusion cloud enterprise resource planning (ERP), Oracle Fusion cloud enterprise performance management, Oracle Fusion cloud supply chain and manufacturing management, Oracle Fusion cloud human capital management, Oracle Cerner healthcare, Oracle Advertising, and NetSuite applications suite, as well as Oracle Fusion Sales, Service, and Marketing. The company also offers cloud-based industry solutions for various industries; Oracle application licenses; and Oracle license support services. In addition, it provides cloud and license business' infrastructure technologies, such as the Oracle Database and MySQL Database; Java, a software development language; and middleware, including development tools and others. The company's cloud and license business' infrastructure technologies also comprise cloud-based compute, storage, and networking capabilities; and Oracle autonomous database, MySQL HeatWave, Internet-of-Things, digital assistant, and blockchain. Further, it provides hardware products and other hardware-related software offerings, including Oracle engineered systems, enterprise servers, storage solutions, industry-specific hardware, virtualization software, operating systems, management software, and related hardware services; and consulting and customer services. The company markets and sells its cloud, license, hardware, support, and services offerings directly to businesses in various industries, government agencies, and educational institutions, as well as through indirect channels. The company has a collaboration with Amdocs Limited to empower customers on their journey towards cloud and digital adoption. Oracle Corporation was founded in 1977 and is headquartered in Austin, Texas.

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