SS&C Technologies (SSNC) vs. Its Rivals Financial Review

SS&C Technologies (NASDAQ:SSNC – Get Free Report) is one of 203 public companies in the “Professional Services” industry, but how does it weigh in compared to its competitors? We will compare SS&C Technologies to similar businesses based on the strength of its earnings, risk, valuation, institutional ownership, profitability, analyst recommendations and dividends.

Valuation & Earnings

This table compares SS&C Technologies and its competitors top-line revenue, earnings per share and valuation.

Gross Revenue Net Income Price/Earnings Ratio
SS&C Technologies $6.27 billion $796.90 million 22.38
SS&C Technologies Competitors $3.29 billion $228.38 million 32.72

SS&C Technologies has higher revenue and earnings than its competitors. SS&C Technologies is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares SS&C Technologies and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
SS&C Technologies 12.76% 21.74% 7.25%
SS&C Technologies Competitors -0.13% 35.53% 4.39%

Insider and Institutional Ownership

96.9% of SS&C Technologies shares are owned by institutional investors. Comparatively, 57.3% of shares of all “Professional Services” companies are owned by institutional investors. 16.0% of SS&C Technologies shares are owned by insiders. Comparatively, 17.2% of shares of all “Professional Services” companies 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.

Dividends

SS&C Technologies pays an annual dividend of $1.20 per share and has a dividend yield of 1.5%. SS&C Technologies pays out 34.5% of its earnings in the form of a dividend. As a group, “Professional Services” companies pay a dividend yield of 2.4% and pay out -163.7% of their earnings in the form of a dividend. SS&C Technologies has increased its dividend for 9 consecutive years. SS&C Technologies lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for SS&C Technologies and its competitors, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
SS&C Technologies 1 2 8 1 2.75
SS&C Technologies Competitors 1591 6479 9184 433 2.48

SS&C Technologies currently has a consensus target price of $96.57, indicating a potential upside of 23.98%. As a group, “Professional Services” companies have a potential upside of 27.44%. Given SS&C Technologies’ competitors higher possible upside, analysts clearly believe SS&C Technologies has less favorable growth aspects than its competitors.

Volatility and Risk

SS&C Technologies has a beta of 1.04, suggesting that its share price is 4% more volatile than the S&P 500. Comparatively, SS&C Technologies’ competitors have a beta of 0.96, suggesting that their average share price is 4% less volatile than the S&P 500.

Summary

SS&C Technologies beats its competitors on 9 of the 15 factors compared.

SS&C Technologies Company Profile

(Get Free Report)

SS&C Technologies Holdings, Inc. engages in the development and provision of software solutions to the financial services and healthcare industries. It operates through the following geographical segments: United States, Europe, Middle East and Africa, Asia Pacific and Japan, Canada, and the Americas, excluding the United States and Canada. Its products include advent genesis, antares, asset allocators, AWD, axys, BANC mall, BRIX, DST vision, evare, lightning, and moxy. The company was founded by William Charles Stone in March 1986 and is headquartered in Windsor, CT.

Receive News & Ratings for SS&C Technologies Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for SS&C Technologies and related companies with MarketBeat.com's FREE daily email newsletter.