Analyzing Dynatrace (NYSE:DT) and Snail (NASDAQ:SNAL)

Snail (NASDAQ:SNAL) and Dynatrace (NYSE:DT) are both consumer discretionary companies, but which is the better business? We will compare the two businesses based on the strength of their dividends, valuation, analyst recommendations, institutional ownership, profitability, risk and earnings.

Insider & Institutional Ownership

0.4% of Snail shares are owned by institutional investors. Comparatively, 94.3% of Dynatrace shares are owned by institutional investors. 75.7% of Snail shares are owned by company insiders. Comparatively, 0.5% of Dynatrace shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Volatility and Risk

Snail has a beta of 2.07, suggesting that its share price is 107% more volatile than the S&P 500. Comparatively, Dynatrace has a beta of 1.07, suggesting that its share price is 7% more volatile than the S&P 500.

Profitability

This table compares Snail and Dynatrace’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Snail	-5.84%	-104.80%	-5.10%
Dynatrace	14.44%	11.92%	7.43%

Valuation & Earnings

This table compares Snail and Dynatrace’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Snail	$60.90 million	0.63	-$9.09 million	($0.24)	-4.33
Dynatrace	$1.16 billion	11.71	$107.96 million	$0.66	69.85

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

Analyst Ratings

This is a summary of recent ratings and target prices for Snail and Dynatrace, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Snail	0	0	0	0	N/A
Dynatrace	0	4	17	0	2.81

Dynatrace has a consensus price target of $61.08, indicating a potential upside of 31.33%. Given Dynatrace’s higher possible upside, analysts plainly believe Dynatrace is more favorable than Snail.

Summary

Dynatrace beats Snail on 10 of the 12 factors compared between the two stocks.

About Snail

Snail, Inc., together with its subsidiaries, researches, develops, markets, publishes, and distributes interactive digital entertainment for consumers worldwide. It offers games, content, and support for various platforms, including game consoles, personal computers, mobile phones, and tablets. Snail, Inc. was founded in 2009 and is headquartered in Culver City, California. Snail, Inc. operates as a subsidiary of Olive Wood Global Development Limited.

About Dynatrace

Dynatrace, Inc. provides a security platform for multicloud environments. It operates Dynatrace, a security platform, which provides application and microservices monitoring, runtime application security, infrastructure monitoring, log management and analytics, digital experience monitoring, digital business analytics, and cloud automation. Its platform allows its customers to modernize and automate IT operations, develop and release software, and enhance user experiences. The company also offers implementation, consulting, and training services. Dynatrace, Inc. markets its products through a combination of direct sales team and a network of partners, including resellers, system integrators, and managed service providers. It serves customers in various industries comprising banking, insurance, retail, manufacturing, travel, and software. The company operates in North America, Europe, the Middle East, Africa, the Asia Pacific, and Latin America. Dynatrace, Inc. was founded in 2005 and is headquartered in Waltham, Massachusetts.