Critical Contrast: Ceridian HCM (NYSE:CDAY) vs. MiX Telematics (NYSE:MIXT)

Profitability

This table compares MiX Telematics and Ceridian HCM’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MiX Telematics	3.72%	8.45%	5.11%
Ceridian HCM	0.28%	2.03%	0.51%

Risk & Volatility

MiX Telematics has a beta of 1.15, suggesting that its stock price is 15% more volatile than the S&P 500. Comparatively, Ceridian HCM has a beta of 1.38, suggesting that its stock price is 38% more volatile than the S&P 500.

Earnings and Valuation

This table compares MiX Telematics and Ceridian HCM”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MiX Telematics	$150.06 million	2.36	$4.52 million	$0.25	58.20
Ceridian HCM	$1.45 billion	7.46	-$73.40 million	$0.03	2,309.00

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

Insider & Institutional Ownership

45.7% of MiX Telematics shares are owned by institutional investors. 12.4% of MiX Telematics shares are owned by company insiders. Comparatively, 4.5% of Ceridian HCM shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

MiX Telematics beats Ceridian HCM on 7 of the 11 factors compared between the two stocks.

About MiX Telematics

MiX Telematics Limited, together with its subsidiaries, provides fleet and mobile asset management solutions through software-as-a-service (SaaS) delivery model. It offers MiX Fleet Manager, a commercial fleet management solution comprising MyMiX, an innovative driver engagement platform; MiX Vision, an on-road and in-vehicle video recording solution; MiX Rovi, an in-vehicle display and communications system; MiX RIBAS and DriveMate, an in-cab driving aid solution; MiX Hours of Service, which allows real-time monitoring and compliance; MiX Journey Management, an easy-to-use electronic alternative to paper-based systems; and MiX OEM Connect allows customer instant, direct integration to relevant, and powerful telematics data. The company provides MiX Asset Manager, asset tracking products including generators, light towers, storage tanks and pumps, and asset management solution for visibility of corporate assets; and Matrix, a suite of mobile asset management solutions for entry-level fleets and consumers, which offers real-time and historical vehicle tracking, and positioning, unauthorized vehicle use alerts, panic emergency response, crash alerts, driver behavior alerts, fuel tax logbooks, and vehicle maintenance notifications. In addition, it offers Beam-e, a crowdsourcing platform to locate vehicles without the expense of utilizing a traditional cellular network connection. The company delivers fleet and mobile asset management solutions as SaaS to 1,001,800 subscribers in South Africa, the Americas, the Middle East, Australia, Europe, and Brazil. MiX Telematics Limited was founded in 1996 and is headquartered in Boca Raton, Florida.

About Ceridian HCM

Ceridian HCM Holding Inc., together with its subsidiaries, operates as a human capital management (HCM) software company in the United States, Canada, and internationally. It offers Dayforce, a cloud HCM platform that provides human resources, payroll, benefits, workforce management, and talent management functionality; and Powerpay, a cloud HR and payroll solution for the small business market. The company also provides Bureau solutions for payroll and payroll-related services. It sells its solutions through direct sales force and third-party channels. The company was incorporated in 2013 and is headquartered in Minneapolis, Minnesota.