Allot (NASDAQ:ALLT) vs. Zenvia (NASDAQ:ZENV) Head to Head Survey

Allot (NASDAQ:ALLT) and Zenvia (NASDAQ:ZENV) are both small-cap business services companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, institutional ownership, valuation, earnings, analyst recommendations, profitability and risk.

Earnings & Valuation

This table compares Allot and Zenvia”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Allot	$92.19 million	4.80	-$5.87 million	$0.03	304.67
Zenvia	$177.97 million	0.25	-$28.67 million	($0.40)	-2.15

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

Profitability

This table compares Allot and Zenvia’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Allot	1.06%	4.54%	2.32%
Zenvia	-10.62%	-14.36%	-6.52%

Analyst Recommendations

This is a summary of recent ratings for Allot and Zenvia, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Allot	1	1	5	0	2.57
Zenvia	1	0	0	0	1.00

Allot currently has a consensus target price of $14.63, indicating a potential upside of 60.01%. Given Allot’s stronger consensus rating and higher possible upside, research analysts clearly believe Allot is more favorable than Zenvia.

Risk & Volatility

Allot has a beta of 1.57, meaning that its share price is 57% more volatile than the S&P 500. Comparatively, Zenvia has a beta of 1.76, meaning that its share price is 76% more volatile than the S&P 500.

Institutional & Insider Ownership

51.5% of Allot shares are held by institutional investors. Comparatively, 49.3% of Zenvia shares are held by institutional investors. 3.4% of Allot shares are held by company insiders. Comparatively, 78.4% of Zenvia shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Summary

Allot beats Zenvia on 11 of the 14 factors compared between the two stocks.

About Allot

Allot Communications Ltd. is a provider of leading innovative network intelligence and security solutions for service providers worldwide, enhancing value to their customers. Their solutions are deployed globally for network and application analytics, traffic control and shaping, network-based security services, and more. Allot’s multi-service platforms are deployed by over 500 mobile, fixed and cloud service providers and over 1000 enterprises. Their industry leading network-based security as a service solution has achieved over 50% penetration with some service providers and is already used by over 20 million subscribers in Europe.

About Zenvia

Zenvia Inc. provides customer experience communications platform which empowers businesses to create unique journeys for their end-customers along their life cycle across range of B2C verticals. Zenvia Inc. is based in S?O PAULO.