Evolent Health (NYSE:EVH) vs. Twilio (NYSE:TWLO) Head to Head Survey

Evolent Health (NYSE:EVH) and Twilio (NYSE:TWLO) are both computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, valuation, risk, dividends, earnings, analyst recommendations and institutional ownership.

Analyst Recommendations

This is a breakdown of current recommendations for Evolent Health and Twilio, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Evolent Health	1	3	13	0	2.71
Twilio	1	3	17	2	2.87

Evolent Health presently has a consensus target price of $6.00, indicating a potential upside of 52.09%. Twilio has a consensus target price of $195.40, indicating a potential upside of 3.96%. Given Evolent Health’s higher possible upside, equities analysts clearly believe Evolent Health is more favorable than Twilio.

Insider and Institutional Ownership

84.3% of Twilio shares are owned by institutional investors. 1.5% of Evolent Health shares are owned by company insiders. Comparatively, 0.2% of Twilio shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Volatility and Risk

Evolent Health has a beta of 0.83, indicating that its stock price is 17% less volatile than the S&P 500. Comparatively, Twilio has a beta of 1.32, indicating that its stock price is 32% more volatile than the S&P 500.

Valuation & Earnings

This table compares Evolent Health and Twilio”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Evolent Health	$1.89 billion	0.23	-$534.51 million	($4.76)	-0.83
Twilio	$5.07 billion	5.63	$33.83 million	$0.64	293.67

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

Profitability

This table compares Evolent Health and Twilio’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Evolent Health	-26.29%	0.36%	0.10%
Twilio	1.96%	4.64%	3.76%

Summary

Twilio beats Evolent Health on 13 of the 15 factors compared between the two stocks.

About Evolent Health

Evolent Health, Inc., through its subsidiary, Evolent Health LLC, offers specialty care management services in oncology, cardiology, and musculoskeletal markets in the United States. The company provides platform for health plan administration and value-based business infrastructure. It offers administrative services, such as health plan services, pharmacy benefits management, risk management, analytics and reporting, and leadership and management; and Identifi, a proprietary technology system that aggregates and analyzes data, manages care workflows, and engages patients. In addition, the company provides holistic total cost of care management. Evolent Health, Inc. was founded in 2011 and is headquartered in Arlington, Virginia.

About Twilio

Twilio Inc., together with its subsidiaries, provides customer engagement platform solutions in the United States and internationally. It operates through two segments, Twilio Communications and Twilio Segment. The company provides various application programming interfaces and software solutions for communications between customers and end users, including messaging, voice, email, flex, marketing campaigns, and user identity and authentication. It also offers software products to build direct, personalized relationships with their end users, such as segment, a platform that provides tools for first-party data by unifying real-time information collected; and engage, an automation platform for the delivery of omnichannel campaigns. Twilio Inc. was incorporated in 2008 and is headquartered in San Francisco, California.