Head-To-Head Contrast: Fujitsu (OTCMKTS:FJTSY) & Endava (NYSE:DAVA)

Endava (NYSE:DAVA) and Fujitsu (OTCMKTS:FJTSY) are both computer and technology companies, but which is the superior investment? We will contrast the two businesses based on the strength of their analyst recommendations, risk, valuation, dividends, earnings, profitability and institutional ownership.

Profitability

This table compares Endava and Fujitsu’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Endava	-57.01%	2.48%	1.40%
Fujitsu	N/A	N/A	N/A

Earnings and Valuation

This table compares Endava and Fujitsu”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Endava	$999.23 million	0.16	$27.45 million	($10.51)	-0.27
Fujitsu	$23.27 billion	1.54	$2.97 billion	$0.45	45.31

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

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Endava and Fujitsu, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Endava	3	4	1	0	1.75
Fujitsu	0	2	0	0	2.00

Endava presently has a consensus price target of $5.50, suggesting a potential upside of 96.78%. Given Endava’s higher possible upside, equities analysts clearly believe Endava is more favorable than Fujitsu.

Volatility and Risk

Endava has a beta of 1.05, indicating that its share price is 5% more volatile than the S&P 500. Comparatively, Fujitsu has a beta of 0.81, indicating that its share price is 19% less volatile than the S&P 500.

Insider and Institutional Ownership

62.2% of Endava shares are owned by institutional investors. Comparatively, 0.1% of Fujitsu shares are owned by institutional investors. 18.8% of Endava shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

About Endava

Endava plc provides technology services for clients in the consumer products, healthcare, mobility, and retail verticals in North America, Europe, the United Kingdom, and internationally. It offers ideation and production services in the payments and financial services, telecommunications, media, and technology verticals; and business analysis, data analytics, program management, digital product strategy, private equity value enhancement, IT strategy, architecture, extended reality, machine learning and artificial intelligence, product design, and user experience and visual design services. The company also provides automated testing, cloud native software engineering, continuous delivery, distributed agile delivery, intelligent automation, secure development, agile applications management, cloud infrastructure, DevSecOps, service delivery, smart desk, telemetry and monitoring, organizational optimization, and transaction advisory services. Endava plc was founded in 2000 and is headquartered in London, the United Kingdom.

About Fujitsu

Fujitsu Limited operates as an information and communication technology company in Japan and internationally. The company operates through three segments: Technology Solutions, Ubiquitous Solutions, and Device Solutions. The company offers multi cloud and hybrid IT services; assessment and consultative services; SAP landscape transformation services; new workplace; datacentre products comprising integrated systems, storage solutions, servers, network switches, and infrastructure management; workplace products including notebooks, tablet PC’s, desktop PC’s, workstations, thin clients, displays, and peripheral devices; consumption based IT services; installation and implementation services; and hardware, software, and infrastructure support services, as well as electronic devices, air conditioning products, and network solutions. It also provides cyber security solutions, including cyber security consulting, managed security servies, and security operation and advanced threat centers; internet of things, artificial intelligence platform and solutions; and software products comprising FUJITSU Software Infrastructure Manager and FUJITSU Software ServerView Suite. Further, the company offers electronic components, such as semiconductor packages and batteries. It serves automotive, manufacturing, retail, financial services, transport, telecommunications, healthcare, and energy and utilities industries; the public sectors; and services providers. The company was founded in 1923 and is headquartered in Tokyo, Japan.