Critical Analysis: AvidXchange (NASDAQ:AVDX) vs. Airship AI (NASDAQ:AISP)

AvidXchange (NASDAQ:AVDX) and Airship AI (NASDAQ:AISP) are both computer and technology companies, but which is the better investment? We will contrast the two companies based on the strength of their risk, earnings, analyst recommendations, institutional ownership, valuation, dividends and profitability.

Volatility & Risk

AvidXchange has a beta of 1.22, suggesting that its stock price is 22% more volatile than the S&P 500. Comparatively, Airship AI has a beta of 0.3, suggesting that its stock price is 70% less volatile than the S&P 500.

Institutional & Insider Ownership

80.6% of AvidXchange shares are held by institutional investors. Comparatively, 5.9% of Airship AI shares are held by institutional investors. 11.1% of AvidXchange shares are held by company insiders. Comparatively, 57.9% of Airship AI shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and recommmendations for AvidXchange and Airship AI, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AvidXchange	2	14	1	0	1.94
Airship AI	0	0	1	0	3.00

AvidXchange presently has a consensus target price of $10.30, suggesting a potential upside of 5.64%. Airship AI has a consensus target price of $6.00, suggesting a potential upside of 27.66%. Given Airship AI’s stronger consensus rating and higher probable upside, analysts clearly believe Airship AI is more favorable than AvidXchange.

Profitability

This table compares AvidXchange and Airship AI’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AvidXchange	-0.23%	0.74%	0.23%
Airship AI	64.71%	-76.44%	309.71%

Valuation and Earnings

This table compares AvidXchange and Airship AI”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AvidXchange	$441.28 million	4.56	-$47.33 million	$0.04	243.75
Airship AI	$17.98 million	8.32	$16.37 million	($0.67)	-7.01

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

Summary

Airship AI beats AvidXchange on 7 of the 13 factors compared between the two stocks.

About AvidXchange

AvidXchange Holdings, Inc. provides accounts payable (AP) automation software and payment solutions for middle market businesses and their suppliers in North America. The company offers AP automation software, a SaaS-based solution that automates and digitizes capture, review, approval, and payment of invoices for buyers; the AvidPay network that connects two-sided payments with buyers and suppliers; and the AvidXchange Supplier Hub, which provides supplier insights to cash flow, tools for in-network invoices and payments, and early payment feature. Its platform offers electronic invoice capture, workflow routing, and automated payments solutions. The company serves real estate, community association management, construction, financial services, healthcare facilities, social services, education, hospitality, and media sectors through direct salesforces; strategic channel partnerships; and software and technology business partners. AvidXchange Holdings, Inc. was incorporated in 2000 and is headquartered in Charlotte, North Carolina.

About Airship AI

Airship AI Holdings, Inc. offers AI-driven video, sensor, and data management surveillance platform in the United States. The company provides Airship Acropolis OS, an IP and analog video surveillance; Airship Command, a suite of visualization tools that allows users to view data and evidence ingested from the edge; and Airship Outpost for high-definition recording with user defined low-bit rate video stream encoding. It serves government, public sector, law enforcement, military, and commercial enterprise organizations. The company was formerly known as Super Simple AI, Inc. and changed its name to Airship AI Holdings, Inc. in March 2023. Airship AI Holdings, Inc. was founded in 2006 and is headquartered in Redmond, Washington.