Critical Comparison: Constant Contact (CTCT) & Hortonworks (HDP)

Constant Contact (NASDAQ: CTCT) and Hortonworks (NASDAQ:HDP) are both enterprise software companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, institutional ownership, profitability, dividends, valuation, analyst recommendations and earnings.

Institutional & Insider Ownership

57.6% of Hortonworks shares are held by institutional investors. 22.5% of Hortonworks shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Constant Contact and Hortonworks, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Constant Contact 0 0 0 0 N/A
Hortonworks 0 3 11 0 2.79

Hortonworks has a consensus price target of $21.08, suggesting a potential upside of 4.01%. Given Hortonworks’ higher possible upside, analysts plainly believe Hortonworks is more favorable than Constant Contact.

Valuation & Earnings

This table compares Constant Contact and Hortonworks’ revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Constant Contact N/A N/A N/A $0.60 53.35
Hortonworks $184.46 million 7.75 -$251.68 million ($3.37) -6.01

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

Profitability

This table compares Constant Contact and Hortonworks’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Constant Contact 6.96% 9.09% 7.35%
Hortonworks -89.35% -765.37% -94.91%

Constant Contact Company Profile

Constant Contact, Inc. (Constant Contact) is a provider of online marketing tools for small organizations, including small businesses, associations and non-profits. The Company’s tools include Email Marketing, EventSpot, Social Campaigns, SaveLocal, SinglePlatform and Survey. It also provides Constant Contact Toolkit, which is an online marketing platform. Toolkit serves the small organizations to find and engage with customers across various marketing channels, including email, social, mobile and Web. Toolkit is available to customers in three packages: Email, Email Plus and Personal Marketer. Its Email offering is for the customers of email marketing product. Its Email Plus includes email marketing product, as well as access to its other marketing offerings, including running promotions and offers, managing events online, conducting surveys and getting feedback. Its Personal Marketer package includes various Toolkit offerings in Email Plus.

Hortonworks Company Profile

Hortonworks, Inc. is a provider and distributor of enterprise-scale data management software platforms. The Company’s product offerings include Hortonworks Data Platform (HDP), Hortonworks Sandbox and Hortonworks DataFlow Platform (HDF). It provides support subscription offerings and related professional services for its enterprise-scale Connected Data Platforms, such as HDP and HDF. Its Data at Rest solution, the HDP, is an enterprise-scale data management platform built entirely on open source software, including Apache Hadoop. HDP combines computer servers with local storage and open source software technology to create a distributed compute and storage platform for data sets that is secure and scalable over petabytes of data within thousands of servers or nodes. Its Data in Motion solution, the HDF, is an enterprise-scale data ingest platform built entirely on open source software, including Apache NiFi.

Receive News & Ratings for Constant Contact Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Constant Contact and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply