Bandwidth (BAND) Competitors

Sprout Social (NASDAQ:SPT) and Bandwidth (NASDAQ:BAND) are both small-cap computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their risk, media sentiment, valuation, community ranking, dividends, analyst recommendations, earnings, profitability and institutional ownership.

Which has preferable earnings and valuation, SPT or BAND?

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

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sprout Social	$333.64M	5.97	-$66.43M	-$1.20	-28.92
Bandwidth	$703.90M	0.75	-$16.34M	-$0.93	-20.61

Is SPT or BAND more profitable?

Bandwidth has a net margin of -2.23% compared to Sprout Social's net margin of -17.24%. Bandwidth's return on equity of -0.89% beat Sprout Social's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Sprout Social	-17.24%	-40.94%	-15.70%
Bandwidth	-2.23%	-0.89%	-0.26%

Does the MarketBeat Community believe in SPT or BAND?

Bandwidth received 336 more outperform votes than Sprout Social when rated by MarketBeat users. However, 61.11% of users gave Sprout Social an outperform vote while only 58.40% of users gave Bandwidth an outperform vote.

Company	Underperform	Outperform
Sprout Social	Outperform Votes 88 61.11%	Underperform Votes 56 38.89%
Bandwidth	Outperform Votes 424 58.40%	Underperform Votes 302 41.60%

Do analysts recommend SPT or BAND?

Sprout Social presently has a consensus price target of $45.46, indicating a potential upside of 31.01%. Bandwidth has a consensus price target of $28.33, indicating a potential upside of 47.80%. Given Bandwidth's stronger consensus rating and higher possible upside, analysts plainly believe Bandwidth is more favorable than Sprout Social.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sprout Social	1 Sell rating(s)	7 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.40
Bandwidth	1 Sell rating(s)	2 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.43

Do institutionals & insiders have more ownership in SPT or BAND?

68.5% of Bandwidth shares are owned by institutional investors. 11.0% of Sprout Social shares are owned by company insiders. Comparatively, 6.2% of Bandwidth 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.

Does the media refer more to SPT or BAND?

In the previous week, Bandwidth had 1 more articles in the media than Sprout Social. MarketBeat recorded 12 mentions for Bandwidth and 11 mentions for Sprout Social. Sprout Social's average media sentiment score of 1.03 beat Bandwidth's score of 0.52 indicating that Sprout Social is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Sprout Social	5 Very Positive mention(s)	1 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Bandwidth	4 Very Positive mention(s)	0 Positive mention(s)	6 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has more volatility and risk, SPT or BAND?

Sprout Social has a beta of 1.03, meaning that its stock price is 3% more volatile than the S&P 500. Comparatively, Bandwidth has a beta of 1.51, meaning that its stock price is 51% more volatile than the S&P 500.

Summary

Bandwidth beats Sprout Social on 13 of the 18 factors compared between the two stocks.