Infosys (INFY) Competitors

Infosys (NYSE:INFY) and SAP (NYSE:SAP) are both large-cap computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, community ranking, institutional ownership, media sentiment, risk, valuation, earnings and dividends.

Which has more risk and volatility, INFY or SAP?

Infosys has a beta of 1, indicating that its share price has a similar volatility profile to the S&P 500.Comparatively, SAP has a beta of 1.22, indicating that its share price is 22% more volatile than the S&P 500.

Does the MarketBeat Community prefer INFY or SAP?

SAP received 267 more outperform votes than Infosys when rated by MarketBeat users. Likewise, 66.06% of users gave SAP an outperform vote while only 55.64% of users gave Infosys an outperform vote.

Company	Underperform	Outperform
Infosys	Outperform Votes 498 55.64%	Underperform Votes 397 44.36%
SAP	Outperform Votes 765 66.06%	Underperform Votes 393 33.94%

Do insiders & institutionals have more ownership in INFY or SAP?

16.2% of Infosys shares are held by institutional investors. 22.4% of Infosys shares are held by insiders. Comparatively, 7.4% of SAP shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Is INFY or SAP more profitable?

Infosys has a net margin of 17.15% compared to SAP's net margin of 8.15%. Infosys' return on equity of 31.43% beat SAP's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Infosys	17.15%	31.43%	19.49%
SAP	8.15%	11.44%	6.92%

Is INFY or SAP a better dividend stock?

Infosys pays an annual dividend of $0.42 per share and has a dividend yield of 2.0%. SAP pays an annual dividend of $1.73 per share and has a dividend yield of 0.7%. Infosys pays out 53.8% of its earnings in the form of a dividend. SAP pays out 69.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Infosys is clearly the better dividend stock, given its higher yield and lower payout ratio.

Do analysts prefer INFY or SAP?

Infosys currently has a consensus price target of $20.22, indicating a potential downside of 4.45%. SAP has a consensus price target of $263.17, indicating a potential upside of 0.16%. Given SAP's stronger consensus rating and higher probable upside, analysts clearly believe SAP is more favorable than Infosys.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Infosys	2 Sell rating(s)	3 Hold rating(s)	4 Buy rating(s)	1 Strong Buy rating(s)	2.40
SAP	0 Sell rating(s)	0 Hold rating(s)	10 Buy rating(s)	0 Strong Buy rating(s)	3.00

Does the media refer more to INFY or SAP?

In the previous week, Infosys had 7 more articles in the media than SAP. MarketBeat recorded 32 mentions for Infosys and 25 mentions for SAP. SAP's average media sentiment score of 0.55 beat Infosys' score of 0.52 indicating that SAP is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Infosys	9 Very Positive mention(s)	3 Positive mention(s)	11 Neutral mention(s)	5 Negative mention(s)	0 Very Negative mention(s)	Positive
SAP	9 Very Positive mention(s)	1 Positive mention(s)	10 Neutral mention(s)	2 Negative mention(s)	1 Very Negative mention(s)	Positive

Which has better valuation and earnings, INFY or SAP?

SAP has higher revenue and earnings than Infosys. Infosys is trading at a lower price-to-earnings ratio than SAP, 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
Infosys	$18.56B	4.72	$3.17B	$0.78	27.13
SAP	$33.77B	9.56	$6.64B	$2.50	105.09

Summary

SAP beats Infosys on 12 of the 21 factors compared between the two stocks.