Zoom Communications (NASDAQ:ZM) vs. Keel Infrastructure (NASDAQ:KEEL) Critical Review

Keel Infrastructure (NASDAQ:KEEL) and Zoom Communications (NASDAQ:ZM) are both technology companies, but which is the better business? We will compare the two companies based on the strength of their risk, institutional ownership, profitability, earnings, valuation, dividends and analyst recommendations.

Analyst Recommendations

This is a summary of current recommendations for Keel Infrastructure and Zoom Communications, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Keel Infrastructure	1	0	7	0	2.75
Zoom Communications	0	11	16	0	2.59

Keel Infrastructure presently has a consensus price target of $6.42, indicating a potential upside of 167.36%. Zoom Communications has a consensus price target of $114.48, indicating a potential upside of 15.12%. Given Keel Infrastructure’s stronger consensus rating and higher possible upside, research analysts plainly believe Keel Infrastructure is more favorable than Zoom Communications.

Profitability

This table compares Keel Infrastructure and Zoom Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Keel Infrastructure	-230.59%	-66.18%	-27.74%
Zoom Communications	65.19%	10.86%	8.93%

Volatility & Risk

Keel Infrastructure has a beta of 4, indicating that its share price is 300% more volatile than the S&P 500. Comparatively, Zoom Communications has a beta of 1.03, indicating that its share price is 3% more volatile than the S&P 500.

Earnings & Valuation

This table compares Keel Infrastructure and Zoom Communications”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Keel Infrastructure	$229.28 million	6.46	-$284.54 million	($0.30)	-8.00
Zoom Communications	$4.99 billion	5.81	$1.90 billion	$10.80	9.21

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

Insider and Institutional Ownership

20.6% of Keel Infrastructure shares are owned by institutional investors. Comparatively, 66.5% of Zoom Communications shares are owned by institutional investors. 9.5% of Keel Infrastructure shares are owned by company insiders. Comparatively, 8.8% of Zoom Communications shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Summary

Zoom Communications beats Keel Infrastructure on 9 of the 14 factors compared between the two stocks.

About Keel Infrastructure

Bitfarms Ltd. is a bitcoin mining company. It provides vertically integrated mining operations with onsite technical repair, proprietary data analytics and Company-owned electrical engineering and installation services to deliver operational performance and uptime. Bitfarms Ltd. is based in TORONTO, Ontario.

About Zoom Communications

Zoom Video Communications, Inc. provides unified communications platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company offers Zoom Meetings that offers HD video, voice, chat, and content sharing through mobile devices, desktops, laptops, telephones, and conference room systems; Zoom Phone, an enterprise cloud phone system; and Zoom Chat enables users to share messages, images, audio files, and content in desktop, laptop, tablet, and mobile devices. It also provides Zoom Rooms, a software-based conference room system; Zoom Conference Room Connector, a gateway for SIP/H.323 endpoints to join Zoom meetings; Zoom Events, which enables users to manage and host internal and external virtual events; OnZoom, a prosumer-focused virtual event platform and marketplace for Zoom users to create, host, and monetize online events; and Zoom Webinars to provide video presentations to large audiences from many devices. In addition, the company offers Zoom Developer Platform that enables developers, platform integrators, service providers, and customers to build apps and integrations using Zoom’s video-based communications solutions, as well as integrate Zoom’s technology into their products and services; Zoom App Marketplace, which helps developers to publish their apps, as well as third-party integrations of Zoom; and Zoom Contact Center, an omnichannel contact center solution. It serves individuals; and education, entertainment/media, enterprise infrastructure, finance, government, healthcare, manufacturing, non-profit/not for profit and social impact, retail/consumer products, and software/Internet industries. The company was formerly known as Zoom Communications, Inc. and changed its name to Zoom Video Communications, Inc. in May 2012. The company was incorporated in 2011 and is headquartered in San Jose, California.