Head-To-Head Analysis: Phunware (NASDAQ:PHUN) vs. Qualys (NASDAQ:QLYS)

Qualys (NASDAQ:QLYS) and Phunware (NASDAQ:PHUN) are both technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, earnings, valuation, institutional ownership, analyst recommendations, dividends and risk.

Profitability

This table compares Qualys and Phunware’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Qualys	29.38%	37.52%	19.41%
Phunware	-471.72%	-13.79%	-12.37%

Valuation & Earnings

This table compares Qualys and Phunware”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Qualys	$702.98 million	9.68	$198.32 million	$5.78	34.03
Phunware	$2.55 million	16.13	-$11.40 million	($0.65)	-3.09

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

Risk & Volatility

Qualys has a beta of 0.6, suggesting that its share price is 40% less volatile than the S&P 500. Comparatively, Phunware has a beta of 2.59, suggesting that its share price is 159% more volatile than the S&P 500.

Institutional & Insider Ownership

99.3% of Qualys shares are owned by institutional investors. Comparatively, 7.6% of Phunware shares are owned by institutional investors. 0.7% of Qualys shares are owned by company insiders. Comparatively, 0.2% of Phunware shares are owned by company 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.

Analyst Ratings

This is a breakdown of recent ratings for Qualys and Phunware, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Qualys	1	11	4	2	2.39
Phunware	1	1	0	0	1.50

Qualys presently has a consensus price target of $183.62, suggesting a potential downside of 6.65%. Phunware has a consensus price target of $2.00, suggesting a potential downside of 0.50%. Given Phunware’s higher probable upside, analysts plainly believe Phunware is more favorable than Qualys.

Summary

Qualys beats Phunware on 11 of the 14 factors compared between the two stocks.

About Qualys

Qualys, Inc., together with its subsidiaries, provides cloud-based platform delivering information technology (IT), security, and compliance solutions in the United States and internationally. It offers Qualys Cloud Apps, which include Cybersecurity Asset Management and External Attack Surface Management; Vulnerability Management, Detection and Response; Web Application Scanning; Patch Management; Custom Assessment and Remediation; Multi-Vector Endpoint Detection and Response; Context Extended Detection and Response; Policy Compliance; File Integrity Monitoring; and Qualys TotalCloud, as well as Cloud Workload Protection, Cloud Detection and Response, Cloud Security Posture Management, Infrastructure as Code, and Container Security. The company's integrated suite of IT, security, and compliance solutions delivered on its Qualys' Enterprise TruRisk Platform enables customers to identify and manage IT assets; collect and analyze IT security data; discover and prioritize vulnerabilities; quantify cyber risk exposure; recommend and implement remediation actions; and verify the implementation of such actions. It also provides asset tagging and management, reporting and dashboards, questionnaires and collaboration, remediation and workflow, big data correlation and analytics engine, and alerts and notifications that enable clients to detect vulnerabilities, and measure and remediate cyber risk. The company offers its solutions to enterprises, government entities, and small and medium-sized businesses in various industries, including education, financial services, government, healthcare, insurance, manufacturing, media, retail, technology, and utilities through its sales teams, as well as through its network of channel partners, such as security consulting organizations, managed service providers, resellers, cloud providers, and consulting firms. Qualys, Inc. was incorporated in 1999 and is headquartered in Foster City, California.

About Phunware

Phunware, Inc., together with its subsidiaries, provides integrated software platform that equips companies with the products, solutions, and services to engage, manage, and monetize their mobile application portfolios in the United States and internationally. The company's products and services include mobile software and application transaction solutions comprise integration of software development kit (SDK) licenses, which consists of analytics that offers data related to application use and engagement; content management that allows application administrators to create and manage app content in a cloud-based portal; alerts, notifications, and messaging, which enables brands to send messages; marketing automation that enables location-triggered messages and workflow; advertising; and location-based services, such as mapping, navigation, wayfinding, workflow, asset management, and policy enforcement. It is also involved in the integration of its SDK licenses into existing applications maintained by its customers, as well as custom application development and support services; and provision of cloud-based vertical solutions for healthcare, retail, sports, aviation, real estate, hospitality, education, and other applications, as well as application transactions, including re-occurring and one-time transactional media purchases for application discovery, user acquisition and audience building, audience engagement, and audience monetization. Phunware, Inc. was founded in 2009 and is headquartered in Austin, Texas.