Analyzing SMS Alternatives (OTCMKTS:CICN) & Blackbaud (NASDAQ:BLKB)

SMS Alternatives (OTCMKTS:CICN) and Blackbaud (NASDAQ:BLKB) are both computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, profitability, dividends, risk and earnings.

Insider and Institutional Ownership

94.2% of Blackbaud shares are held by institutional investors. 89.0% of SMS Alternatives shares are held by insiders. Comparatively, 2.0% of Blackbaud shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares SMS Alternatives and Blackbaud’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SMS Alternatives	N/A	N/A	N/A
Blackbaud	-24.82%	61.72%	5.07%

Analyst Recommendations

This is a breakdown of current ratings and price targets for SMS Alternatives and Blackbaud, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SMS Alternatives	0	0	0	0	0.00
Blackbaud	0	3	1	0	2.25

Blackbaud has a consensus target price of $78.67, suggesting a potential upside of 22.32%. Given Blackbaud’s stronger consensus rating and higher probable upside, analysts clearly believe Blackbaud is more favorable than SMS Alternatives.

Earnings & Valuation

This table compares SMS Alternatives and Blackbaud”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SMS Alternatives	N/A	N/A	N/A	N/A	N/A
Blackbaud	$1.16 billion	2.70	-$283.17 million	($5.78)	-11.13

SMS Alternatives has higher earnings, but lower revenue than Blackbaud.

Summary

Blackbaud beats SMS Alternatives on 7 of the 9 factors compared between the two stocks.

About SMS Alternatives

SMS Alternatives Inc. provides business integration software solutions in the United States and Europe. The company's software enables organizations to integrate new and existing information and processes at the desktop; and addresses the need for a company's information systems to deliver enterprise-wide views of their business information processes. It offers Cicero Discovery, a configurable tool to collect activity and application performance data, and track business objects across time and multiple users, as well as measure against a defined expected business process flow; and Cicero Insight, a measurement and analytics solution that collects and presents information about quality, productivity, compliance, and revenue from frontline activity to target areas for improvement. The company also provides Cicero Automation that delivers features of the Cicero Discovery product, as well as desktop automation for enterprise contact center and back office employees; integrates applications and automates workflow; and control and adaptability at the end user desktop. In addition, it offers technical support, training, and consulting services. The company sells its products and services directly, as well as through distributors and other intermediaries who resell it to end-users. It serves financial services, insurance, and telecommunications industries; and business process outsourcers, as well as intelligence, security, law enforcement, and other governmental organizations. The company was formerly known as Cicero Inc. and changed its name to SMS Alternatives Inc. in June 2023. SMS Alternatives Inc. was founded in 1988 and is headquartered in Cary, North Carolina.

About Blackbaud

Blackbaud, Inc. provides cloud software solutions to nonprofits, foundations, education institutions, and healthcare organizations in the United States and internationally. The company offers fundraising and engagement solutions, such as Blackbaud Raiser's Edge NXT, Blackbaud CRM, Blackbaud eTapestry, Blackbaud Luminate Online, Blackbaud TeamRaiser, JustGiving, Blackbaud Fundraiser Performance Management, Blackbaud Guided Fundraising, and Blackbaud Altru; and financial management solutions comprising Blackbaud Financial Edge NXT, Blackbaud Tuition Management, and Blackbaud Financial Aid and Billing Management. It also provides grant and award management solutions, consisting of Blackbaud Grantmaking and Blackbaud Award Management; education solutions, such as Blackbaud Student Information System, Blackbaud Learning Management System, Blackbaud Enrollment Management System, and Blackbaud School Website System; social responsibility solutions, which includes YourCause GrantsConnect and YourCause CSRconnect, and EVERFI; Blackbaud Merchant Services and Blackbaud Purchase Cards payment services; and Blackbaud's Intelligence for Good solutions, as well as Data Health, Insights, and Performance solutions and services. The company sells its solutions and related services through its direct sales force. Blackbaud, Inc. was founded in 1981 and is headquartered in Charleston, South Carolina.