Reviewing LeddarTech (NASDAQ:LDTC) & Braze (NASDAQ:BRZE)

Braze (NASDAQ:BRZE) and LeddarTech (NASDAQ:LDTC) are both business services companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, profitability, risk, valuation, analyst recommendations, institutional ownership and dividends.

Valuation & Earnings

This table compares Braze and LeddarTech’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Braze	$471.80 million	9.29	-$129.17 million	($1.33)	-32.68
LeddarTech	$6.50 million	10.62	$370,000.00	N/A	N/A

LeddarTech has lower revenue, but higher earnings than Braze.

Insider & Institutional Ownership

90.5% of Braze shares are owned by institutional investors. Comparatively, 9.6% of LeddarTech shares are owned by institutional investors. 26.5% of Braze shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Braze and LeddarTech’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Braze	-27.44%	-28.24%	-16.37%
LeddarTech	N/A	-631.07%	-94.78%

Analyst Ratings

This is a summary of current recommendations for Braze and LeddarTech, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Braze	0	1	16	0	2.94
LeddarTech	0	1	1	0	2.50

Braze presently has a consensus price target of $64.29, suggesting a potential upside of 47.94%. LeddarTech has a consensus price target of $7.00, suggesting a potential upside of 191.67%. Given LeddarTech’s higher possible upside, analysts clearly believe LeddarTech is more favorable than Braze.

Volatility & Risk

Braze has a beta of 1.13, suggesting that its share price is 13% more volatile than the S&P 500. Comparatively, LeddarTech has a beta of -0.19, suggesting that its share price is 119% less volatile than the S&P 500.

Summary

Braze beats LeddarTech on 8 of the 12 factors compared between the two stocks.

About Braze

Braze, Inc. operates a customer engagement platform that provides interactions between consumers and brands worldwide. The company offers data ingestion products, such as Braze software development kits that automatically manage data ingestion and deliver mobile and web notifications, in-application/in-browser interstitial messages, and content cards; REST API that can be used to import or export data or to trigger workflows between Braze and brands' existing technology stacks; partner cohort syncing, which allow brands to sync user cohorts from partners; and Braze Cloud Data Ingestion that enables brands to harness their customer data. It also offers classification products, including segmentation that can define reusable segments of consumers based upon attributes, events, or predictive propensity scores; segment insights, which allows customers to analyze how segments are performing relative to each other across a set of pre-selected key performance indicators; and predictive suite that allows customers to identify groups of consumers that are of critical business value. In addition, the company provides orchestration products, which includes Canvas, an orchestration tool that allows customers to create journeys, mapping out multi-steps, and cross-channel messaging experiences; campaigns, which allows customers to send one set of single-channel or multi-channel messages to be delivered to customers in a particular user segment; event and API triggering; frequency capping and rate limiting; intelligent selection; and reporting and analytics. Further, it offers personalization products, such as liquid templating platform, connected content platform, content blocks, intelligent timing platform, and promotion codes; and action products. The company was formerly known as Appboy, Inc. and changed its name to Braze, Inc. in November 2017. Braze, Inc. was incorporated in 2011 and is headquartered in New York, New York.

About LeddarTech

LeddarTech Holdings Inc. provides AI-based fusion and perception software solutions for advanced driver assistance solutions and autonomous driving applications in Canada. It offers LeddarVision, a raw sensor fusion and perception platform for automotive and off-road industrial vehicles. The company was founded in 2007 and is based in Quebec City, Canada.