Zenvia (NASDAQ:ZENV) and NetSol Technologies (NASDAQ:NTWK) Critical Survey

Zenvia (NASDAQ:ZENV) and NetSol Technologies (NASDAQ:NTWK) are both small-cap business services companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, valuation, institutional ownership, earnings, profitability, risk and analyst recommendations.

Analyst Ratings

This is a breakdown of current ratings for Zenvia and NetSol Technologies, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zenvia	0	0	0	0	N/A
NetSol Technologies	0	0	0	0	N/A

Institutional and Insider Ownership

49.3% of Zenvia shares are held by institutional investors. Comparatively, 16.0% of NetSol Technologies shares are held by institutional investors. 78.4% of Zenvia shares are held by company insiders. Comparatively, 13.2% of NetSol Technologies shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Zenvia and NetSol Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zenvia	-13.11%	-13.30%	-6.47%
NetSol Technologies	1.11%	1.77%	1.14%

Volatility & Risk

Zenvia has a beta of 2.05, suggesting that its stock price is 105% more volatile than the S&P 500. Comparatively, NetSol Technologies has a beta of 1.07, suggesting that its stock price is 7% more volatile than the S&P 500.

Valuation and Earnings

This table compares Zenvia and NetSol Technologies”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Zenvia	$879.41 million	0.08	-$12.22 million	($0.29)	-5.52
NetSol Technologies	$61.39 million	0.59	$680,000.00	($0.38)	-8.33

NetSol Technologies has lower revenue, but higher earnings than Zenvia. NetSol Technologies is trading at a lower price-to-earnings ratio than Zenvia, indicating that it is currently the more affordable of the two stocks.

Summary

Zenvia beats NetSol Technologies on 6 of the 11 factors compared between the two stocks.

About Zenvia

Zenvia Inc. provides customer experience communications platform which empowers businesses to create unique journeys for their end-customers along their life cycle across range of B2C verticals. Zenvia Inc. is based in S?O PAULO.

About NetSol Technologies

NetSol Technologies, Inc. designs, develops, markets, and exports enterprise software solutions to the automobile financing and leasing, banking, and financial services industries worldwide. The company offers NFS Ascent, a suite of financial applications for businesses in the finance and leasing industry. Its NFS Ascent constituent applications include Omni Point of Sale, a web-based application; Contract Management System (CMS), an application for managing and maintaining credit contracts; Wholesale Finance System (WFS), a system for automating and managing the lifecycle of wholesale finance; Dealer Auditor Access System, a web-based solution that could be used in conjunction with WFS or any third-party wholesale finance system; NFS Ascent deployed on The Cloud, a cloud-version of NFS Ascent; and NFS Digital, that includes Self Point of Sale, Mobile Account, Mobile Point of Sale, Mobile Dealer, Mobile Auditor, Mobile Collector, and Mobile Field Investigator. The company also provides Otoz Digital Auto-Retail and mobility orchestration, a white-label SaaS platform; Otoz Ecosystem, an API-based architecture; and Otoz Platform, a white label platform, which includes Dealer/Admin Tool and Customer Portals. In addition, it offers system integration, consulting, and information technology products and services. It serves blue chip organizations, Dow-Jones 30 Industrials, Fortune 500 manufacturers and financial institutions, and vehicle manufacturers. The company was incorporated in 1997 and is headquartered in Encino, California.