Financial Comparison: Alarum Technologies (NASDAQ:ALAR) vs. BlackLine (NASDAQ:BL)

BlackLine (NASDAQ:BL) and Alarum Technologies (NASDAQ:ALAR) are both computer and technology companies, but which is the better business? We will compare the two businesses based on the strength of their earnings, dividends, valuation, institutional ownership, profitability, risk and analyst recommendations.

Risk and Volatility

BlackLine has a beta of 0.91, suggesting that its share price is 9% less volatile than the S&P 500. Comparatively, Alarum Technologies has a beta of 0.77, suggesting that its share price is 23% less volatile than the S&P 500.

Institutional and Insider Ownership

95.1% of BlackLine shares are held by institutional investors. Comparatively, 3.2% of Alarum Technologies shares are held by institutional investors. 9.9% of BlackLine shares are held by company insiders. Comparatively, 2.7% of Alarum Technologies shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares BlackLine and Alarum Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BlackLine	19.83%	31.02%	4.92%
Alarum Technologies	22.21%	46.33%	31.59%

Earnings and Valuation

This table compares BlackLine and Alarum Technologies”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BlackLine	$639.61 million	5.51	$58.17 million	$0.98	57.57
Alarum Technologies	$31.56 million	2.26	-$5.53 million	$1.08	9.54

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

Analyst Ratings

This is a summary of recent recommendations and price targets for BlackLine and Alarum Technologies, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BlackLine	3	5	4	0	2.08
Alarum Technologies	0	0	3	0	3.00

BlackLine presently has a consensus target price of $66.00, suggesting a potential upside of 16.98%. Alarum Technologies has a consensus target price of $29.00, suggesting a potential upside of 181.55%. Given Alarum Technologies’ stronger consensus rating and higher probable upside, analysts plainly believe Alarum Technologies is more favorable than BlackLine.

Summary

BlackLine beats Alarum Technologies on 8 of the 14 factors compared between the two stocks.

About BlackLine

BlackLine, Inc. operates a cloud-based software platform which is designed to transform accounting and finance operations for organizations of all types and sizes. Its scalable platform supports critical accounting processes such as the financial close, account reconciliations, intercompany accounting, and controls assurance. The company was founded by Therese Tucker in May 2001 and is headquartered in Woodland Hills, CA.

About Alarum Technologies

Alarum Technologies Ltd. provides internet access and web data collection solutions in North, South, and Central America, Europe, Southeast Asia, the Middle East, and Africa. The company operates through two segments, Enterprise Internet Access Solutions and Consumer Internet Access Solutions. The company offers security blanket against ransomware, viruses, phishing, and other online threats, as well as secured and encrypted connection, masking the customers online activity and keeping them safe from hackers. It also provides privacy solutions and services, a software solution that uses an encryption protocol which is defined upon the process being used to generate a secured encrypted path and keep the users' data private and safe; and web data collection solution allows organizations to collect vast amounts of web and internet data by simultaneously connecting to the Internet from different IP addresses. In addition, the company offers static residential proxy network, rotating residential proxy network, data center proxy network, premium dedicated static residential proxies, mobile proxies, SERP data collection service, and social data collection service, as well as advertising services to enterprise customers. The company offers its products through resellers and internet service providers. It serves advertising and media companies, financial organizations, cyber security companies, industrial and commercial companies, online companies, education institutions, and AI recruitment market and other sectors. The company was formerly known as Safe-T Group Ltd. and changed its name to Alarum Technologies Ltd. in January 2023. Alarum Technologies Ltd. was founded in 2013 and is headquartered in Tel Aviv, Israel.