Comparing Baozun (NASDAQ:BZUN) & Amdocs (NASDAQ:DOX)

Baozun (NASDAQ:BZUN) and Amdocs (NASDAQ:DOX) are both computer and technology companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, risk, dividends, institutional ownership, profitability, valuation and analyst recommendations.

Institutional and Insider Ownership

47.3% of Baozun shares are held by institutional investors. Comparatively, 92.0% of Amdocs shares are held by institutional investors. 59.2% of Baozun shares are held by company insiders. Comparatively, 15.4% of Amdocs shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Risk and Volatility

Baozun has a beta of 0.52, suggesting that its share price is 48% less volatile than the S&P 500. Comparatively, Amdocs has a beta of 0.4, suggesting that its share price is 60% less volatile than the S&P 500.

Profitability

This table compares Baozun and Amdocs’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Baozun	-1.80%	1.68%	0.88%
Amdocs	11.81%	19.77%	10.87%

Analyst Ratings

This is a summary of recent ratings and price targets for Baozun and Amdocs, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Baozun	1	1	0	0	1.50
Amdocs	1	2	3	0	2.33

Amdocs has a consensus price target of $86.67, indicating a potential upside of 38.31%. Given Amdocs’ stronger consensus rating and higher probable upside, analysts plainly believe Amdocs is more favorable than Baozun.

Earnings and Valuation

This table compares Baozun and Amdocs”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Baozun	$1.42 billion	0.10	-$34.62 million	($0.45)	-5.56
Amdocs	$4.53 billion	1.49	$564.70 million	$5.00	12.53

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

Summary

Amdocs beats Baozun on 12 of the 14 factors compared between the two stocks.

About Baozun

Baozun Inc., through its subsidiaries, provides end-to-end e-commerce solutions to brand partners in the People’s Republic of China. The company operates through two segments, E-Commerce and Brand Management (BBM). The E-Commerce segment offers brands’ store operations, customer services and value-added services in logistics and supply chain management, IT, and digital marketing. The Brand Management segment provides brand management, strategic and tactic positioning, branding and marketing, retail and e-commerce operations, supply chain, and logistics and technology services. It serves brand partners in various categories, including apparel and accessories, appliances, electronics, home and furnishings, food and health products, beauty and cosmetics, fast moving consumer goods, mother and baby products, and automobiles. The company was formerly known as Baozun Cayman Inc. and changed its name to Baozun Inc. in March 2015. Baozun Inc. was founded in 2007 and is headquartered in Shanghai, the People’s Republic of China.

About Amdocs

Amdocs Limited, through its subsidiaries, provides software and services worldwide. It designs, develops, operates, implements, supports, and markets open and modular cloud portfolio. The company provides CES23, a 5G and cloud-native microservices-based market-leading customer experience suite, that enables service providers to build, deliver, and monetize advanced services; Amdocs Subscription Marketplace, a software-as-a-service-based platform that includes an expansive network of pre-integrated digital services, such as media, gaming, eLearning, sports, and retail to security and business services; the monetization suite for charging, billing, policy, and revenue management; Intelligent networking suite with a set of modular, flexible, and open service lifecycle management capabilities for network automation journeys; amAIz, a telco GenAI framework; Amdocs Digital Brands Suite, a pre-integrated digital business suite; and Amdocs eSIM Cloud for service providers. It also offers AI-powered, cloud-native, and home operating systems; data intelligence solutions and applications; end-to-end application development and maintenance services; and ongoing maintenance services. In addition, the company provides a line of services designed for various stages of a service provider’s lifecycle includes consulting, delivery, quality engineering, operations, systems integration, network services, experience-driven services, data, cloud, and content services; managed services comprising application development, modernization and maintenance, IT and infrastructure services, testing and professional services that are designed to assist customers in the selection, implementation, operation, management, and maintenance of IT systems. It serves to the communications, entertainment, and media industry service providers, as well as mobile virtual network operators. Amdocs Limited was founded in 1988 and is headquartered in Saint Louis, Missouri.