Head to Head Analysis: nCino (NASDAQ:NCNO) versus Calix (NYSE:CALX)

nCino (NASDAQ:NCNO) and Calix (NYSE:CALX) are both computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, institutional ownership, valuation, analyst recommendations, dividends, earnings and risk.

Profitability

This table compares nCino and Calix’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
nCino	2.17%	6.85%	4.39%
Calix	3.20%	4.30%	3.52%

Earnings & Valuation

This table compares nCino and Calix”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
nCino	$594.78 million	2.73	$5.18 million	$0.12	123.33
Calix	$1.00 billion	2.42	$17.88 million	$0.48	79.04

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

Risk and Volatility

nCino has a beta of 0.69, suggesting that its stock price is 31% less volatile than the S&P 500. Comparatively, Calix has a beta of 1.23, suggesting that its stock price is 23% more volatile than the S&P 500.

Institutional & Insider Ownership

94.8% of nCino shares are held by institutional investors. Comparatively, 98.1% of Calix shares are held by institutional investors. 1.9% of nCino shares are held by insiders. Comparatively, 17.4% of Calix shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent ratings and price targets for nCino and Calix, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
nCino	1	5	11	2	2.74
Calix	0	4	6	0	2.60

nCino currently has a consensus price target of $25.21, indicating a potential upside of 70.37%. Calix has a consensus price target of $67.00, indicating a potential upside of 76.60%. Given Calix’s higher probable upside, analysts clearly believe Calix is more favorable than nCino.

Summary

Calix beats nCino on 8 of the 15 factors compared between the two stocks.

About nCino

nCino, Inc., a software-as-a-service company, provides cloud-based software applications to financial institutions in the United States and internationally. Its nCino Bank Operating System connects financial institution employees, clients and third parties on a single cloud-based platform which include client onboarding, deposit account opening, loan origination, end-to-end mortgage suite, and powerful ecosystem. The company's nIQ, an application suite that utilizes data analytics and artificial intelligence and machine learning to provide its customers with automation and insights into their operations, such as tools for analyzing, measuring, and managing credit risk, as well as to enhance their ability to comply with regulatory requirements. It also offers SimpleNexus, a cloud-based mobile-first homeownership software solution. The company serves financial institution customers, including global financial institutions, enterprise banks, regional banks, community banks, credit unions, new market entrants, and independent mortgage banks through business development representatives, account executives, field sales engineers, and customer success managers. nCino, Inc. was founded in 2011 and is headquartered in Wilmington, North Carolina.

About Calix

Calix, Inc., together with its subsidiaries, engages in the provision of cloud and software platforms, and systems and services in the United States, rest of Americas, Europe, the Middle East, Africa, and the Asia Pacific. Its cloud and software platforms, and systems and services enable broadband service providers (BSPs) to provide a range of services. The company provides Calix Cloud platform, a role-based analytics platform comprising Calix Engagement Cloud, Calix Service Cloud, and Calix Operations Cloud, which are configurable to display role-based insights and enable BSPs to anticipate and target new revenue-generating services and applications through mobile application, such as CommandIQ for residents and CommandWorx for businesses; Calix Intelligent Access EDGE, an access network solution for automated and intelligent networks; and Calix Revenue EDGE, a premises solution for subscriber managed services. It also offers SmartLife managed services, including SmartHome managed services and applications to enhance, operate and secure the connected experience of subscribers in their home; SmartTown managed services that reimagine community Wi-Fi as a ubiquitous, secure, and managed experience across a BSP's footprint; and SmartBiz managed services that address the business networking and productivity needs of business owners with an all-in-one managed service. In addition, the company provides Wi-Fi systems under GigaSpire and GigaPro brands to be ready for deployment as a complete subscriber experience solution for BSP's residential and business subscribers. It offers its products through its direct sales force and resellers. The company was incorporated in 1999 and is headquartered in San Jose, California.