Head-To-Head Contrast: GitLab (NASDAQ:GTLB) vs. zSpace (NASDAQ:ZSPC)

GitLab (NASDAQ:GTLB) and zSpace (NASDAQ:ZSPC) are both technology companies, but which is the better business? We will compare the two companies based on the strength of their risk, valuation, institutional ownership, earnings, analyst recommendations, dividends and profitability.

Earnings & Valuation

This table compares GitLab and zSpace”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GitLab	$1.06 billion	8.33	-$55.96 million	($0.32)	-164.88
zSpace	$27.86 million	0.15	-$25.39 million	($16.94)	-0.01

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

Profitability

This table compares GitLab and zSpace’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GitLab	-4.99%	-1.28%	-0.77%
zSpace	-91.13%	N/A	-236.00%

Risk & Volatility

GitLab has a beta of 0.98, indicating that its share price is 2% less volatile than the S&P 500. Comparatively, zSpace has a beta of -1.44, indicating that its share price is 244% less volatile than the S&P 500.

Institutional & Insider Ownership

95.0% of GitLab shares are owned by institutional investors. 10.6% of GitLab shares are owned by company insiders. Comparatively, 8.7% of zSpace shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and target prices for GitLab and zSpace, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GitLab	4	17	7	0	2.11
zSpace	1	2	0	0	1.67

GitLab currently has a consensus price target of $51.75, suggesting a potential downside of 1.91%. zSpace has a consensus price target of $75.00, suggesting a potential upside of 68,081.82%. Given zSpace’s higher possible upside, analysts plainly believe zSpace is more favorable than GitLab.

Summary

GitLab beats zSpace on 10 of the 14 factors compared between the two stocks.

About GitLab

GitLab Inc., through its subsidiaries, develops software for the software development lifecycle in the United States, Europe, and the Asia Pacific. It offers GitLab, a DevOps platform, which is a single application that leads to faster cycle time and allows visibility throughout and control over various stages of the DevOps lifecycle. The company helps organizations to plan, build, secure, and deploy software to drive business outcomes. It also provides related training and professional services. The company was formerly known as GitLab B.V. and changed its name to GitLab Inc. in July 2015. GitLab Inc. was founded in 2011 and is headquartered in San Francisco, California.

About zSpace

zSpace Technologies, Inc. is a provider of commercial augmented reality and virtual reality technology principally in the education market. The Company offers differentiated hardware along with learning software modules for K-12 science, technology, engineering, game design and mathematics applications, as well as workforce-oriented career and technical education applications. zSpace Technologies Inc. is based in SAN JOSE, Calif.