Critical Contrast: Onespan (NASDAQ:OSPN) and OneStream (NASDAQ:OS)

Onespan (NASDAQ:OSPN) and OneStream (NASDAQ:OS) are both computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, valuation, earnings, dividends, institutional ownership, risk and analyst recommendations.

Profitability

This table compares Onespan and OneStream’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Onespan	24.08%	18.41%	12.40%
OneStream	-14.50%	9.65%	5.74%

Insider & Institutional Ownership

95.5% of Onespan shares are owned by institutional investors. 1.3% of Onespan shares are owned by insiders. Comparatively, 12.8% of OneStream shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Risk and Volatility

Onespan has a beta of 1.5, suggesting that its share price is 50% more volatile than the S&P 500. Comparatively, OneStream has a beta of 2.04, suggesting that its share price is 104% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Onespan and OneStream, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Onespan	0	2	2	0	2.50
OneStream	3	17	4	1	2.12

Onespan currently has a consensus target price of $17.00, suggesting a potential upside of 42.98%. OneStream has a consensus target price of $26.35, suggesting a potential upside of 11.50%. Given Onespan’s stronger consensus rating and higher possible upside, research analysts clearly believe Onespan is more favorable than OneStream.

Valuation & Earnings

This table compares Onespan and OneStream”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Onespan	$243.18 million	1.86	$57.08 million	$1.47	8.09
OneStream	$570.68 million	10.10	-$216.20 million	($0.48)	-49.23

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

Summary

Onespan beats OneStream on 9 of the 15 factors compared between the two stocks.

About Onespan

OneSpan Inc., together with its subsidiaries, designs, develops, and markets digital solutions for identity, authentication, and secure digital agreements worldwide. The company offers OneSpan Sign, a range of e-signature requirements for occasional agreement to processing tens of thousands of transactions; OneSpan Cloud Authentication, a cloud-based multifactor authentication solution that supports a range of authentication options, including biometrics, push notification, and visual cryptograms for transaction data security, SMS, and hardware authenticators; and OneSpan Identity Verification, which enables banks and financial institutions identity verification services. It also provides Mobile Security Suite, a software development kit that protect mobile transactions; Digipass Authenticators, consisting of a wide variety of authentication devices; authentication servers that provides a range of strong authentication utilities and solutions designed to allow organizations to securely authenticate users and transactions; and Digipass FX1 BIO, a physical passkey with fingerprint scan built for the workforce authentication market. In addition, it offers Virtual Room, a purpose-built, high-assurance solution that blends the simplicity of a consumer video collaboration app with high-assurance identity and authentication security; OneSpan Notary, an online notary solution developed for organizations with in-house notaries; and OneSpan Trust Vault, a blockchain-based decentralized digital storage solution that helps organizations meet compliance, regulatory, and chain of custody requirements for critical documents. It sells its solutions through its direct sales force, as well as through distributors, resellers, systems integrators, and original equipment manufacturers. The company was formerly known as VASCO Data Security International, Inc. and changed its name to OneSpan Inc. in May 2018. OneSpan Inc. was founded in 1991 and is headquartered in Boston, Massachusetts.

About OneStream

OneStream, Inc. is a holding company, which engages in the development of an artificial intelligence (AI) based enterprise finance platform. The firm offers Digital Finance Cloud, an AI-enabled and extensible software platform that unifies core financial functions and operational data and processes. The company was founded by Craig Colby and Thomas Shea on October 15, 2021 and is headquartered in Birmingham, MI.