Debt Resolve (OTCMKTS:DRSV) vs. VTEX (NYSE:VTEX) Critical Review

VTEX (NYSE:VTEX) and Debt Resolve (OTCMKTS:DRSV) are both computer and technology companies, but which is the superior investment? We will compare the two businesses based on the strength of their dividends, profitability, analyst recommendations, institutional ownership, earnings, valuation and risk.

Institutional & Insider Ownership

63.7% of VTEX shares are held by institutional investors. 40.9% of VTEX shares are held by insiders. Comparatively, 56.1% of Debt Resolve shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent ratings and price targets for VTEX and Debt Resolve, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
VTEX	0	1	2	0	2.67
Debt Resolve	0	0	0	0	0.00

VTEX presently has a consensus target price of $8.90, indicating a potential upside of 76.76%. Given VTEX’s stronger consensus rating and higher probable upside, equities analysts plainly believe VTEX is more favorable than Debt Resolve.

Valuation and Earnings

This table compares VTEX and Debt Resolve”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
VTEX	$226.71 million	4.10	-$13.69 million	$0.07	71.93
Debt Resolve	N/A	N/A	N/A	N/A	N/A

Debt Resolve has lower revenue, but higher earnings than VTEX.

Profitability

This table compares VTEX and Debt Resolve’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
VTEX	3.97%	3.60%	2.53%
Debt Resolve	N/A	N/A	N/A

Summary

VTEX beats Debt Resolve on 8 of the 9 factors compared between the two stocks.

About VTEX

VTEX provides software-as-a-service digital commerce platform for enterprise brands and retailers. Its platform enables customers to execute their commerce strategy, including building online stores, integrating, and managing orders across channels, and creating marketplaces to sell products from third-party vendors. It has operations in Brazil, Argentina, Chile, Colombia, France, Italy, Mexico, Peru, Portugal, Romania, Singapore, Spain, the United Kingdom, and the United States. VTEX was founded in 2000 and is headquartered in London, the United Kingdom.

About Debt Resolve

Debt Resolve, Inc. provides software solutions to consumer lenders or those collecting consumer loans using Software-as-a-Service model in the United States. Its solutions facilitate Web-based payments or the resolution of delinquent or defaulted consumer debt. The company also provides services in the student loan document preparation industry. It serves consumer banks, collection agencies, and the buyers of defaulted debt. The company was formerly known as Lombardia Acquisition Corp. and changed its name to Debt Resolve, Inc. in May 2003. Debt Resolve, Inc. was founded in 1997 and is based in Hawthorne, New York. On July 29, 2020, the voluntary petition of Debt Resolve, Inc. for reorganization under Chapter 11 was converted to Chapter 7. It had filed for Chapter 11 bankruptcy on February 3, 2020.