Similarweb (NYSE:SMWB) vs. Health Catalyst (NASDAQ:HCAT) Head-To-Head Review

Similarweb (NYSE:SMWB) and Health Catalyst (NASDAQ:HCAT) are both small-cap computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, valuation, earnings, profitability, institutional ownership, risk and dividends.

Profitability

This table compares Similarweb and Health Catalyst’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Similarweb	-3.92%	-44.83%	-4.16%
Health Catalyst	-26.20%	-7.51%	-3.72%

Risk & Volatility

Similarweb has a beta of 0.97, suggesting that its stock price is 3% less volatile than the S&P 500. Comparatively, Health Catalyst has a beta of 1.36, suggesting that its stock price is 36% more volatile than the S&P 500.

Insider and Institutional Ownership

57.6% of Similarweb shares are owned by institutional investors. Comparatively, 85.0% of Health Catalyst shares are owned by institutional investors. 62.4% of Similarweb shares are owned by company insiders. Comparatively, 2.5% of Health Catalyst shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Similarweb and Health Catalyst, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Similarweb	0	0	9	1	3.10
Health Catalyst	0	2	9	0	2.82

Similarweb presently has a consensus price target of $13.50, suggesting a potential downside of 15.60%. Health Catalyst has a consensus price target of $10.91, suggesting a potential upside of 88.41%. Given Health Catalyst’s higher possible upside, analysts plainly believe Health Catalyst is more favorable than Similarweb.

Earnings and Valuation

This table compares Similarweb and Health Catalyst”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Similarweb	$218.02 million	5.94	-$29.37 million	($0.11)	-145.42
Health Catalyst	$295.94 million	1.19	-$118.15 million	($1.35)	-4.29

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

About Similarweb

Similarweb Ltd. provides cloud-based digital intelligence solutions in the United States, Europe, the Asia Pacific, the United Kingdom, Israel, and internationally. The company offers digital research intelligence solutions for its customers to benchmark performance against competitors and market leaders, analyze trends in the market, conduct deeper research into specific companies, and analyze audience behavior; and digital marketing intelligence solutions for its customers to understand their competitors' online acquisition strategies in each marketing channel, and optimize their own strategies. It also provides sales intelligence solutions for its customers to access relevant buying signals and digital insights of their customers to generate leads quickly; and shopper intelligence solutions for its customers to analyze a view of their customers' digital journeys, monitor consumer demand, increase brand visibility in the search process, and optimize category and product level conversion in the purchase process. In addition, the company offers investor intelligence solutions for its customers to access an end-to-end view of market, sector, and company performance to ideate and monitor investment opportunities; forecast market performance; and perform due diligence. Further, it provides data-as-a-service and advisory services. The company serves retail, consumer packaged goods, consumer finance, consultancies, marketing and advertising agencies, media and publishers, business-to-business software, payment processors, travel, and institutional investors. Similarweb Ltd. was incorporated in 2009 and is headquartered in Givatayim, Israel.

About Health Catalyst

Health Catalyst, Inc. provides data and analytics technology and services to healthcare organizations in the United States. It operates in two segments, Technology and Professional Services. The company provides data operating system data platform which provides clients single comprehensive environment to integrate and organize data from their disparate software systems; and analytics applications, a software analytics applications build for data platform to analyze clients face across clinical and quality, population health, and financial and operational use cases. It offers services expertise solutions comprising data and analytics, domain expertise and education, tech-enabled managed, and implementation services; and opportunity analysis and prioritization, data governance, data modeling and analysis, quality and process improvement strategy, cost accounting, data abstraction, and population health strategies. The company was formerly known as HQC Holdings, Inc. and changed its name to Health Catalyst, Inc. in March 2017. Health Catalyst, Inc. was founded in 2008 and is headquartered in South Jordan, Utah.