Head to Head Survey: Dynatrace (NYSE:DT) and Tenable (NASDAQ:TENB)

Dynatrace (NYSE:DT – Get Rating) and Tenable (NASDAQ:TENB – Get Rating) are both computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their earnings, valuation, risk, institutional ownership, dividends, profitability and analyst recommendations.

Valuation & Earnings

This table compares Dynatrace and Tenable’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Dynatrace	$1.10 billion	12.92	$52.45 million	$0.37	132.51
Tenable	$683.19 million	6.70	-$92.22 million	($0.83)	-48.01

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

Institutional & Insider Ownership

97.2% of Dynatrace shares are owned by institutional investors. Comparatively, 86.7% of Tenable shares are owned by institutional investors. 0.5% of Dynatrace shares are owned by company insiders. Comparatively, 4.5% of Tenable shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Dynatrace and Tenable, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Dynatrace	0	6	16	0	2.73
Tenable	0	5	11	0	2.69

Dynatrace currently has a consensus target price of $50.14, indicating a potential upside of 2.27%. Tenable has a consensus target price of $48.40, indicating a potential upside of 21.46%. Given Tenable’s higher probable upside, analysts clearly believe Tenable is more favorable than Dynatrace.

Risk and Volatility

Dynatrace has a beta of 1.11, suggesting that its stock price is 11% more volatile than the S&P 500. Comparatively, Tenable has a beta of 1.24, suggesting that its stock price is 24% more volatile than the S&P 500.

Profitability

This table compares Dynatrace and Tenable’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Dynatrace	9.32%	10.81%	6.27%
Tenable	-13.02%	-30.21%	-5.83%

Summary

Dynatrace beats Tenable on 11 of the 14 factors compared between the two stocks.

About Dynatrace

(Get Rating)

Dynatrace, Inc. engages in the development of a software intelligence platform, purpose-built for the enterprise cloud. The firm’s platform utilizes artificial intelligence at its core and advanced automation to provide answers, not just data, about the performance of applications, the underlying hybrid cloud infrastructure, and the experience of the customers’ users. It specializes in cloud ecosystem integration, incident and alert management integration, DevOps CI/CD integration, user experience and business intelligence insights. The company was founded in 2005 and is headquartered in Waltham, MA.

About Tenable

(Get Rating)

Tenable Holdings, Inc. engages in the development of security software solutions. It offers Cyber Exposure which is a discipline for managing and measuring cybersecurity risk in the digital era. Its products include tenable.io, tenable.sc, tenable.ot, and nessus professional. The firm delivers solutions in the field of application security, cloud security, compliance, energy, finance, healthcare, and retail. The company was founded by John C. Huffard, Jr. and Renaud M. Deraison in 2002 and is headquartered in Columbia, MD.