Critical Review: Semantix (STIX) vs. The Competition

Semantix (NASDAQ:STIX) is one of 55 public companies in the “Custom computer programming services” industry, but how does it contrast to its rivals? We will compare Semantix to similar businesses based on the strength of its profitability, risk, valuation, analyst recommendations, dividends, earnings and institutional ownership.

Volatility & Risk

Semantix has a beta of 0.2, meaning that its stock price is 80% less volatile than the S&P 500. Comparatively, Semantix’s rivals have a beta of 0.86, meaning that their average stock price is 14% less volatile than the S&P 500.

Profitability

This table compares Semantix and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Semantix	-122.82%	-83.91%	-48.34%
Semantix Competitors	-13.25%	-18.98%	-3.92%

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Semantix and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Semantix	0	1	0	0	2.00
Semantix Competitors	231	1527	2590	85	2.57

Semantix presently has a consensus price target of $4.00, indicating a potential upside of 175.86%. As a group, “Custom computer programming services” companies have a potential upside of 19.43%. Given Semantix’s higher possible upside, research analysts clearly believe Semantix is more favorable than its rivals.

Institutional and Insider Ownership

0.9% of Semantix shares are owned by institutional investors. Comparatively, 48.4% of shares of all “Custom computer programming services” companies are owned by institutional investors. 35.5% of Semantix shares are owned by insiders. Comparatively, 18.3% of shares of all “Custom computer programming services” companies are owned by 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.

Valuation and Earnings

This table compares Semantix and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Semantix	$264.23 million	-$63.61 million	-1.79
Semantix Competitors	$24.62 billion	$182.34 million	12.25

Semantix’s rivals have higher revenue and earnings than Semantix. Semantix is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Summary

Semantix rivals beat Semantix on 11 of the 13 factors compared.

About Semantix

Semantix, Inc., together with its subsidiaries, provides end-to-end proprietary Software as a Service (SaaS) data platform in Latin America and the United States. The company offers SDP, a multi-cloud SaaS data platform that provides data integration, data operations, machine learning operations, data governance, data sharing, and data visualization for financial institutions; healthcare plans operators, health insurance brokers, hospitals, clinics, and imaging and diagnostics facilities; and retailers. It also sells third-party software licenses to the finance, retail, telecommunications, healthcare, industrials, and other sectors. In addition, the company offers artificial intelligence and data analytics services, including consulting, cloud monitoring, data integration, data science, and data engineering. The company was founded in 2010 and is based in São Paulo, Brazil.