Financial Survey: BOX (NYSE:BOX) and SeaChange International (NASDAQ:SEAC)

SeaChange International (NASDAQ:SEAC) and BOX (NYSE:BOX) are both computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, analyst recommendations, risk, dividends, earnings, institutional ownership and profitability.

Analyst Recommendations

This is a breakdown of current recommendations for SeaChange International and BOX, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SeaChange International	0	0	0	0	N/A
BOX	1	1	7	0	2.67

BOX has a consensus price target of $32.25, indicating a potential upside of 27.98%. Given BOX’s higher probable upside, analysts clearly believe BOX is more favorable than SeaChange International.

Risk and Volatility

SeaChange International has a beta of 1.18, indicating that its stock price is 18% more volatile than the S&P 500. Comparatively, BOX has a beta of 0.95, indicating that its stock price is 5% less volatile than the S&P 500.

Insider and Institutional Ownership

33.1% of SeaChange International shares are owned by institutional investors. Comparatively, 87.9% of BOX shares are owned by institutional investors. 3.9% of SeaChange International shares are owned by company insiders. Comparatively, 4.9% of BOX shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares SeaChange International and BOX’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SeaChange International	-27.84%	2.91%	2.16%
BOX	4.86%	-6.51%	3.14%

Earnings & Valuation

This table compares SeaChange International and BOX’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SeaChange International	$32.49 million	0.33	-$11.40 million	($3.68)	-1.12
BOX	$990.87 million	3.66	$26.78 million	$0.19	132.64

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

Summary

BOX beats SeaChange International on 11 of the 13 factors compared between the two stocks.

About SeaChange International

SeaChange International, Inc. provides video delivery, advertising, streaming platforms, and emerging Free Ad-Supported Streaming TV (FAST) products and services that facilitate the aggregation, licensing, management and distribution of video and advertising content worldwide. It offers Operator TV Platform solutions including customer's current network with OTT video management solutions in a single deployment, digital video broadcasting – cable / quadrature amplitude modulation networks with OTT streaming, and immersive multiscreen experience and on demand services, as well as pre-integrated solutions, such as multi-content delivery networks including Broadpeak, Edgeware and HBO, multidigital rights management, and seamless integration with existing network components. The company also provides StreamVid, a cloud-based OTT video platform for operators and content owners that enables streaming services, including content ingestion, workflow automation, user management, content protection, billing and entitlement, and user applications for various device platforms, such as mobile devices or Smart TVs; Advanced advertising, a unified ad tech solution to insert adverts into various video feeds, including broadcast, internet protocol television, and OTT; and Xstream platform, a cloud-based content monetization platform that provides the range of capabilities, including generation and distribution of FAST channels, streaming enablement via content aggregation, and targeted insertion of advertisement from various demand sources. In addition, it provides professional, and maintenance and technical support services, as well as managed services. The company sells and markets its products and services through a direct sales process, as well as to systems integrators and value-added resellers. It serves cable system operators, telecommunications companies, and satellite operators, as well as broadcasters and other content providers. The company was incorporated in 1993 and is headquartered in Boston, Massachusetts.

About BOX

Box, Inc. provides a cloud content management platform that enables organizations of various sizes to manage and share their content from anywhere on any device. The company's Software-as-a-Service platform enables users to collaborate on content internally and with external parties, automate content-driven business processes, develop custom applications, and implement data protection, security, and compliance features to comply with legal and regulatory requirements, internal policies, and industry standards and regulations. It also offers web, mobile, and desktop applications for cloud content management on a platform for developing custom applications, as well as industry-specific capabilities. As of January 31, 2023, the company had approximately 100,000 paying organizations, and its solution was offered in 25 languages. It serves financial services, health care, government, and legal services industries in the United States and internationally. The company was formerly known as Box.net, Inc. and changed its name to Box, Inc. in November 2011. Box, Inc. was incorporated in 2005 and is headquartered in San Francisco Bay Area, California.