Critical Review: ZoomInfo Technologies (NASDAQ:GTM) versus VIQ Solutions (OTCMKTS:VQSLF)

ZoomInfo Technologies (NASDAQ:GTM) and VIQ Solutions (OTCMKTS:VQSLF) are both computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, valuation, institutional ownership, earnings, dividends, profitability and analyst recommendations.

Insider & Institutional Ownership

95.5% of ZoomInfo Technologies shares are held by institutional investors. 9.0% of ZoomInfo Technologies shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares ZoomInfo Technologies and VIQ Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ZoomInfo Technologies	3.37%	12.34%	3.27%
VIQ Solutions	-20.94%	-32.42%	-11.67%

Volatility and Risk

ZoomInfo Technologies has a beta of 1.05, meaning that its stock price is 5% more volatile than the S&P 500. Comparatively, VIQ Solutions has a beta of -1.16, meaning that its stock price is 216% less volatile than the S&P 500.

Valuation & Earnings

This table compares ZoomInfo Technologies and VIQ Solutions”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ZoomInfo Technologies	$1.21 billion	2.64	$29.10 million	$0.12	81.17
VIQ Solutions	$31.75 million	0.00	-$11.15 million	($0.50)	N/A

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

Analyst Recommendations

This is a breakdown of recent ratings for ZoomInfo Technologies and VIQ Solutions, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ZoomInfo Technologies	1	0	1	0	2.00
VIQ Solutions	0	0	0	0	0.00

ZoomInfo Technologies presently has a consensus target price of $12.00, indicating a potential upside of 23.20%. Given ZoomInfo Technologies’ stronger consensus rating and higher possible upside, research analysts plainly believe ZoomInfo Technologies is more favorable than VIQ Solutions.

Summary

ZoomInfo Technologies beats VIQ Solutions on 13 of the 13 factors compared between the two stocks.

About ZoomInfo Technologies

ZoomInfo Technologies Inc., through its subsidiaries, provides go-to-market intelligence and engagement platform for sales and marketing teams in the United States and internationally. The company’s cloud-based platform provides information on organizations and professionals to help users identify target customers and decision makers, obtain continually updated predictive lead and company scoring, monitor buying signals and other attributes of target companies, craft messages, engage through automated sales tools, and track progress through the deal cycle. It serves enterprises, mid-market companies, and down to small businesses that operate in various industry verticals, including software, business services, manufacturing, telecommunications, financial services, media and internet, transportation, education, hospitality, and real estate. ZoomInfo Technologies Inc. was founded in 2007 and is headquartered in Vancouver, Washington.

About VIQ Solutions

VIQ Solutions Inc. operates as a technology and service platform provider for digital evidence capture, retrieval, and content management in Australia, the United States, the United Kingdom, Canada, and internationally. It operates in two segments, Technology and Related Revenue, and Technology Services. The Technology segment develops, distributes, and licenses computer-based digital solutions based on its technology. The Technology Services segment provides recording and transcription services. The company offers CapturePro that securely speeds the capture, creation, and management of large volumes of information, as well as preserves and secures the spoken word and video image, and delivers data; MobileMic Pro for capturing and managing incident reports, recorded statements, case notes, and other vital information; NetScribe, a speech-to-text engine to consolidate, accelerate, and optimize transcription workflows; and aiAssist, a multi-tenant workflow and analysis platform to manage, convert, and analyze large volumes of audio and visual content. It also provides legal, criminal justice, insurance, government, corporate finance, and media transcription services. The company was incorporated in 2004 and is based in Mississauga, Canada.