Contrasting SecureAlert (OTCMKTS:TRCK) & Amdocs (NASDAQ:DOX)

SecureAlert (OTCMKTS:TRCK) and Amdocs (NASDAQ:DOX) are both computer and technology companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, profitability, analyst recommendations, valuation, risk, dividends and institutional ownership.

Risk & Volatility

SecureAlert has a beta of 0.1, meaning that its share price is 90% less volatile than the S&P 500. Comparatively, Amdocs has a beta of 0.52, meaning that its share price is 48% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for SecureAlert and Amdocs, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SecureAlert	0	0	0	0	0.00
Amdocs	0	0	3	0	3.00

Amdocs has a consensus target price of $105.33, indicating a potential upside of 15.74%. Given Amdocs’ stronger consensus rating and higher probable upside, analysts clearly believe Amdocs is more favorable than SecureAlert.

Profitability

This table compares SecureAlert and Amdocs’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SecureAlert	-10.31%	-8.95%	2.77%
Amdocs	11.39%	19.52%	10.85%

Institutional & Insider Ownership

5.8% of SecureAlert shares are owned by institutional investors. Comparatively, 92.0% of Amdocs shares are owned by institutional investors. 11.1% of SecureAlert shares are owned by company insiders. Comparatively, 15.4% of Amdocs shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares SecureAlert and Amdocs”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SecureAlert	$36.89 million	0.07	-$3.08 million	($0.31)	-0.69
Amdocs	$5.00 billion	2.05	$493.20 million	$4.75	19.16

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

Summary

Amdocs beats SecureAlert on 14 of the 14 factors compared between the two stocks.

About SecureAlert

Track Group, Inc., together with its subsidiaries, designs, manufactures, and markets location tracking devices in the United States, Latin America, and internationally. The company's products include ReliAlert XC4, a GPS monitoring device; and ReliAlert XC 3, which enables agencies to track offender movements and communicate directly with offenders in real-time through on-board two/three-way voice communication technology. It also provides IntelliTrack, a secure state of the art device-agnostic platform; IntelliTrack Mobile, a mobile application of the Intellitrack software is available for Android and iOS devices; TrackerPAL, a cloud-based monitoring system; TrackerPAL Mobile, a mobile application of the TrackerPAL software for Android and iOS devices; data analytics services; and BACtrack, a smartphone-based remote alcohol monitoring system. In addition, the company offers Empower smartphone application that provides victim and survivor support by creating a mobile geo-zone around a survivor of domestic abuse and communicates with the offender's tracking device; Socrates 360, a platform that offers various content and service; SecureCuff steel bands; and RF Beacon, a self-contained and short-range transmitting station that provides a radio frequency signal communicating with assigned offender GPS devices, as well as product support services. Further, the company develops and sells various related software, services, accessories, networking solutions, and monitoring applications. The company was formerly known as SecureAlert, Inc. and changed its name to Track Group, Inc. in May 2015. Track Group, Inc. was incorporated in 1995 and is headquartered in Naperville, Illinois.

About Amdocs

Amdocs Limited, through its subsidiaries, provides software and services worldwide. It designs, develops, operates, implements, supports, and markets open and modular cloud portfolio. The company provides CES23, a 5G and cloud-native microservices-based market-leading customer experience suite, that enables service providers to build, deliver, and monetize advanced services; Amdocs Subscription Marketplace, a software-as-a-service-based platform that includes an expansive network of pre-integrated digital services, such as media, gaming, eLearning, sports, and retail to security and business services; the monetization suite for charging, billing, policy, and revenue management; Intelligent networking suite with a set of modular, flexible, and open service lifecycle management capabilities for network automation journeys; amAIz, a telco GenAI framework; Amdocs Digital Brands Suite, a pre-integrated digital business suite; and Amdocs eSIM Cloud for service providers. It also offers AI-powered, cloud-native, and home operating systems; data intelligence solutions and applications; end-to-end application development and maintenance services; and ongoing maintenance services. In addition, the company provides a line of services designed for various stages of a service provider’s lifecycle includes consulting, delivery, quality engineering, operations, systems integration, network services, experience-driven services, data, cloud, and content services; managed services comprising application development, modernization and maintenance, IT and infrastructure services, testing and professional services that are designed to assist customers in the selection, implementation, operation, management, and maintenance of IT systems. It serves to the communications, entertainment, and media industry service providers, as well as mobile virtual network operators. Amdocs Limited was founded in 1988 and is headquartered in Saint Louis, Missouri.