Leidos (NYSE:LDOS) versus Ability (OTCMKTS:ABILF) Financial Contrast

Ability (OTCMKTS:ABILF) and Leidos (NYSE:LDOS) are both computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, earnings, analyst recommendations, dividends, valuation, institutional ownership and profitability.

Volatility and Risk

Ability has a beta of -439.16, indicating that its share price is 44,016% less volatile than the S&P 500. Comparatively, Leidos has a beta of 0.64, indicating that its share price is 36% less volatile than the S&P 500.

Analyst Recommendations

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ability	0	0	0	0	0.00
Leidos	0	7	7	1	2.60

Leidos has a consensus price target of $175.15, suggesting a potential upside of 7.24%. Given Leidos’ stronger consensus rating and higher probable upside, analysts clearly believe Leidos is more favorable than Ability.

Profitability

This table compares Ability and Leidos’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ability	N/A	N/A	N/A
Leidos	7.87%	32.62%	11.14%

Insider and Institutional Ownership

76.1% of Leidos shares are held by institutional investors. 40.0% of Ability shares are held by insiders. Comparatively, 1.0% of Leidos shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Ability and Leidos”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ability	N/A	N/A	N/A	N/A	N/A
Leidos	$16.66 billion	1.26	$1.25 billion	$9.94	16.43

Leidos has higher revenue and earnings than Ability.

Summary

Leidos beats Ability on 10 of the 11 factors compared between the two stocks.

About Ability

Ability Inc. provides systems for off-air cellular and satellite interception, and geolocation worldwide. The company engages in the interception of cellular and satellite communication networks for surveillance, border security, anti-terror, anti-crime, intelligence gathering, reconnaissance, target tracking, airport security, and tracking suspicious people for use by the ministries of defense, national agencies, secret services and security officers, federal police forces and presidential police, homeland security organizations, border control forces, integrators, anti-drug organizations and law enforcement units, and ministries of interior and justice, as well as armies, navies, and air forces. It also provides tactical and strategic interception systems for Thuraya, Iridium, and IsatPhone Pro that intercepts voice calls, SMS, data traffic, call related information, and detecting location of satellite phones; and systems to intercept VSAT, DCME, and other satellite links. In addition, the company offers cellular interception systems, which include Unlimited Interceptor, a geolocation system that detects the location of phones participating in intercepted conversations; GoDown, a system in cellular phones to change operational mode and operates as a selective jammer for prison-related projects; and In-Between Interception System that supports GSM, UMTS, and LTE networks. Further, it provides various IMSI catcher configurations and CDMA interception systems. The company was founded in 1994 and is based in Tel Aviv-Yafo, Israel.

About Leidos

Leidos Holdings, Inc., together with its subsidiaries, provides services and solutions in the defense, intelligence, civil, and health markets in the United States and internationally. The company operates through Defense Solutions, Civil, and Health segments. The Defense Solutions segment offers national security solutions and systems for air, land, sea, space, and cyberspace for the U.S. Intelligence Community, the Department of Defense, the space development agency, the National Aeronautics and Space Administration, defense information systems agency, military services, and government agencies of U.S. allies abroad, as well as other federal and commercial customers in the national security industry. The solutions include technology, large-scale systems, command and control platforms, data analytics, logistics, and cybersecurity solutions, as well as intelligence analysis and operations support services to critical missions. The Civil segment provides systems integration services to air navigation service providers, including the federal aviation administration, the En route automation modernization, advanced technology oceanic procedure, time based flow management, terminal flight data management, geo-7, and future flight services, as well as enterprise-information display systems; and security detection services. It also offers information technology (IT) solutions in cloud computing, mobility, application modernization, DevOps, data center, network modernization, asset management, help desk operations, and digital workplace enablement; and environment, energy, and infrastructure services. The Health segment offers solutions to federal and commercial customers responsible for health and well-being of people, include health information management, managed health, digital modernization, and life sciences research and development services. Leidos Holdings, Inc. was founded in 1969 and is headquartered in Reston, Virginia.