Teradata (NYSE:TDC) & GSI Technology (NASDAQ:GSIT) Head-To-Head Contrast

GSI Technology (NASDAQ:GSIT) and Teradata (NYSE:TDC) are both computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, institutional ownership, analyst recommendations, dividends, risk, earnings and valuation.

Valuation & Earnings

This table compares GSI Technology and Teradata”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GSI Technology	$20.52 million	6.17	-$10.64 million	($0.42)	-10.36
Teradata	$1.75 billion	1.18	$114.00 million	$1.42	15.27

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

Volatility & Risk

GSI Technology has a beta of 1.11, indicating that its share price is 11% more volatile than the S&P 500. Comparatively, Teradata has a beta of 0.83, indicating that its share price is 17% less volatile than the S&P 500.

Insider & Institutional Ownership

33.2% of GSI Technology shares are held by institutional investors. Comparatively, 90.3% of Teradata shares are held by institutional investors. 25.4% of GSI Technology shares are held by insiders. Comparatively, 0.9% of Teradata shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares GSI Technology and Teradata’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GSI Technology	-51.85%	-46.88%	-32.42%
Teradata	8.10%	129.98%	9.47%

Analyst Ratings

This is a summary of recent recommendations and price targets for GSI Technology and Teradata, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GSI Technology	0	0	0	0	0.00
Teradata	1	6	3	0	2.20

Teradata has a consensus price target of $27.25, suggesting a potential upside of 25.69%. Given Teradata’s stronger consensus rating and higher possible upside, analysts plainly believe Teradata is more favorable than GSI Technology.

Summary

Teradata beats GSI Technology on 11 of the 14 factors compared between the two stocks.

About GSI Technology

GSI Technology, Inc. designs, develops, and markets semiconductor memory solutions to networking, industrial, medical, aerospace, and military customers in the United States, China, Singapore, Germany, the Netherlands, and internationally. It offers associative processing unit products, which are focuses on applications using similarity search in visual search queries for ecommerce, computer vision, drug discovery, cyber security, and service markets. The company also provides static random access memory (SRAM) products, such as SyncBurst for microprocessor cache and other applications; No Bus Turnaround SRAMs to address the needs of networking and telecom applications; SigmaQuad and SigmaDDR products for density and random transaction rate requirements of networking and telecom applications; Low Latency DRAMs, a solution for advanced data networking applications; Asynchronous, a main memory for small cache-less embedded processors for industrial electronics, measurement systems and cost-sensitive networking equipment, and other applications; and specialty SRAMs. In addition, it offers radiation-hardened and radiation-tolerant SRAMs for military/defense and aerospace applications, such as networking satellites and missiles. The company's products are used as components in its original equipment manufacturer customers' products, including routers, switches, and other networking and telecommunications products; military and aerospace applications, such as radar and guidance systems and satellites; test and measurement applications consisting of high-speed testers; automotive applications comprising smart cruise control; medical applications, including ultrasound and CAT scan equipment; and audio/video processing. It markets its products through a network of independent sales representatives and distributors. GSI Technology, Inc. was incorporated in 1995 and is headquartered in Sunnyvale, California.

About Teradata

Teradata Corporation, together with its subsidiaries, provides a connected multi-cloud data platform for enterprise analytics. The company offers Teradata Vantage, an open and connected platform designed to leverage data across an enterprise. Its business consulting services include support services for organizations to establish a data and analytic vision, enable a multi-cloud ecosystem architecture, and identify and operationalize analytical opportunities, as well as to ensure the analytical infrastructure delivers value. The company offers support and maintenance services. It serves clients in financial services, government, healthcare and life sciences, manufacturing, retail, telecommunications, and travel/transportation sectors through a direct sales force in the Americas, Europe, the Middle East, Africa, the Asia Pacific, and Japan. Teradata Corporation was incorporated in 1979 and is headquartered in San Diego, California.