Comparing Nutanix (NASDAQ:NTNX) and SecureAlert (OTCMKTS:TRCK)

Nutanix (NASDAQ:NTNX) and SecureAlert (OTCMKTS:TRCK) 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, valuation, earnings, dividends, institutional ownership, risk and analyst recommendations.

Risk and Volatility

Nutanix has a beta of 0.71, suggesting that its share price is 29% less volatile than the S&P 500. Comparatively, SecureAlert has a beta of 0.05, suggesting that its share price is 95% less volatile than the S&P 500.

Earnings and Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nutanix	$2.15 billion	8.69	-$124.78 million	N/A	N/A
SecureAlert	$36.89 million	0.08	-$3.08 million	($0.12)	-2.08

SecureAlert has lower revenue, but higher earnings than Nutanix.

Insider & Institutional Ownership

85.3% of Nutanix shares are owned by institutional investors. Comparatively, 5.8% of SecureAlert shares are owned by institutional investors. 6.8% of Nutanix shares are owned by insiders. Comparatively, 11.1% of SecureAlert shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Nutanix	0.97%	-21.32%	6.00%
SecureAlert	-3.91%	-11.46%	3.48%

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Nutanix and SecureAlert, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nutanix	0	2	14	1	2.94
SecureAlert	0	0	0	0	0.00

Nutanix currently has a consensus target price of $91.00, suggesting a potential upside of 30.69%. Given Nutanix’s stronger consensus rating and higher possible upside, research analysts clearly believe Nutanix is more favorable than SecureAlert.

Summary

Nutanix beats SecureAlert on 11 of the 14 factors compared between the two stocks.

About Nutanix

Nutanix, Inc. engages in the provision of a cloud platform leveraging web-scale engineering and consumer-grade design. It operates through the following geographic segments: United States, Europe, the Middle East, Africa, Asia Pacific, and Other Americas. The firm also provides software solutions and cloud services to customers’ enterprise infrastructure. The company was founded by Dheeraj Pandey, Ajeet Singh, and Mohit Aron in 2009 and is headquartered in San Jose, CA.

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.