AAP (OTCMKTS:AAPJ) and Viavi Solutions (NASDAQ:VIAV) Financial Contrast

AAP (OTCMKTS:AAPJ) and Viavi Solutions (NASDAQ:VIAV) are both computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, valuation, earnings, risk, profitability and dividends.

Volatility & Risk

AAP has a beta of 3.63, suggesting that its stock price is 263% more volatile than the S&P 500. Comparatively, Viavi Solutions has a beta of 0.87, suggesting that its stock price is 13% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for AAP and Viavi Solutions, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AAP	0	0	0	0	0.00
Viavi Solutions	1	2	6	0	2.56

Viavi Solutions has a consensus price target of $13.3111, indicating a potential upside of 19.92%. Given Viavi Solutions’ stronger consensus rating and higher possible upside, analysts plainly believe Viavi Solutions is more favorable than AAP.

Earnings & Valuation

This table compares AAP and Viavi Solutions”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AAP	N/A	N/A	N/A	N/A	N/A
Viavi Solutions	$1.08 billion	2.29	$34.80 million	$0.16	69.38

Viavi Solutions has higher revenue and earnings than AAP.

Institutional and Insider Ownership

95.5% of Viavi Solutions shares are owned by institutional investors. 4.5% of AAP shares are owned by company insiders. Comparatively, 1.5% of Viavi Solutions shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares AAP and Viavi Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AAP	N/A	N/A	N/A
Viavi Solutions	3.21%	8.02%	3.14%

Summary

Viavi Solutions beats AAP on 8 of the 10 factors compared between the two stocks.

About AAP

AAP, Inc. engages in the debt collection, infrastructure construction, business, and real estate development business. The company was formerly known as Borneo Energy USA, Inc. and changed its name to AAP, Inc. in September 2011. AAP, Inc. was founded in 1993 and is based in Cheyenne, Wyoming.

About Viavi Solutions

Viavi Solutions, Inc. engages in the provision of network test, monitoring, and assurance solutions for communications service providers, enterprises, network equipment manufacturers, government and avionics. It operates through the following segments: Network Enablement, Service Enablement, and Optical Security and Performance. The Network Enablement segment offers an integrated portfolio of testing solutions that access the network to perform build-out and maintenance tasks. The Service Enablement segment covers solutions and services primarily for communication service providers, and enterprises that deliver and/or operate broadband and IP networks (fixed and mobile) supporting voice, video, and data services as well as a wide range of applications. The Optical Security and Performance segment leverages its core optical coating technologies and volume manufacturing capability to design, manufacture, and sell products targeting anti-counterfeiting, consumer and industrial, government, healthcare, and other markets. The company was founded in 1979 and is headquartered in Chandler, AZ.