Dropbox (NASDAQ:DBX – Get Free Report) and Senmiao Technology (NASDAQ:AIHS – Get Free Report) are both computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their valuation, institutional ownership, profitability, earnings, dividends, risk and analyst recommendations.
Analyst Recommendations
This is a breakdown of recent recommendations and price targets for Dropbox and Senmiao Technology, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Dropbox | 0 | 3 | 0 | 0 | 2.00 |
| Senmiao Technology | 0 | 0 | 0 | 0 | 0.00 |
Dropbox currently has a consensus target price of $30.33, indicating a potential downside of 4.82%. Given Dropbox’s stronger consensus rating and higher probable upside, analysts clearly believe Dropbox is more favorable than Senmiao Technology.
Valuation and Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Dropbox | $2.53 billion | 3.40 | $452.30 million | $1.64 | 19.43 |
| Senmiao Technology | $3.39 million | 0.70 | -$3.72 million | ($3.20) | -0.67 |
Dropbox has higher revenue and earnings than Senmiao Technology. Senmiao Technology is trading at a lower price-to-earnings ratio than Dropbox, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Dropbox and Senmiao Technology’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Dropbox | 19.17% | -61.31% | 19.38% |
| Senmiao Technology | -95.43% | -211.61% | -45.85% |
Institutional & Insider Ownership
94.8% of Dropbox shares are held by institutional investors. Comparatively, 0.4% of Senmiao Technology shares are held by institutional investors. 30.0% of Dropbox shares are held by insiders. Comparatively, 1.3% of Senmiao Technology shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.
Volatility & Risk
Dropbox has a beta of 0.7, indicating that its share price is 30% less volatile than the S&P 500. Comparatively, Senmiao Technology has a beta of 0.77, indicating that its share price is 23% less volatile than the S&P 500.
Summary
Dropbox beats Senmiao Technology on 12 of the 13 factors compared between the two stocks.
About Dropbox
Dropbox, Inc. provides a content collaboration platform worldwide. The company's platform allows individuals, families, teams, and organizations to collaborate and sign up for free through its website or app, as well as upgrade to a paid subscription plan for premium features. It serves customers in professional services, technology, media, education, industrial, consumer and retail, and financial services industries. The company was formerly known as Evenflow, Inc. and changed its name to Dropbox, Inc. in October 2009. Dropbox, Inc. was incorporated in 2007 and is headquartered in San Francisco, California.
About Senmiao Technology
Senmiao Technology Limited engages in the automobile transaction and related services business in the People's Republic of China. It operates through two segments, Automobile Transaction and Related Services, and Online Ride-Hailing Platform Services. The company offers car rental services to individual customers; and auto finance solutions through financing leases. It also engages in automobile sales comprising sale of new purchased or used cars; and the provision of supporting services, as well as auto management and guarantee services provided to online ride-hailing drivers. In addition, the company provides new energy vehicles leasing, automobile purchase, and management services, such as ride-hailing driver training, assisting with a series of administrative procedures, and other consulting services, as well as credit assessment, preparation of financing application materials, assistance with closing of financing transactions, license and plate registration, payment of taxes and fees, purchase of insurance, installation of GPS devices, ride-hailing driver qualification, and other administrative procedures. Further, it operates Xixingtianxia, an online ride-hailing platform that enables qualified ride-hailing drivers to provide transportation services mainly in Chengdu, Changsha, Guangzhou, and other 23 cities in China. The company was founded in 2014 and is based in Chengdu, the People's Republic of China.
Receive News & Ratings for Dropbox Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Dropbox and related companies with MarketBeat.com's FREE daily email newsletter.
