Critical Analysis: zSpace (NASDAQ:ZSPC) & Rubrik (NYSE:RBRK)

zSpace (NASDAQ:ZSPC) and Rubrik (NYSE:RBRK) are both computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, dividends, valuation, profitability, risk, earnings and institutional ownership.

Valuation & Earnings

This table compares zSpace and Rubrik”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
zSpace	$38.10 million	0.26	-$20.82 million	($0.79)	-0.43
Rubrik	$886.54 million	12.21	-$1.15 billion	($1.95)	-27.74

zSpace has higher earnings, but lower revenue than Rubrik. Rubrik is trading at a lower price-to-earnings ratio than zSpace, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

zSpace has a beta of -0.56, indicating that its share price is 156% less volatile than the S&P 500. Comparatively, Rubrik has a beta of 0.33, indicating that its share price is 67% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations and price targets for zSpace and Rubrik, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
zSpace	1	1	2	0	2.25
Rubrik	1	1	22	0	2.88

zSpace presently has a consensus target price of $6.00, suggesting a potential upside of 1,654.39%. Rubrik has a consensus target price of $110.39, suggesting a potential upside of 104.08%. Given zSpace’s higher possible upside, research analysts clearly believe zSpace is more favorable than Rubrik.

Profitability

This table compares zSpace and Rubrik’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
zSpace	-68.88%	N/A	-177.47%
Rubrik	-31.49%	N/A	-18.93%

Insider & Institutional Ownership

49.5% of Rubrik shares are held by institutional investors. 55.7% of zSpace shares are held by insiders. Comparatively, 32.4% of Rubrik shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Rubrik beats zSpace on 8 of the 13 factors compared between the two stocks.

About zSpace

zSpace Technologies, Inc. is a provider of commercial augmented reality and virtual reality technology principally in the education market. The Company offers differentiated hardware along with learning software modules for K-12 science, technology, engineering, game design and mathematics applications, as well as workforce-oriented career and technical education applications. zSpace Technologies Inc. is based in SAN JOSE, Calif.

About Rubrik

Rubrik, Inc. provides data security solutions to individuals and businesses worldwide. The company offers enterprise data protection, unstructured data protection, cloud data protection, and SaaS data protection solutions; data threat analytics; data security posture; and cyber recovery solutions. It serves financial, retail, trade, transportation, energy, industrial, healthcare and life science, education, technology, media, communications, and public sectors. Rubrik, Inc. was formerly known as Scaledata, Inc. and changed its name to Rubrik, Inc. in October 2014. The company was incorporated in 2013 and is based in Palo Alto, California.