Data Storage (NASDAQ:DTST) versus LivePerson (NASDAQ:LPSN) Head to Head Comparison

Data Storage (NASDAQ:DTST) and LivePerson (NASDAQ:LPSN) are both small-cap computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, risk, earnings, profitability, dividends, valuation and institutional ownership.

Insider and Institutional Ownership

11.6% of Data Storage shares are owned by institutional investors. Comparatively, 79.8% of LivePerson shares are owned by institutional investors. 43.8% of Data Storage shares are owned by company insiders. Comparatively, 2.0% of LivePerson shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Risk and Volatility

Data Storage has a beta of 1.1, indicating that its stock price is 10% more volatile than the S&P 500. Comparatively, LivePerson has a beta of 1.35, indicating that its stock price is 35% more volatile than the S&P 500.

Profitability

This table compares Data Storage and LivePerson’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Data Storage	81.52%	-3.76%	-3.32%
LivePerson	-26.24%	N/A	-6.13%

Valuation & Earnings

This table compares Data Storage and LivePerson”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Data Storage	$1.38 million	5.35	$19.20 million	($0.33)	-10.30
LivePerson	$236.00 million	0.11	-$67.23 million	($13.05)	-0.16

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

Analyst Ratings

This is a summary of current recommendations for Data Storage and LivePerson, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Data Storage	1	2	0	0	1.67
LivePerson	1	0	0	0	1.00

Summary

Data Storage beats LivePerson on 7 of the 12 factors compared between the two stocks.

About Data Storage

Data Storage Corporation provides data management and cloud solutions in the United States and internationally. It offers a suite of multi-cloud IT solutions, including cyber security solutions, which comprise ezSecurity, a security solution for endpoint security, system assessments, and risk analysis, as well as IBM system protection, including Ransomware defense. The company also provides data protection and recovery solutions, such as ezVault for offsite data protection; ezRecovery for fast data recovery; ezAvailability for real-time data replication with minimal recovery objectives; and ezMirror for data mirroring at the storage level. In addition, it offers cloud hosted production systems comprising ezHost, which delivers managed cloud services; and voice and data solutions, including Nexxis, which specializes in voice over internet protocol, internet access, and data transport solutions, which comprise dedicated internet services, SD-WAN options, and a cloud-based PBX solution. The company offers its solutions and services to businesses in healthcare, banking and finance, distribution services, manufacturing, construction, education, and government industries. Data Storage Corporation was founded in 2001 and is headquartered in Melville, New York.

About LivePerson

LivePerson, Inc. engages in conversational artificial intelligence. It enables brands to leverage the Conversational Cloud's intelligence engine to connect with consumers through an integrated suite of mobile and online business messaging technologies. The company offers the Conversational Cloud, an enterprise-class digital customer conversation platform, which enables businesses and consumers to connect through conversational channels, such as voice, in-app, and mobile messaging. It also provides professional services; LivePerson's Conversational AI, including conversation builder, manager, and intelligence, and intent manager. In addition, it provides Voice AI, conversational intelligence and insights, and integration services. The company sells its products to Fortune 500 companies, Internet businesses, online merchants, automotive dealers, educational institution, public sector, and not-for-profit organizations. It operates in the United States, Canada, Latin America, South America, Europe, the Middle East, Africa, the United Kingdom, and the Asia-Pacific. LivePerson, Inc. was incorporated in 1995 and is headquartered in New York, New York.