Formula Systems (1985) (NASDAQ:FORTY) & RENISHAW PLC 20 (OTCMKTS:RNSHF) Head to Head Contrast

RENISHAW PLC 20 (OTCMKTS:RNSHF) and Formula Systems (1985) (NASDAQ:FORTY) are both technology companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, analyst recommendations, risk, dividends, earnings, institutional ownership and profitability.

Insider and Institutional Ownership

0.2% of RENISHAW PLC 20 shares are owned by institutional investors. Comparatively, 34.8% of Formula Systems (1985) shares are owned by institutional investors. 23.3% of Formula Systems (1985) shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk and Volatility

RENISHAW PLC 20 has a beta of 0.62, indicating that its stock price is 38% less volatile than the S&P 500. Comparatively, Formula Systems (1985) has a beta of 1.2, indicating that its stock price is 20% more volatile than the S&P 500.

Profitability

This table compares RENISHAW PLC 20 and Formula Systems (1985)’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RENISHAW PLC 20	N/A	N/A	N/A
Formula Systems (1985)	21.58%	4.01%	1.94%

Earnings & Valuation

This table compares RENISHAW PLC 20 and Formula Systems (1985)”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RENISHAW PLC 20	$922.62 million	5.45	$108.39 million	N/A	N/A
Formula Systems (1985)	$2.63 billion	0.68	$606.48 million	$39.31	2.96

Formula Systems (1985) has higher revenue and earnings than RENISHAW PLC 20.

Analyst Recommendations

This is a breakdown of current recommendations for RENISHAW PLC 20 and Formula Systems (1985), as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RENISHAW PLC 20	0	0	0	0	0.00
Formula Systems (1985)	0	1	0	0	2.00

Summary

Formula Systems (1985) beats RENISHAW PLC 20 on 9 of the 10 factors compared between the two stocks.

About RENISHAW PLC 20

Renishaw plc, an engineering and scientific technology company, designs, manufactures, distributes, sells, and services technological products and services, and analytical instruments and medical devices worldwide. The company offers co-ordinate measuring machine products, hardware, software, retrofits, machine tool probes, diagnostics, encoders, tool setters, performance measurement systems, gauging systems, modular and custom fixtures, and styli products for touch probe systems; machine calibration and optimization products; interferometric laser, magnetic, and open and enclosed optical encoders; and additive manufacturing systems. It also provides healthcare products, such as neurosurgical robots and accessories, neurosurgical planning software, electrode delivery systems, drug delivery systems, Raman microscopes, analysers, and hybrid Raman systems. In addition, the company offers smart manufacturing data platform and asset financing services. It serves the aerospace, automotive, consumer electronics, medical and healthcare, heavy, machine builder, and precision manufacturing industries, as well as scientific, research, and analysis industries. The company was incorporated in 1973 and is headquartered in Wotton-under-Edge, the United Kingdom.

About Formula Systems (1985)

Formula Systems (1985) Ltd., through its subsidiaries, provides proprietary and non-proprietary software solutions, IT professional services, software product marketing and support, computer infrastructure and integration solutions, and learning and integration worldwide. The company offers computer and telecommunication infrastructure solutions; and sells and markets computers and peripheral equipment, and cloud based solutions and services relating to databases and big data. It also provides customer relations management, computer systems management infrastructures, web world content management, database and data warehouse mining, application integration, database and systems, data management, and software development tools; and application and professional training courses, and advanced professional studies. In addition, the company offers property and casualty insurance platforms, such as Sapiens, Sapiens CoreSuite, Sapiens IDITSuite, and IDIT Go; life, pension, and annuities platforms, including Sapiens, Sapiens CoreSuite, Sapiens UnderwritingPro, Sapiens ApplicationPro, Sapiens IllustrationPro, and Sapiens ConsolidationMaster; Sapiens Cloud-based DigitalSuite; data and analytics platform; and reinsurance software solutions comprising Sapiens ReinsuranceMaster, Sapiens ReinsurancePro, and Sapiens Reinsurance GO. Further, it provides Sapiens workers' compensation solutions; Sapiens medical professional liability solutions; financial and compliance solutions, such as Sapiens FinancialPro, Sapiens Financial GO, Sapiens StatementPro, Sapiens CheckPro, and Sapiens Reporting Tools; Sapiens Decision; and technology-based solutions. Additionally, it offers application development and business process integration platforms; vertical software solutions; strategic consulting and outsourcing services; and professional services in various areas, as well as develops on-premise payroll software. The company was incorporated in 1985 and is headquartered in Or Yehuda, Israel.