Amdocs (NASDAQ:DOX – Get Free Report) and ScanTech AI Systems (NASDAQ:STAI – Get Free Report) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, dividends, profitability, institutional ownership, risk, analyst recommendations and valuation.
Volatility & Risk
Amdocs has a beta of 0.42, meaning that its share price is 58% less volatile than the S&P 500. Comparatively, ScanTech AI Systems has a beta of 0.05, meaning that its share price is 95% less volatile than the S&P 500.
Earnings and Valuation
This table compares Amdocs and ScanTech AI Systems”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Amdocs | $4.53 billion | 1.64 | $564.70 million | $5.17 | 13.34 |
| ScanTech AI Systems | $1.88 million | 0.44 | -$23.07 million | ($9.20) | -0.02 |
Amdocs has higher revenue and earnings than ScanTech AI Systems. ScanTech AI Systems is trading at a lower price-to-earnings ratio than Amdocs, indicating that it is currently the more affordable of the two stocks.
Institutional & Insider Ownership
92.0% of Amdocs shares are held by institutional investors. Comparatively, 74.0% of ScanTech AI Systems shares are held by institutional investors. 15.4% of Amdocs shares are held by company insiders. Comparatively, 2.3% of ScanTech AI Systems shares are held 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.
Profitability
This table compares Amdocs and ScanTech AI Systems’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Amdocs | 12.47% | 20.19% | 11.23% |
| ScanTech AI Systems | -477.09% | -11.25% | 209.23% |
Analyst Recommendations
This is a summary of recent ratings and target prices for Amdocs and ScanTech AI Systems, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Amdocs | 0 | 2 | 3 | 0 | 2.60 |
| ScanTech AI Systems | 1 | 0 | 0 | 0 | 1.00 |
Amdocs presently has a consensus target price of $92.33, suggesting a potential upside of 33.83%. Given Amdocs’ stronger consensus rating and higher probable upside, analysts plainly believe Amdocs is more favorable than ScanTech AI Systems.
Summary
Amdocs beats ScanTech AI Systems on 13 of the 14 factors compared between the two stocks.
About Amdocs
Amdocs Limited, through its subsidiaries, provides software and services worldwide. It designs, develops, operates, implements, supports, and markets open and modular cloud portfolio. The company provides CES23, a 5G and cloud-native microservices-based market-leading customer experience suite, that enables service providers to build, deliver, and monetize advanced services; Amdocs Subscription Marketplace, a software-as-a-service-based platform that includes an expansive network of pre-integrated digital services, such as media, gaming, eLearning, sports, and retail to security and business services; the monetization suite for charging, billing, policy, and revenue management; Intelligent networking suite with a set of modular, flexible, and open service lifecycle management capabilities for network automation journeys; amAIz, a telco GenAI framework; Amdocs Digital Brands Suite, a pre-integrated digital business suite; and Amdocs eSIM Cloud for service providers. It also offers AI-powered, cloud-native, and home operating systems; data intelligence solutions and applications; end-to-end application development and maintenance services; and ongoing maintenance services. In addition, the company provides a line of services designed for various stages of a service provider’s lifecycle includes consulting, delivery, quality engineering, operations, systems integration, network services, experience-driven services, data, cloud, and content services; managed services comprising application development, modernization and maintenance, IT and infrastructure services, testing and professional services that are designed to assist customers in the selection, implementation, operation, management, and maintenance of IT systems. It serves to the communications, entertainment, and media industry service providers, as well as mobile virtual network operators. Amdocs Limited was founded in 1988 and is headquartered in Saint Louis, Missouri.
About ScanTech AI Systems
Scantech AI Systems, Inc. engages in the innovation, emerging technology, and machine learning expertise. ScanTech specializes in developing advanced screening technology that provides the most accurate and fastest detection of prohibited materials. The company was founded on September 5, 2023 and is headquartered in Buford, GA.
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