Head to Head Analysis: Amentum (NYSE:AMTM) and Cielo (OTCMKTS:CIOXY)

Cielo (OTCMKTS:CIOXY) and Amentum (NYSE:AMTM) are both mid-cap finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, earnings, analyst recommendations, institutional ownership, risk, profitability and valuation.

Profitability

This table compares Cielo and Amentum’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cielo	17.54%	12.28%	1.80%
Amentum	N/A	N/A	N/A

Institutional & Insider Ownership

0.0% of Cielo shares are owned by institutional investors. Comparatively, 39.9% of Amentum shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares Cielo and Amentum”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cielo	$2.12 billion	1.07	$418.05 million	$0.16	5.25
Amentum	$8.39 billion	0.65	N/A	N/A	N/A

Cielo has higher earnings, but lower revenue than Amentum.

Analyst Recommendations

This is a summary of recent ratings and price targets for Cielo and Amentum, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cielo	0	0	0	0	0.00
Amentum	0	0	2	0	3.00

Amentum has a consensus price target of $30.50, indicating a potential upside of 37.08%. Given Amentum’s stronger consensus rating and higher possible upside, analysts plainly believe Amentum is more favorable than Cielo.

Summary

Amentum beats Cielo on 5 of the 9 factors compared between the two stocks.

About Cielo

Cielo S.A., through its subsidiaries, provides payment services in Brazil and the United States. The company provides services related to credit and debit cards, and other payment methods, including signing up of merchants and service providers; rental, installation, and maintenance of point-of-sale terminals; and data capture and processing of electronic and manual transactions, as well as the issuance and management of payment accounts. It also offers services related to the processing means of payments that involve cards, maintenance services, and contacts with merchants for acceptance of credit and debit cards; development and licensing of computer software; electronic transactions processing; and technology services for collection and management of accounts payable and receivable using the Internet. The company was formerly known as Companhia Brasileira de Meios de Pagamento and changed its name to Cielo S.A. in December 2009. Cielo S.A. was founded in 1995 and is headquartered in Barueri, Brazil.

About Amentum

Amentum Holdings, Inc. provides engineering and technology solutions to address challenges in science, security, and sustainability. It serves various markets, such as energy and environment, space, intelligence, defense, civilian, commercial, and international markets. The company was incorporated in 2010 and is headquatered in Chantilly, Virginia.