Head-To-Head Comparison: Endava (NYSE:DAVA) and Earlyworks (NASDAQ:ELWS)

Endava (NYSE:DAVA) and Earlyworks (NASDAQ:ELWS) are both small-cap computer and technology companies, but which is the better business? We will compare the two businesses based on the strength of their profitability, risk, dividends, institutional ownership, analyst recommendations, earnings and valuation.

Earnings and Valuation

This table compares Endava and Earlyworks”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Endava	$759.42 million	1.79	$21.56 million	$0.11	209.68
Earlyworks	$349.39 million	0.02	-$2.13 million	N/A	N/A

Endava has higher revenue and earnings than Earlyworks.

Insider and Institutional Ownership

62.2% of Endava shares are owned by institutional investors. Comparatively, 0.5% of Earlyworks shares are owned by institutional investors. 18.8% of Endava shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Endava and Earlyworks’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Endava	0.74%	0.89%	0.61%
Earlyworks	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of current ratings and target prices for Endava and Earlyworks, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Endava	0	4	7	0	2.64
Earlyworks	0	0	0	0	0.00

Endava currently has a consensus target price of $39.10, indicating a potential upside of 69.52%. Given Endava’s stronger consensus rating and higher possible upside, equities analysts clearly believe Endava is more favorable than Earlyworks.

Volatility & Risk

Endava has a beta of 1.42, indicating that its share price is 42% more volatile than the S&P 500. Comparatively, Earlyworks has a beta of 2.07, indicating that its share price is 107% more volatile than the S&P 500.

Summary

Endava beats Earlyworks on 11 of the 12 factors compared between the two stocks.

About Endava

Endava plc provides technology services for clients in the consumer products, healthcare, mobility, and retail verticals in North America, Europe, the United Kingdom, and internationally. It offers ideation and production services in the payments and financial services, telecommunications, media, and technology verticals; and business analysis, data analytics, program management, digital product strategy, private equity value enhancement, IT strategy, architecture, extended reality, machine learning and artificial intelligence, product design, and user experience and visual design services. The company also provides automated testing, cloud native software engineering, continuous delivery, distributed agile delivery, intelligent automation, secure development, agile applications management, cloud infrastructure, DevSecOps, service delivery, smart desk, telemetry and monitoring, organizational optimization, and transaction advisory services. Endava plc was founded in 2000 and is headquartered in London, the United Kingdom.

About Earlyworks

Earlyworks Co., Ltd operates as a blockchain-based technology company in Japan. The company builds products, deliver services, and develop solutions based on its proprietary Grid Ledger System to leverage blockchain technology in various business settings, including advertisement tracking, online visitor management, and sales of non-fungible tokens. It also provides software and system development services; consulting and solution services; blockchain system solution planning; and proposal, design, and development planning services. The company serves the information technology, shipping, real estate, entertainment, cosmetics, and chemical products sectors. Earlyworks Co., Ltd was incorporated in 2018 and is based in Tokyo, Japan.