CACI International (NYSE:CACI) & NEC (OTCMKTS:NIPNF) Critical Comparison

CACI International (NYSE:CACI) and NEC (OTCMKTS:NIPNF) are both large-cap computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, valuation, analyst recommendations, institutional ownership, risk, profitability and earnings.

Volatility and Risk

CACI International has a beta of 0.93, meaning that its share price is 7% less volatile than the S&P 500. Comparatively, NEC has a beta of -0.47, meaning that its share price is 147% less volatile than the S&P 500.

Profitability

This table compares CACI International and NEC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CACI International	5.48%	14.31%	7.04%
NEC	N/A	N/A	N/A

Analyst Ratings

This is a summary of current ratings for CACI International and NEC, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CACI International	0	3	8	0	2.73
NEC	0	0	0	0	N/A

CACI International currently has a consensus price target of $485.60, indicating a potential downside of 12.01%. Given CACI International’s higher possible upside, equities analysts plainly believe CACI International is more favorable than NEC.

Valuation and Earnings

This table compares CACI International and NEC”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CACI International	$7.66 billion	1.62	$419.92 million	$17.31	32.10
NEC	$25.69 billion	0.91	$412.83 million	N/A	N/A

CACI International has higher earnings, but lower revenue than NEC.

Institutional & Insider Ownership

86.4% of CACI International shares are owned by institutional investors. 1.2% of CACI International shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

CACI International beats NEC on 10 of the 11 factors compared between the two stocks.

About CACI International

CACI International Inc, through its subsidiaries, engages in the provision of expertise and technology to enterprise and mission customers in support of national security in the intelligence, defense, and federal civilian sectors. The company operates through two segments, Domestic Operations and International Operations. The Domestic Operations segment offers digital solutions by modernizing enterprise and agency-unique applications, enterprise infrastructure, and business processes; C4ISR solutions, including command, control, communications, and computer (C4), as well as intelligence, surveillance, and reconnaissance (ISR) technology and networks; and cyber solutions for cybersecurity, cyberspace, electronic warfare, and signals intelligence operations. This segment also provides space solutions, comprising intelligence fusion, data analytic, and decision support, as well as logistics solutions; engineering services, such as platform integration, modernization and sustainment, system engineering, naval architecture, training and simulation, and logistics engineering; design, implement, protect, and manage secure enterprise IT solutions for federal agencies; and mission support solutions, that include analytic services, as well as scenario-based instruction across the spectrum of intelligence processing, collection, and products. The International Operations segment provides a range of IT services, proprietary data, and software products to the commercial and government customers in the United Kingdom, continental Europe, and internationally. The company was founded in 1962 and is headquartered in Reston, Virginia.

About NEC

NEC Corporation provides information and communication technology solutions in Japan and internationally. It operates through five segments: Public Solutions Business, Public Infrastructure Business, Enterprise Business, Network Services Business, and Global Business. It provides systems integration services, including systems implementation and consulting; maintenance and support services; outsourcing and cloud services; and system equipment. The company also offers network infrastructure products comprising core network equipment, mobile phone base stations, optical transmission systems, and routers and switches; and services and management solutions, such as operation support system (OSS), business support system (BSS), and services. In addition, it provides digital government and digital finance solutions; software services for service providers, including OSS/BSS; and network infrastructure comprising submarine systems and wireless backhaul. Further, the company offers business computers, servers, NEC HPC solutions, and thin client solutions; data storage solutions; embedded systems; fiber optic devices; CONNEXIVE, an IoT platform software; PASOLINK, a mobile backhaul; optical fiber sensing products; submarine systems; and open optical transport products. Additionally, it provides EXPRESSCLUSTER X, a BC/DR solutions; NIAS, a solution for file server management; ERP solutions; MasterScope, an integrated administration software suite; Obbligato, a product lifecycle management; SaaS Solutions; WebOTX, a service execution platform; and unified communications and collaboration solutions. It serves aerospace, agriculture, aviation, broadcasting, finance, government, healthcare, hospitality, logistics, manufacturing, retail, telecom, and transportation industries. The company was formerly known as Nippon Electric Company, Limited and changed its name to NEC Corporation in April 1983. NEC Corporation was incorporated in 1899 and is headquartered in Tokyo, Japan.