HubSpot (NYSE:HUBS) & VTEX (NYSE:VTEX) Head to Head Analysis

VTEX (NYSE:VTEX) and HubSpot (NYSE:HUBS) are both computer and technology companies, but which is the superior investment? We will contrast the two businesses based on the strength of their profitability, risk, institutional ownership, valuation, dividends, earnings and analyst recommendations.

Risk & Volatility

VTEX has a beta of 1.33, suggesting that its share price is 33% more volatile than the S&P 500. Comparatively, HubSpot has a beta of 1.7, suggesting that its share price is 70% more volatile than the S&P 500.

Institutional & Insider Ownership

63.7% of VTEX shares are held by institutional investors. Comparatively, 90.4% of HubSpot shares are held by institutional investors. 40.9% of VTEX shares are held by insiders. Comparatively, 4.5% of HubSpot shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for VTEX and HubSpot, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
VTEX	0	1	4	0	2.80
HubSpot	0	5	18	1	2.83

VTEX presently has a consensus price target of $9.74, indicating a potential upside of 62.20%. HubSpot has a consensus price target of $721.26, indicating a potential upside of 2.44%. Given VTEX’s higher probable upside, equities research analysts plainly believe VTEX is more favorable than HubSpot.

Valuation and Earnings

This table compares VTEX and HubSpot”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
VTEX	$201.52 million	5.48	-$13.69 million	$0.06	100.10
HubSpot	$2.17 billion	16.75	-$176.29 million	($0.27)	-2,607.59

VTEX has higher earnings, but lower revenue than HubSpot. HubSpot is trading at a lower price-to-earnings ratio than VTEX, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares VTEX and HubSpot’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
VTEX	3.97%	3.60%	2.53%
HubSpot	-0.56%	-1.16%	-0.54%

About VTEX

VTEX provides software-as-a-service digital commerce platform for enterprise brands and retailers. Its platform enables customers to execute their commerce strategy, including building online stores, integrating, and managing orders across channels, and creating marketplaces to sell products from third-party vendors. It has operations in Brazil, Argentina, Chile, Colombia, France, Italy, Mexico, Peru, Portugal, Romania, Singapore, Spain, the United Kingdom, and the United States. VTEX was founded in 2000 and is headquartered in London, the United Kingdom.

About HubSpot

HubSpot, Inc., together with its subsidiaries, provides a cloud-based customer relationship management (CRM) platform for businesses in the Americas, Europe, and the Asia Pacific. The company's CRM platform includes Marketing Hub, a toolset for marketing automation and email, social media, SEO, and reporting and analytics; Sales Hub offers email templates and tracking, conversations and live chat, meeting and call scheduling, lead and website visit alerts, lead scoring, sales automation, pipeline management, quoting, forecasting, and reporting; Service Hub, a service software designed to help businesses manage, respond, and connect with customers; and Content Management Systems Hub enables businesses to create new and edit existing web content. It offers Operations Hub, which is designed to unify customer data, automate business processes, data cleanup, and provide customer insights and connections; and Commerce Hub, a B2B commerce suite. In addition, the company provides professional services to educate and train customers on how to utilize its CRM platform; and customer success, as well as phone and/or email and chat-based support services. It serves mid-market business-to-business companies. The company was incorporated in 2005 and is headquartered in Cambridge, Massachusetts.