Analyzing Ntt Data (NTDTY) & Its Competitors

Ntt Data (OTC:NTDTY) is one of 75 publicly-traded companies in the “Custom computer programming services” industry, but how does it compare to its competitors? We will compare Ntt Data to similar businesses based on the strength of its valuation, institutional ownership, analyst recommendations, earnings, profitability, dividends and risk.

Profitability

This table compares Ntt Data and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ntt Data	3.20%	5.16%	1.97%
Ntt Data Competitors	-621.64%	-107.42%	-15.72%

Risk and Volatility

Ntt Data has a beta of 1.15, suggesting that its share price is 15% more volatile than the S&P 500. Comparatively, Ntt Data’s competitors have a beta of 2.77, suggesting that their average share price is 177% more volatile than the S&P 500.

Earnings and Valuation

This table compares Ntt Data and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Ntt Data	$30.25 billion	$923.70 million	29.06
Ntt Data Competitors	$2.52 billion	$160.10 million	88.82

Ntt Data has higher revenue and earnings than its competitors. Ntt Data is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Dividends

Ntt Data pays an annual dividend of $0.11 per share and has a dividend yield of 0.5%. Ntt Data pays out 15.7% of its earnings in the form of a dividend. As a group, “Custom computer programming services” companies pay a dividend yield of 1.5% and pay out 31.9% of their earnings in the form of a dividend.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Ntt Data and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ntt Data	0	0	0	1	4.00
Ntt Data Competitors	338	2088	3163	119	2.54

As a group, “Custom computer programming services” companies have a potential upside of 17.91%. Given Ntt Data’s competitors higher possible upside, analysts clearly believe Ntt Data has less favorable growth aspects than its competitors.

Insider and Institutional Ownership

51.2% of shares of all “Custom computer programming services” companies are owned by institutional investors. 16.9% of shares of all “Custom computer programming services” companies 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

Ntt Data beats its competitors on 8 of the 15 factors compared.

Ntt Data Company Profile

NTT DATA Group Corporation provides IT and business services worldwide. It offers cloud, cybersecurity, data and intelligence, salesforce, SAP, ServiceNow, and application development and management, as well as 5G services. The company also provides consulting, industry solutions, business process services, and IT modernization and managed services. It serves automotive, healthcare, life sciences, media, banking, and insurance industries. The company was formerly known as NTT DATA Corporation. NTT DATA Group Corporation was founded in 1988 and is headquartered in Tokyo, Japan. NTT DATA Group Corporation operates as a subsidiary of Nippon Telegraph and Telephone Corporation.