Gravity (NASDAQ:GRVY) and ExlService (NASDAQ:EXLS) Head-To-Head Contrast

Gravity (NASDAQ:GRVYGet Rating) and ExlService (NASDAQ:EXLSGet Rating) are both computer and technology companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, risk, institutional ownership, analyst recommendations, earnings, profitability and dividends.

Risk & Volatility

Gravity has a beta of -0.04, meaning that its share price is 104% less volatile than the S&P 500. Comparatively, ExlService has a beta of 0.97, meaning that its share price is 3% less volatile than the S&P 500.

Insider & Institutional Ownership

94.7% of ExlService shares are held by institutional investors. 3.6% of ExlService shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Gravity and ExlService, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Gravity 0 0 0 0 N/A
ExlService 0 3 2 0 2.40

ExlService has a consensus price target of $146.40, suggesting a potential upside of 11.06%. Given ExlService’s higher probable upside, analysts plainly believe ExlService is more favorable than Gravity.

Profitability

This table compares Gravity and ExlService’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Gravity 14.81% 23.81% 17.98%
ExlService 10.00% 20.12% 11.54%

Valuation and Earnings

This table compares Gravity and ExlService’s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Gravity $361.55 million N/A $59.35 million $7.18 7.62
ExlService $1.12 billion 3.91 $114.76 million $3.48 37.88

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

Summary

ExlService beats Gravity on 8 of the 12 factors compared between the two stocks.

Gravity Company Profile (Get Rating)

Gravity Co., Ltd. develops, publishes, and distributes online games mainly in South Korea, Taiwan, Thailand, the Philippines, and internationally. It offers a massively multiplayer online role-playing game, including Ragnarok Online, Requiem, Dragonica, Ragnarok Online II, and Ragnarok Prequel II, as well as Ragnarok Clicker, a Web browser-based role-playing game. The company's mobile games portfolio includes Ragnarok M: Eternal Love; Ragnarok Origin; Ragnarok X: Next Generation; Sacred Blade; Dark Eden; the Labyrinth of Ragnarok; Ragnarok Poring Merge; Action RO2: Spear of Odin; Tera Classic; the Lord; and the Color of Dream Fantasy, Latale. It also provides console games, such as Ragnarok DS for Nintendo DS; Ragnarok: The Princess of Light and Darkness for PlayStation Portable; Ragnarok Odyssey for PlayStation Vita; Double Dragon II for Xbox 360; and Ragnarok Odyssey Ace for PlayStation Vita and PlayStation 3. In addition, the company offers games for IPTV, including Pororo: The Little Penguin; and markets dolls, stationery, food, and other character-based merchandises, as well as game manuals, monthly magazines, and other publications. Further, it provides system development and maintenance services, as well as system integration services to third parties. As of December 31, 2020, it owned 129 registered domain names. The company was incorporated in 2000 and is headquartered in Seoul, South Korea. Gravity Co., Ltd. is a subsidiary of GungHo Online Entertainment, Inc.

ExlService Company Profile (Get Rating)

ExlService Holdings, Inc. operates as a data analytics, and digital operations and solutions company in the United States and internationally. It operates through Insurance, Healthcare, Analytics, and Emerging Business segments. The company provides digital operations and solutions and analytics-driven services across the insurance industry in areas, such as claims processing, premium and benefit administration, agency management, account reconciliation, policy research, underwriting support, new business acquisition, policy servicing, premium audit, surveys, billing and collection, commercial and residential survey, and customer service using digital technology, artificial intelligence, machine learning, and advanced automation; digital customer acquisition services using a software-as-a-service delivery model through LifePRO and LISS platforms; subrogation services; and Subrosource software platform, an end-to-end subrogation platform. It also offers CareRadius, an integrated care management offering; and health care services related to care management, utilization management, disease management, payment integrity, revenue optimization and customer engagement to healthcare payers, providers, pharmacy benefit managers, and life sciences organizations. In addition, the company provides data-driven and digital enterprise solutions in the areas of revenue enhancement, finance and accounting, and customer experience management to clients primarily in the banking and capital markets, utilities, travel, transportation and logistics, media and communications, manufacturing and retail and business services industries. Further, it offers predictive and prescriptive analytics in the areas of customer acquisition and lifecycle management, risk underwriting and pricing, operational effectiveness, credit and operational risk monitoring and governance, payment integrity and care management, and data management. The company was founded in 1999 and is headquartered in New York, New York.

Want More Great Investing Ideas?

Receive News & Ratings for Gravity Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Gravity and related companies with MarketBeat.com's FREE daily email newsletter.