Nutanix (NASDAQ:NTNX) versus Infinite Group (OTCMKTS:IMCI) Head-To-Head Contrast

Nutanix (NASDAQ:NTNX – Get Rating) and Infinite Group (OTCMKTS:IMCI – Get Rating) are both computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their valuation, earnings, analyst recommendations, institutional ownership, dividends, profitability and risk.

Insider and Institutional Ownership

77.0% of Nutanix shares are owned by institutional investors. 0.4% of Nutanix shares are owned by insiders. Comparatively, 35.0% of Infinite Group shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Nutanix and Infinite Group’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nutanix	$1.58 billion	3.70	-$797.54 million	($2.13)	-11.93
Infinite Group	$7.22 million	0.08	-$1.57 million	($8.43)	-0.14

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

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Nutanix and Infinite Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nutanix	0	4	7	0	2.64
Infinite Group	0	0	0	0	N/A

Nutanix currently has a consensus target price of $31.92, suggesting a potential upside of 25.63%. Given Nutanix’s higher possible upside, equities analysts plainly believe Nutanix is more favorable than Infinite Group.

Profitability

This table compares Nutanix and Infinite Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nutanix	-29.15%	N/A	-16.19%
Infinite Group	-51.42%	N/A	-202.94%

Volatility and Risk

Nutanix has a beta of 1.3, suggesting that its share price is 30% more volatile than the S&P 500. Comparatively, Infinite Group has a beta of 0.66, suggesting that its share price is 34% less volatile than the S&P 500.

Summary

Nutanix beats Infinite Group on 9 of the 12 factors compared between the two stocks.

About Nutanix

(Get Rating)

Nutanix, Inc. engages in the provision of a cloud platform leveraging web-scale engineering and consumer-grade design. The firm also provides software solutions and cloud services to customers’ enterprise infrastructure. The company was founded by Dheeraj Pandey, Ajeet Singh, and Mohit Aron in 2009 and is headquartered in San Jose, CA.

About Infinite Group

(Get Rating)

Infinite Group, Inc. is a developer of cybersecurity software and a provider of cybersecurity related services and managed information security related services to commercial businesses and government organizations. Its services include Virtual CISO, Penetration Testing, Security Assessment, and Incident Response. The company was founded on October 14, 1986 and is headquartered in Pittsford, NY.