Reviewing Infosys (NYSE:INFY) & SpringBig (NASDAQ:SBIG)

Infosys (NYSE:INFY) and SpringBig (NASDAQ:SBIG) are both computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their institutional ownership, risk, dividends, profitability, analyst recommendations, earnings and valuation.

Analyst Ratings

This is a summary of recent ratings for Infosys and SpringBig, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Infosys	1	4	6	0	2.45
SpringBig	0	0	1	0	3.00

Infosys currently has a consensus price target of $19.27, indicating a potential upside of 13.70%. Given Infosys’ higher possible upside, research analysts plainly believe Infosys is more favorable than SpringBig.

Valuation & Earnings

This table compares Infosys and SpringBig’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Infosys	$18.56 billion	3.78	$3.17 billion	$0.76	22.30
SpringBig	$28.06 million	0.21	-$10.23 million	($0.28)	-0.46

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

Volatility & Risk

Infosys has a beta of 0.93, suggesting that its stock price is 7% less volatile than the S&P 500. Comparatively, SpringBig has a beta of 2.89, suggesting that its stock price is 189% more volatile than the S&P 500.

Institutional & Insider Ownership

10.9% of Infosys shares are owned by institutional investors. Comparatively, 30.9% of SpringBig shares are owned by institutional investors. 22.4% of Infosys shares are owned by insiders. Comparatively, 21.6% of SpringBig shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Infosys and SpringBig’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Infosys	17.06%	32.33%	19.84%
SpringBig	-36.43%	N/A	-133.09%

Summary

Infosys beats SpringBig on 11 of the 14 factors compared between the two stocks.

About Infosys

Infosys Limited, together with its subsidiaries, provides consulting, technology, outsourcing, and next-generation digital services in North America, Europe, India, and internationally. It provides application management and application development services, independent validation solutions, product engineering and management, infrastructure management services, traditional enterprise application implementation, support, and integration services. The company's products and platforms include Finacle, a core banking solution; Edge suite of products; Panaya platform, Infosys Equinox, Infosys Helix, Infosys Applied AI, Infosys Cortex, and Stater digital platforms; and Infosys McCamish, an insurance platform. It serves enterprises in the financial services and insurance, manufacturing, retail, consumer packaged goods, logistics, energy, utilities, resources, services, communications, telecom OEM, media, hi-tech, and life sciences and healthcare industries. The company has a collaboration with Microsoft to accelerate and democratize industry-wide adoption of generative AI; and strategic collaboration with Amazon Web Services Inc to deliver technology transformation and industry specific solutions to financial organizations. The company was formerly known as Infosys Technologies Limited and changed its name to Infosys Limited in June 2011. Infosys Limited was incorporated in 1981 and is headquartered in Bengaluru, India.

About SpringBig

SpringBig Holdings, Inc. develops and operates a software platform that provides marketing and customer engagement services to cannabis dispensaries and brands in the United States and Canada. Its platform offers customer loyalty and marketing automation solutions. The company was founded in 2016 and is headquartered in Boca Raton, Florida.