Analyzing X3 (NASDAQ:XTKG) & Endava (NYSE:DAVA)

Endava (NYSE:DAVA) and X3 (NASDAQ:XTKG) are both small-cap computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, earnings, analyst recommendations, institutional ownership, valuation, dividends and profitability.

Earnings & Valuation

This table compares Endava and X3’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Endava	$957.12 million	1.81	$113.43 million	$0.90	33.37
X3	$16.83 million	0.05	-$109.60 million	N/A	N/A

Endava has higher revenue and earnings than X3.

Insider and Institutional Ownership

62.2% of Endava shares are owned by institutional investors. Comparatively, 1.9% of X3 shares are owned by institutional investors. 18.8% of Endava shares are owned by insiders. Comparatively, 23.9% of X3 shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings and price targets for Endava and X3, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Endava	0	3	7	0	2.70
X3	0	0	0	0	N/A

Endava presently has a consensus target price of $46.41, indicating a potential upside of 54.55%. Given Endava’s higher probable upside, analysts clearly believe Endava is more favorable than X3.

Profitability

This table compares Endava and X3’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Endava	5.69%	7.13%	5.40%
X3	N/A	N/A	N/A

Volatility & Risk

Endava has a beta of 1.14, meaning that its stock price is 14% more volatile than the S&P 500. Comparatively, X3 has a beta of 1.54, meaning that its stock price is 54% more volatile than the S&P 500.

Summary

Endava beats X3 on 9 of the 11 factors compared between the two stocks.

About Endava

Endava plc provides technology services for clients in the consumer products, healthcare, mobility, and retail verticals in North America, Europe, the United Kingdom, and internationally. It offers ideation and production services in the payments and financial services, telecommunications, media, and technology verticals; and business analysis, data analytics, program management, digital product strategy, private equity value enhancement, IT strategy, architecture, extended reality, machine learning and artificial intelligence, product design, and user experience and visual design services. The company also provides automated testing, cloud native software engineering, continuous delivery, distributed agile delivery, intelligent automation, secure development, agile applications management, cloud infrastructure, DevSecOps, service delivery, smart desk, telemetry and monitoring, organizational optimization, and transaction advisory services. Endava plc was founded in 2000 and is headquartered in London, the United Kingdom.

About X3

X3 Holdings Co Ltd. provides technology solutions and services worldwide. The company offers Global Trade Platform, a digital platform for trading partners, service providers, and government authorities. It also engages in bitcoin cryptomining operations, renewable energy projects, and agriculture technologies and trading. The company was formerly known as Powerbridge Technologies Co., Ltd. and changed its name to X3 Holdings Co Ltd. in January 2024. X3 Holdings Co Ltd. was founded in 1997 and is headquartered in Singapore.