Definitive Healthcare (NASDAQ:DH – Get Free Report) and Rimini Street (NASDAQ:RMNI – Get Free Report) are both small-cap computer and technology companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, risk, institutional ownership, earnings, analyst recommendations, valuation and dividends.
Valuation & Earnings
This table compares Definitive Healthcare and Rimini Street”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Definitive Healthcare | $241.52 million | 0.38 | -$138.93 million | ($1.62) | -0.54 |
| Rimini Street | $421.54 million | 0.90 | $37.10 million | $0.37 | 11.03 |
Institutional and Insider Ownership
98.7% of Definitive Healthcare shares are held by institutional investors. Comparatively, 73.8% of Rimini Street shares are held by institutional investors. 17.1% of Definitive Healthcare shares are held by company insiders. Comparatively, 41.2% of Rimini Street shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.
Risk & Volatility
Definitive Healthcare has a beta of 1.33, meaning that its stock price is 33% more volatile than the S&P 500. Comparatively, Rimini Street has a beta of 1.3, meaning that its stock price is 30% more volatile than the S&P 500.
Profitability
This table compares Definitive Healthcare and Rimini Street’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Definitive Healthcare | -76.04% | 4.04% | 1.99% |
| Rimini Street | 8.30% | -24.30% | 1.64% |
Analyst Recommendations
This is a summary of current ratings for Definitive Healthcare and Rimini Street, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Definitive Healthcare | 3 | 3 | 1 | 1 | 2.00 |
| Rimini Street | 1 | 2 | 2 | 0 | 2.20 |
Definitive Healthcare presently has a consensus price target of $2.77, indicating a potential upside of 215.18%. Rimini Street has a consensus price target of $5.50, indicating a potential upside of 34.80%. Given Definitive Healthcare’s higher possible upside, equities research analysts clearly believe Definitive Healthcare is more favorable than Rimini Street.
Summary
Rimini Street beats Definitive Healthcare on 9 of the 15 factors compared between the two stocks.
About Definitive Healthcare
Definitive Healthcare Corp., together with its subsidiaries, provides software as a service (SaaS) healthcare commercial intelligence platform in the United States and internationally. Its SaaS platform provides information on healthcare providers and their activities to help its customers from product development to go-to-market planning, and sales and marketing execution. The company's platform consists of various functional areas, such as sales, marketing, clinical research and product development, strategy, talent acquisition, and physician network management. It serves biopharmaceutical and medical device companies, healthcare information technology companies, and healthcare providers; and other diversified companies comprising staffing and commercial real estate firms, financial institutions, and other organizations in the healthcare ecosystem. Definitive Healthcare Corp. was founded in 2011 and is headquartered in Framingham, Massachusetts.
About Rimini Street
Rimini Street, Inc. provides enterprise software products, services, and support. The company engages in the provision of support services for Oracle and SAP enterprise software products. It also provides Rimini ONE, an outsourcing option that offers a set of unified and integrated services to run, manage, support, customize, configure, connect, protect, monitor, and optimize its clients’ application, database, and technology enterprise software; Rimini Support, a mission-critical support for Oracle, SAP, proprietary and open-source database, and technology software; Rimini Manage, a suite of managed services for application and database software; Rimini Protect, a suite of personalized software security services and solutions; and Rimini Connect, a suite of managed interoperability solutions for browsers, operating systems, and email systems. In addition, the company offers Rimini Watch, a suite of observability solutions that include monitoring and system health check solutions; Rimini Consult, a suite of professional services for clients’ enterprise software customization, configuration, implementation, integration, interoperability, migration, staff augmentation, and other project needs; and Rimini Custom, a program that expands support and related services to a broader portfolio of enterprise software. The company serves Fortune 500 companies and Fortune Global 100 companies across various industries. It sells its solutions primarily through direct sales organizations in North America, Latin America, Europe, Africa, the Middle East, Asia, and the Asia-Pacific. The company was incorporated in 2005 and is headquartered in Las Vegas, Nevada.
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