Comparing Verisk Analytics (NASDAQ:VRSK) & IBEX (NASDAQ:IBEX)

Verisk Analytics (NASDAQ:VRSK) and IBEX (NASDAQ:IBEX) are both industrials companies, but which is the superior stock? We will contrast the two companies based on the strength of their dividends, profitability, valuation, institutional ownership, risk, earnings and analyst recommendations.

Profitability

This table compares Verisk Analytics and IBEX’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Verisk Analytics	28.24%	-239.55%	18.56%
IBEX	7.53%	31.50%	16.25%

Earnings and Valuation

This table compares Verisk Analytics and IBEX”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Verisk Analytics	$3.07 billion	7.58	$908.30 million	$6.51	27.47
IBEX	$558.27 million	0.85	$36.86 million	$3.20	11.07

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

Insider and Institutional Ownership

90.0% of Verisk Analytics shares are owned by institutional investors. Comparatively, 81.2% of IBEX shares are owned by institutional investors. 0.5% of Verisk Analytics shares are owned by company insiders. Comparatively, 3.4% of IBEX shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations for Verisk Analytics and IBEX, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Verisk Analytics	1	7	6	1	2.47
IBEX	0	2	0	0	2.00

Verisk Analytics currently has a consensus target price of $236.27, suggesting a potential upside of 32.10%. IBEX has a consensus target price of $40.00, suggesting a potential upside of 12.87%. Given Verisk Analytics’ stronger consensus rating and higher probable upside, research analysts clearly believe Verisk Analytics is more favorable than IBEX.

Volatility and Risk

Verisk Analytics has a beta of 0.67, indicating that its stock price is 33% less volatile than the S&P 500. Comparatively, IBEX has a beta of 0.69, indicating that its stock price is 31% less volatile than the S&P 500.

Summary

Verisk Analytics beats IBEX on 12 of the 15 factors compared between the two stocks.

About Verisk Analytics

Verisk Analytics, Inc. provides data analytics and technology solutions to the insurance markets in the United States and internationally. It offers policy language, prospective loss costs, policy writing and rating rules, and various underwriting solutions for risk selection and segmentation, pricing, and workflow optimization; property- and auto- specific rating and underwriting information solutions that allows clients to understand, quantify, underwrite, mitigate, and avoid potential loss for risks; catastrophe modeling solutions, which enables companies to identify, quantify, and plan for the financial consequences of catastrophes for use by insurers, reinsurers, intermediaries, financial institutions, and governments. The company also provides life insurance solutions for transforming current workflows in life insurance underwriting, claim insights, policy administration, unclaimed property/equity, compliance and fraud detection, and actuarial and portfolio modeling; Marketing Solutions, such as compliant, real-time decisioning, profitability, and risk assessment for inbound consumer interactions; and international underwriting and claims solutions. In addition, it offers claims insurance solutions, which provides analytics in fraud detection, compliance reporting, subrogation liability assessment, litigation, and repair cost estimation and valuation solutions; and casualty solutions, such as compliance, casualty claims decision support, and workflow automation solutions. Further, the company supplies software to the specialty insurance market. The company was founded in 1971 and is headquartered in Jersey City, New Jersey.

About IBEX

IBEX Limited provides end-to-end technology-enabled customer lifecycle experience solutions in the United States and internationally. The company products and services portfolio includes ibex Connect, that offers customer service, technical support, revenue generation, and other revenue generation outsourced back-office services through the CX model, which integrates voice, email, chat, SMS, social media, and other communication applications; ibex Digital, a customer acquisition solution that comprises digital marketing, e-commerce technology, and platform solutions; and ibex CX, a customer experience solution, which provides a suite of proprietary software tools to measure, monitor, and manage its clients' customer experience. It operates customer engagement and customer acquisition delivery centers. The company serves banking and financial services, delivery and logistics, health tech and wellness, high tech, retail and e-commerce, streaming and entertainment, travel and hospitality, and utility industries. The company was formerly known as IBEX Holdings Limited and changed its name to IBEX Limited in September 2019. IBEX Limited was incorporated in 2017 and is headquartered in Washington, District of Columbia. The company is a subsidiary of The Resource Group International Limited.