Kaltura (NASDAQ:KLTR) vs. Five9 (NASDAQ:FIVN) Head-To-Head Comparison

Five9 (NASDAQ:FIVN) and Kaltura (NASDAQ:KLTR) are both technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, profitability, risk, institutional ownership, valuation, dividends and earnings.

Profitability

This table compares Five9 and Kaltura’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Five9	4.94%	12.92%	5.65%
Kaltura	-6.92%	-51.05%	-2.33%

Volatility & Risk

Five9 has a beta of 1.53, suggesting that its share price is 53% more volatile than the S&P 500. Comparatively, Kaltura has a beta of 1.2, suggesting that its share price is 20% more volatile than the S&P 500.

Institutional and Insider Ownership

96.6% of Five9 shares are held by institutional investors. Comparatively, 30.8% of Kaltura shares are held by institutional investors. 1.2% of Five9 shares are held by insiders. Comparatively, 16.3% of Kaltura shares are held 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.

Analyst Recommendations

This is a summary of recent recommendations for Five9 and Kaltura, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Five9	0	8	11	0	2.58
Kaltura	1	0	1	0	2.00

Five9 presently has a consensus price target of $35.53, indicating a potential downside of 5.94%. Kaltura has a consensus price target of $3.00, indicating a potential upside of 110.53%. Given Kaltura’s higher probable upside, analysts plainly believe Kaltura is more favorable than Five9.

Earnings and Valuation

This table compares Five9 and Kaltura”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Five9	$1.15 billion	2.52	$39.42 million	$0.69	54.75
Kaltura	$180.85 million	1.20	-$12.07 million	($0.09)	-15.83

Five9 has higher revenue and earnings than Kaltura. Kaltura is trading at a lower price-to-earnings ratio than Five9, indicating that it is currently the more affordable of the two stocks.

Summary

Five9 beats Kaltura on 12 of the 14 factors compared between the two stocks.

About Five9

Five9, Inc., together with its subsidiaries, provides intelligent cloud software for contact centers in the United States, India, and internationally. It offers a virtual contact center cloud platform that delivers a suite of applications, which enables the breadth of contact center-related customer service, sales, and marketing functions. The company’s platform comprises of including interactive virtual agent, agent assist, workflow automation, workforce engagement management, AI insights, and AI summaries that allows to manage and optimize customer interactions across voice, chat, email, web, social media, and mobile channels directly or through its application programming interfaces. It also matches each customer interaction with an agent resource and delivers customer data to the agent in real-time through integrations with adjacent enterprise applications, such as CRM software, to optimize the customer experience and enhance agent productivity. The company serves customers in various industries, such as banking and financial services, business process outsourcers, retail, healthcare, technology, and education. Five9, Inc. was incorporated in 2001 and is headquartered in San Ramon, California.

About Kaltura

Kaltura, Inc. provides various software-as-a-service (SaaS) products and solutions and a platform-as-a-service (PaaS) in the United States, Europe, the Middle East, Africa, and internationally. The company operates through two segments, Enterprise, Education, and Technology (EE&T); and Media and Telecom (M&T). It offers video products, such as virtual and hybrid events, webinars, video portals, online learning, and content portals for training, marketing, virtual and hybrid events, communication, collaboration, sales, and customer care; and education solutions, such as learning management system video and lecture capture solutions. The company also provides online video experiences, including for over-the-top (OTT) television, cloud TV, web video publishing, video-based teaching, learning, training, video-based marketing, and video-based collaboration. In addition, it offers application programming interfaces (APIs), software development kits, and experience components, including live, real-time and on-demand video, ingestion, transcoding, enrichment, management, distribution, engagement, monetization, and deep viewer analytics, as well as video player, video editor, video capture tool, and chat and networking widgets. The company serves a range of industries, including financial services, high technology, healthcare and pharmaceuticals, education, public sector, media, telecommunications, information technology (IT) and professional services, retail, and manufacturing. Kaltura, Inc. was incorporated in 2006 and is headquartered in New York, New York.