Critical Analysis: Celerity Solutions (OTCMKTS:CLTY) versus Upland Software (NASDAQ:UPLD)

Upland Software (NASDAQ:UPLD) and Celerity Solutions (OTCMKTS:CLTY) are both computer and technology companies, but which is the better stock? We will compare the two companies based on the strength of their risk, analyst recommendations, institutional ownership, valuation, dividends, earnings and profitability.

Institutional & Insider Ownership

77.8% of Upland Software shares are held by institutional investors. 11.3% of Upland Software shares are held by insiders. Comparatively, 32.3% of Celerity Solutions 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.

Profitability

This table compares Upland Software and Celerity Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Upland Software	-44.92%	50.06%	2.64%
Celerity Solutions	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of recent ratings for Upland Software and Celerity Solutions, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Upland Software	1	1	2	1	2.60
Celerity Solutions	0	0	0	0	0.00

Upland Software presently has a consensus target price of $3.75, indicating a potential downside of 18.66%. Given Celerity Solutions’ higher probable upside, analysts clearly believe Celerity Solutions is more favorable than Upland Software.

Valuation & Earnings

This table compares Upland Software and Celerity Solutions”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Upland Software	$278.95 million	0.45	-$179.87 million	($4.52)	-1.02
Celerity Solutions	N/A	N/A	N/A	N/A	N/A

Celerity Solutions has lower revenue, but higher earnings than Upland Software.

Summary

Upland Software beats Celerity Solutions on 7 of the 10 factors compared between the two stocks.

About Upland Software

Upland Software, Inc., together with its subsidiaries, provides cloud-based software applications under the Upland brand name in the United States, the United Kingdom, Canada, and internationally. It offers software applications that enable organizations to plan, manage and execute projects, and work in the areas of marketing, sales, contact center, knowledge management, project management, information technology, business operations, human resources, and legal. The company also provides professional services, such as implementation, data extraction, integration and configuration, and training services, as well as customer support services. It serves corporations, government agencies, and small and medium-sized businesses in the financial, consulting, technology, manufacturing, media, telecommunication, insurance, non-profit healthcare, life sciences, retail, and hospitality sectors. The company was formerly known as Silverback Enterprise Group, Inc. and changed its name to Upland Software, Inc. in November 2013. Upland Software, Inc. was incorporated in 2010 and is headquartered in Austin, Texas.

About Celerity Solutions

Celerity Solutions, Inc. provides enterprise applications solutions. The company offers its applications in various areas, such as finance, human capital management, manufacturing, mergers and acquisitions, sales operations efficiency, supply chain, utilities, and Web retail. Celerity Solutions, Inc. was incorporated in 1982 and is based in Redwood City, California.