Amadeus IT Group (OTCMKTS:AMADY – Get Free Report) and Fastly (NASDAQ:FSLY – Get Free Report) are both technology companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, earnings, dividends, institutional ownership, profitability and analyst recommendations.
Analyst Recommendations
This is a breakdown of current ratings for Amadeus IT Group and Fastly, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Amadeus IT Group | 1 | 1 | 4 | 0 | 2.50 |
| Fastly | 2 | 5 | 7 | 1 | 2.47 |
Fastly has a consensus price target of $27.42, suggesting a potential upside of 15.74%. Given Fastly’s higher probable upside, analysts plainly believe Fastly is more favorable than Amadeus IT Group.
Earnings & Valuation
This table compares Amadeus IT Group and Fastly”s gross revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Amadeus IT Group | $7.37 billion | 3.69 | $1.51 billion | $3.53 | 17.86 |
| Fastly | $687.17 million | 5.49 | -$121.68 million | ($0.53) | -44.69 |
Amadeus IT Group has higher revenue and earnings than Fastly. Fastly is trading at a lower price-to-earnings ratio than Amadeus IT Group, indicating that it is currently the more affordable of the two stocks.
Insider & Institutional Ownership
79.7% of Fastly shares are held by institutional investors. 4.2% of Fastly shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Risk and Volatility
Amadeus IT Group has a beta of 0.92, indicating that its share price is 8% less volatile than the S&P 500. Comparatively, Fastly has a beta of 0.31, indicating that its share price is 69% less volatile than the S&P 500.
Profitability
This table compares Amadeus IT Group and Fastly’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Amadeus IT Group | 19.86% | 29.84% | 12.46% |
| Fastly | -11.80% | -6.31% | -4.04% |
Summary
Amadeus IT Group beats Fastly on 9 of the 15 factors compared between the two stocks.
About Amadeus IT Group
Amadeus IT Group, S.A., together with its subsidiaries, operates as a transaction processor for the travel and tourism industry worldwide. The company operates through three segments: Air Distribution, Air IT Solutions, and Hospitality & Other Solutions. The company acts as an international network providing real-time search, pricing, booking, and ticketing services, and other processing solutions through Amadeus GDS, Altéa PSS, and New Skies platforms. It also offers travel providers a portfolio of technology solutions, which automate certain mission-critical business processes, such as reservations, inventory management, and departure control. In addition, the company is involved in the provision of software development and definition, software distribution, regional support, data processing, intermediation, computer consulting, installation of industrial machinery and equipment, consultancy and technology development services for payments, and information technology services; financial activities; and e-commerce business. It serves providers of travel products and services, such as airlines, airports, hotels, tour operators, insurance companies, land and sea transport companies, travel sellers and brokers, and travel buyers. The company was formerly known as Amadeus IT Holding, S.A. and changed its name to Amadeus IT Group, S.A. in August 2016. Amadeus IT Group, S.A. was founded in 1987 and is headquartered in Madrid, Spain.
About Fastly
Fastly, Inc. operates an edge cloud platform for processing, serving, and securing its customer's applications in the United States, the Asia Pacific, Europe, and internationally. The edge cloud is a category of Infrastructure as a Service that enables developers to build, secure, and deliver digital experiences at the edge of the internet. The company offers network services to speed up and optimize the delivery of web and application traffic; device detection and geolocation; content delivery network, such as dynamic site acceleration, origin shield, instant purge, surrogate keys, programmatic control, content compression, reliability features, fanout, domainr, privacy, and modern protocols and performance services; and video/ streaming solutions and services, including live streaming, video on demand, and media shield. It also provides security solutions, such as DDoS protection, next-gen WAF, bot management, API and ATO protection, advanced rate limiting, and compliance services; load balancing; image optimization; transport layer security (TLS), platform TLS, and certainly; and origin connect. It serves customers operating in digital publishing, media and entertainment, technology, online education, travel and hospitality, and financial services industries. The company was formerly known as SkyCache, Inc. and changed its name to Fastly, Inc. in May 2012. Fastly, Inc. was incorporated in 2011 and is headquartered in San Francisco, California.
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