Quantum (NASDAQ:QMCO – Get Free Report) and Dell Technologies (NYSE:DELL – Get Free Report) are both technology companies, but which is the better stock? We will compare the two businesses based on the strength of their dividends, institutional ownership, risk, valuation, earnings, profitability and analyst recommendations.
Institutional & Insider Ownership
63.7% of Quantum shares are held by institutional investors. Comparatively, 76.4% of Dell Technologies shares are held by institutional investors. 41.0% of Quantum shares are held by insiders. Comparatively, 41.5% of Dell Technologies shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.
Earnings & Valuation
This table compares Quantum and Dell Technologies”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Quantum | $296.10 million | 2.26 | -$101.05 million | ($13.24) | -1.28 |
| Dell Technologies | $151.20 billion | 1.46 | $5.94 billion | $17.23 | 20.11 |
Dell Technologies has higher revenue and earnings than Quantum. Quantum is trading at a lower price-to-earnings ratio than Dell Technologies, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a summary of recent ratings and target prices for Quantum and Dell Technologies, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Quantum | 1 | 0 | 5 | 0 | 2.67 |
| Dell Technologies | 0 | 9 | 26 | 1 | 2.78 |
Quantum presently has a consensus target price of $27.33, suggesting a potential upside of 60.88%. Dell Technologies has a consensus target price of $569.96, suggesting a potential upside of 64.49%. Given Dell Technologies’ stronger consensus rating and higher possible upside, analysts clearly believe Dell Technologies is more favorable than Quantum.
Risk and Volatility
Quantum has a beta of 3.23, meaning that its share price is 223% more volatile than the S&P 500. Comparatively, Dell Technologies has a beta of 1.45, meaning that its share price is 45% more volatile than the S&P 500.
Profitability
This table compares Quantum and Dell Technologies’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Quantum | -80.76% | N/A | -7.28% |
| Dell Technologies | 7.53% | -578.85% | 10.64% |
Summary
Dell Technologies beats Quantum on 12 of the 15 factors compared between the two stocks.
About Quantum
Quantum Corporation provides products for storing and managing digital video and unstructured data in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company offers Myriad All-Flash File and Object Storage Software for high performance enterprise unstructured data applications such as AI, machine learning, and data analytics; Unified Surveillance Platform Software that unified compute and storage for video surveillance recording, storage, and analytics; StorNext Hybrid Flash/Disk File Storage Software for video editing, post-production, and streaming applications, as well as digital file archives; and CatDV Asset Management Software for indexing, cataloging, enriching video, audio, and image files, and workflow orchestration. It also provides ActiveScale Object Storage Software that scalable and durable storage for long term data preservation and protection; DXi Backup Appliances to build backup appliances for high-speed backup and recovery and multisite data protection; and Scalar Tape Storage that secure storage for long term data archiving and offline data protection which are used by hyperscalers and enterprises. In addition, the company sells linear tape-open (LTO) a tape drives for small business data protection and archiving; and LTO media for use in tape storage systems. Further, it offers global support, managed services, customer support agreements, software subscriptions, installation, education, and consulting and training services, as well as Quantum-as-a-Service. The company sells its products through a network of distributors, value-added resellers, direct marketing resellers, original equipment manufacturers, and other suppliers, as well as directly to corporate entities and government agencies. It has a partnership with Tiger Surveillance to deliver end-to-end solutions for long-term retention and archiving of video surveillance data. Quantum Corporation was founded in 1980 and is headquartered in San Jose, California.
About Dell Technologies
Dell Technologies Inc. designs, develops, manufactures, markets, sells, and supports various comprehensive and integrated solutions, products, and services in the Americas, Europe, the Middle East, Asia, and internationally. The company operates through two segments, Infrastructure Solutions Group (ISG) and Client Solutions Group (CSG). The ISG segment provides modern and traditional storage solutions, including all-flash arrays, scale-out file, object platforms, hyper-converged infrastructure, and software-defined storage; and general-purpose and AI-optimized servers. This segment also offers networking products and services comprising wide area network infrastructure, data center and edge networking switches, and cables and optics that help its business customers to transform and modernize their infrastructure, mobilize and enrich end-user experiences, and accelerate business applications and processes; software and peripherals; and consulting, support, and deployment services. The CSG segment provides desktops, workstations, and notebooks; displays, docking stations, keyboards, mice, webcam, and audio devices; and third-party software and peripherals, as well as configuration, support and deployment, and extended warranty services. It is involved in cybersecurity technology-driven security solutions to prevent security breaches, detect malicious activity, respond rapidly when a security breach occurs, and identify emerging threats; originating, collecting, and servicing customer financing arrangements; and the resale of VMware products and services. The company serves enterprises, public institutions, and small and medium-sized businesses through its direct sales channel, value-added resellers, system integrators, distributors, and retailers. The company was formerly known as Denali Holding Inc. and changed its name to Dell Technologies Inc. in August 2016. Dell Technologies Inc. was founded in 1984 and is headquartered in Round Rock, Texas.
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