Critical Review: Brightcove (BCOV) versus Its Competitors

Brightcove (NASDAQ: BCOV) is one of 97 public companies in the “Enterprise Software” industry, but how does it weigh in compared to its competitors? We will compare Brightcove to similar businesses based on the strength of its dividends, earnings, valuation, analyst recommendations, profitability, institutional ownership and risk.

Valuation & Earnings

This table compares Brightcove and its competitors top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue NetIncome Price/Earnings Ratio
Brightcove $150.27 million -$9.98 million -11.78
Brightcove Competitors $1.82 billion $300.08 million 42.17

Brightcove’s competitors have higher revenue and earnings than Brightcove. Brightcove is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Risk and Volatility

Brightcove has a beta of 1.96, indicating that its stock price is 96% more volatile than the S&P 500. Comparatively, Brightcove’s competitors have a beta of 1.13, indicating that their average stock price is 13% more volatile than the S&P 500.

Insider and Institutional Ownership

61.7% of Brightcove shares are owned by institutional investors. Comparatively, 59.2% of shares of all “Enterprise Software” companies are owned by institutional investors. 12.7% of Brightcove shares are owned by insiders. Comparatively, 23.5% of shares of all “Enterprise Software” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings for Brightcove and its competitors, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Brightcove 0 1 2 0 2.67
Brightcove Competitors 355 2100 3978 110 2.59

Brightcove currently has a consensus target price of $8.42, indicating a potential upside of 8.25%. As a group, “Enterprise Software” companies have a potential downside of 7.43%. Given Brightcove’s stronger consensus rating and higher possible upside, analysts plainly believe Brightcove is more favorable than its competitors.

Profitability

This table compares Brightcove and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Brightcove -14.58% -25.11% -13.88%
Brightcove Competitors -25.79% -221.75% -8.17%

Summary

Brightcove beats its competitors on 7 of the 12 factors compared.

Brightcove Company Profile

Brightcove Inc. is a global provider of cloud-based services for video. The Company’s products and services include Brightcove Video Cloud (Video Cloud), Brightcove Zencoder (Zencoder), Brightcove Once (Once), Brightcove Perform (Perform), Brightcove Video Marketing Suite (Video Marketing Suite), Brightcove Lift (Lift), Brightcove OTT Flow (OTT Flow) and Brightcove Enterprise Video Suite (Enterprise Video Suite), among others. Video Cloud is an online video platform. Video Cloud enables its customers to publish and distribute video to Internet-connected devices. Zencoder is a cloud-based video encoding service. Once is a cloud-based advertisement insertion and video stitching service. Perform is a cloud-based service for creating and managing video player experiences. Video Marketing Suite is a suite of video technologies designed to address the needs of marketers to drive awareness, engagement and conversion.

What are top analysts saying about Brightcove Inc.? - Enter your email address in the form below to receive our free daily email newsletter that contains the latest headlines and analysts' recommendations for for Brightcove Inc. and related companies.

Comments

Leave a Reply


share news on Facebook
tweet this investment news
share on linkedin
share on StockTwits
share on Google Plus
share on reddit