Evertec (NYSE:EVTC) and Park City Group (NASDAQ:PCYG) are both business services companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, earnings, dividends, institutional ownership, valuation, profitability and analyst recommendations.
Profitability
This table compares Evertec and Park City Group’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Evertec | 20.62% | 58.35% | 13.88% |
| Park City Group | 15.55% | 7.74% | 6.31% |
Analyst Recommendations
This is a breakdown of current ratings and target prices for Evertec and Park City Group, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Evertec | 0 | 0 | 1 | 0 | 3.00 |
| Park City Group | 0 | 0 | 0 | 0 | N/A |
Evertec currently has a consensus price target of $36.00, indicating a potential upside of 5.76%. Given Evertec’s higher probable upside, equities research analysts plainly believe Evertec is more favorable than Park City Group.
Institutional & Insider Ownership
78.7% of Evertec shares are owned by institutional investors. Comparatively, 25.0% of Park City Group shares are owned by institutional investors. 0.6% of Evertec shares are owned by insiders. Comparatively, 41.0% of Park City Group shares are owned 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.
Earnings & Valuation
This table compares Evertec and Park City Group’s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Evertec | $453.87 million | 5.39 | $86.27 million | $1.70 | 20.02 |
| Park City Group | $21.17 million | 4.72 | $3.90 million | $0.17 | 29.76 |
Evertec has higher revenue and earnings than Park City Group. Evertec is trading at a lower price-to-earnings ratio than Park City Group, indicating that it is currently the more affordable of the two stocks.
Volatility & Risk
Evertec has a beta of 0.76, meaning that its stock price is 24% less volatile than the S&P 500. Comparatively, Park City Group has a beta of 1.57, meaning that its stock price is 57% more volatile than the S&P 500.
Summary
Evertec beats Park City Group on 10 of the 13 factors compared between the two stocks.
About Evertec
EVERTEC, Inc. engage in transaction processing business serving financial institutions, merchants, corporations, and government agencies in Latin America and the Caribbean. The company operates in four segments: Payment Services – Puerto Rico & Caribbean; Payment Services – Latin America; Merchant Acquiring; and Business Solutions. It provides merchant acquiring services, which enable point of sales and e-commerce merchants to accept and process electronic methods of payment, such as debit, credit, prepaid, and electronic benefit transfer (EBT) cards. The company also offers payment processing services that enable financial institutions and other issuers to manage, support, and facilitate the processing for credit, debit, prepaid, automated teller machines and EBT card programs; credit and debit card processing, authorization and settlement, and fraud monitoring and control services to debit or credit issuers; and EBT services. In addition, it provides business process management solutions comprising core bank processing, network hosting and management, IT consulting services, business process outsourcing, item and cash processing, and fulfillment solutions to financial institutions, and corporate and government customers. The company manages a system of electronic payment networks that process approximately two billion transactions. It sells and distributes its services primarily through a proprietary direct sales force. The company was formerly known as Carib Latam Holdings, Inc. EVERTEC, Inc. was founded in 1988 and is based in San Juan, Puerto Rico.
About Park City Group
Park City Group, Inc., a software-as-a-service provider, designs, develops, and markets proprietary software products in the United States. The company offers ReposiTrak MarketPlace, a supplier discovery and B2B e-commerce solution that is used for sourcing products, and enables to screen and choose suppliers; ReposiTrak Compliance and Food Safety Solutions, which reduces potential regulatory and legal risk from their supply chain partners; and ReposiTrak Supply Chain Solutions, which enables customers to manage relationships with suppliers. It also provides ScoreTracker, Vendor Managed Inventory, Store Level Ordering and Replenishment, Enterprise Supply Chain Planning, Fresh Market Manager, and ActionManager supply chain solutions. In addition, it provides business-consulting services to suppliers and retailers in the grocery, convenience store, and specialty retail industries, as well as professional consulting services. The company primarily serves multi-store retail chains, wholesalers and distributors, and suppliers. Park City Group, Inc. was founded in 1990 and is headquartered in Salt Lake City, Utah.
Receive News & Ratings for Evertec Daily – Enter your email address below to receive a concise daily summary of the latest news and analysts’ ratings for Evertec and related companies with MarketBeat.com’s FREE daily email newsletter.
