Head to Head Contrast: E2open Parent (NYSE:ETWO) versus NantHealth (NASDAQ:NH)

NantHealth (NASDAQ:NH) and E2open Parent (NYSE:ETWO) are both small-cap medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, profitability, valuation, risk, dividends and analyst recommendations.

Insider & Institutional Ownership

4.5% of NantHealth shares are owned by institutional investors. 61.3% of NantHealth shares are owned by company insiders. Comparatively, 4.7% of E2open Parent shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current recommendations for NantHealth and E2open Parent, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NantHealth	0	0	0	0	0.00
E2open Parent	1	3	0	0	1.75

E2open Parent has a consensus price target of $3.28, indicating a potential upside of 28.18%. Given E2open Parent’s stronger consensus rating and higher probable upside, analysts clearly believe E2open Parent is more favorable than NantHealth.

Profitability

This table compares NantHealth and E2open Parent’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NantHealth	-94.67%	N/A	-39.82%
E2open Parent	-74.63%	4.38%	2.12%

Earnings and Valuation

This table compares NantHealth and E2open Parent”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NantHealth	$67.68 million	0.00	-$67.78 million	($7.65)	N/A
E2open Parent	$634.55 million	1.38	-$1.07 billion	($1.49)	-1.71

NantHealth has higher earnings, but lower revenue than E2open Parent. E2open Parent is trading at a lower price-to-earnings ratio than NantHealth, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

NantHealth has a beta of 1.82, indicating that its share price is 82% more volatile than the S&P 500. Comparatively, E2open Parent has a beta of 1, indicating that its share price has a similar volatility profile to the S&P 500.

Summary

E2open Parent beats NantHealth on 7 of the 12 factors compared between the two stocks.

About NantHealth

NantHealth, Inc. engages in the provision of enterprise solutions that help businesses transform complex data into actionable insights. It is also involved in marketing solutions as a comprehensive integrated solution that includes clinical decision support, payer engagement solutions, data analysis, and network monitoring and management. The company was founded by Patrick Soon-Shiong on July 7, 2010 and is headquartered in Morrisville, NC.

About E2open Parent

E2open Parent Holdings, Inc. provides cloud-based and end-to-end supply chain management and orchestration SaaS platform in the Americas, Europe, and the Asia Pacific. Its SaaS platform includes various key strategic and operational areas, including omni-channel, demand sensing, supply planning, global trade management, transportation and logistics and manufacturing and supply management. The company's software combines networks, data, and applications to provide a deeply embedded and mission-critical platform that allows its clients to optimize their channel and supply chains. It serves consumer goods, food and beverage, manufacturing, retail, industrial and automotive, aerospace and defense, technology and transportation, and other industries. The company was incorporated in 2020 and is headquartered in Austin, Texas.