Dropbox (NASDAQ:DBX) & Upland Software (NASDAQ:UPLD) Head-To-Head Analysis

Dropbox (NASDAQ:DBX) and Upland Software (NASDAQ:UPLD) are both computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, risk, profitability, institutional ownership, dividends, earnings and analyst recommendations.

Risk and Volatility

Dropbox has a beta of 0.77, meaning that its share price is 23% less volatile than the S&P 500. Comparatively, Upland Software has a beta of 1.4, meaning that its share price is 40% more volatile than the S&P 500.

Valuation and Earnings

This table compares Dropbox and Upland Software”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Dropbox	$2.55 billion	3.13	$453.60 million	$1.41	18.74
Upland Software	$278.95 million	0.28	-$179.87 million	($4.52)	-0.62

Dropbox has higher revenue and earnings than Upland Software. Upland Software is trading at a lower price-to-earnings ratio than Dropbox, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current ratings for Dropbox and Upland Software, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Dropbox	0	2	1	0	2.33
Upland Software	1	1	2	1	2.60

Dropbox currently has a consensus target price of $27.67, indicating a potential upside of 4.72%. Upland Software has a consensus target price of $3.75, indicating a potential upside of 32.98%. Given Upland Software’s stronger consensus rating and higher probable upside, analysts clearly believe Upland Software is more favorable than Dropbox.

Insider and Institutional Ownership

94.8% of Dropbox shares are held by institutional investors. Comparatively, 77.8% of Upland Software shares are held by institutional investors. 28.6% of Dropbox shares are held by insiders. Comparatively, 11.3% of Upland Software shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Dropbox and Upland Software’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Dropbox	17.75%	-132.63%	19.58%
Upland Software	-44.92%	50.06%	2.64%

Summary

Dropbox beats Upland Software on 9 of the 15 factors compared between the two stocks.

About Dropbox

Dropbox, Inc. provides a content collaboration platform worldwide. The company's platform allows individuals, families, teams, and organizations to collaborate and sign up for free through its website or app, as well as upgrade to a paid subscription plan for premium features. It serves customers in professional services, technology, media, education, industrial, consumer and retail, and financial services industries. The company was formerly known as Evenflow, Inc. and changed its name to Dropbox, Inc. in October 2009. Dropbox, Inc. was incorporated in 2007 and is headquartered in San Francisco, California.

About Upland Software

Upland Software, Inc., together with its subsidiaries, provides cloud-based software applications under the Upland brand name in the United States, the United Kingdom, Canada, and internationally. It offers software applications that enable organizations to plan, manage and execute projects, and work in the areas of marketing, sales, contact center, knowledge management, project management, information technology, business operations, human resources, and legal. The company also provides professional services, such as implementation, data extraction, integration and configuration, and training services, as well as customer support services. It serves corporations, government agencies, and small and medium-sized businesses in the financial, consulting, technology, manufacturing, media, telecommunication, insurance, non-profit healthcare, life sciences, retail, and hospitality sectors. The company was formerly known as Silverback Enterprise Group, Inc. and changed its name to Upland Software, Inc. in November 2013. Upland Software, Inc. was incorporated in 2010 and is headquartered in Austin, Texas.