Financial Survey: Aeries Technology (NASDAQ:AERT) vs. SS&C Technologies (NASDAQ:SSNC)
by Michael Walen · The Markets DailySS&C Technologies (NASDAQ:SSNC – Get Free Report) and Aeries Technology (NASDAQ:AERT – Get Free Report) are both industrials companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, earnings, dividends, profitability, risk, institutional ownership and analyst recommendations.
Institutional and Insider Ownership
96.9% of SS&C Technologies shares are owned by institutional investors. Comparatively, 99.2% of Aeries Technology shares are owned by institutional investors. 16.0% of SS&C Technologies shares are owned by insiders. Comparatively, 63.6% of Aeries Technology shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Earnings and Valuation
This table compares SS&C Technologies and Aeries Technology”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| SS&C Technologies | $6.27 billion | 3.10 | $796.90 million | $3.48 | 23.84 |
| Aeries Technology | $76.60 million | 0.42 | $2.55 million | $0.43 | 14.21 |
SS&C Technologies has higher revenue and earnings than Aeries Technology. Aeries Technology is trading at a lower price-to-earnings ratio than SS&C Technologies, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a breakdown of current ratings and price targets for SS&C Technologies and Aeries Technology, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| SS&C Technologies | 1 | 2 | 8 | 1 | 2.75 |
| Aeries Technology | 0 | 1 | 0 | 0 | 2.00 |
SS&C Technologies presently has a consensus target price of $96.57, indicating a potential upside of 16.41%. Given SS&C Technologies’ stronger consensus rating and higher probable upside, analysts clearly believe SS&C Technologies is more favorable than Aeries Technology.
Risk and Volatility
SS&C Technologies has a beta of 1.09, suggesting that its stock price is 9% more volatile than the S&P 500. Comparatively, Aeries Technology has a beta of 0.64, suggesting that its stock price is 36% less volatile than the S&P 500.
Profitability
This table compares SS&C Technologies and Aeries Technology’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| SS&C Technologies | 12.76% | 21.74% | 7.25% |
| Aeries Technology | 3.68% | -114.69% | 6.81% |
Summary
SS&C Technologies beats Aeries Technology on 13 of the 15 factors compared between the two stocks.
About SS&C Technologies
SS&C Technologies Holdings, Inc. engages in the development and provision of software solutions to the financial services and healthcare industries. It operates through the following geographical segments: United States, Europe, Middle East and Africa, Asia Pacific and Japan, Canada, and the Americas, excluding the United States and Canada. Its products include advent genesis, antares, asset allocators, AWD, axys, BANC mall, BRIX, DST vision, evare, lightning, and moxy. The company was founded by William Charles Stone in March 1986 and is headquartered in Windsor, CT.
About Aeries Technology
Aeries Technology, Inc. operates as a professional services and consulting partner in the North America, Asia Pacific, and internationally. The company offers management consultancy services for private equity sponsors and their portfolio companies, including software solutions, product management, IT infrastructure, information and cyber security, ERP and CRM platform management, business process management, and digital transformation services. The company was founded in 2012 and is headquartered in Singapore.