Analyzing D2L (OTCMKTS:DTLIF) and ANSYS (NASDAQ:ANSS)

ANSYS (NASDAQ:ANSS) and D2L (OTCMKTS:DTLIF) are both computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their risk, profitability, dividends, institutional ownership, valuation, earnings and analyst recommendations.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for ANSYS and D2L, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ANSYS	2	6	1	0	1.89
D2L	0	0	0	0	N/A

ANSYS presently has a consensus target price of $318.33, indicating a potential downside of 0.96%. Given ANSYS’s higher possible upside, equities analysts clearly believe ANSYS is more favorable than D2L.

Profitability

This table compares ANSYS and D2L’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ANSYS	21.30%	11.51%	8.65%
D2L	N/A	N/A	N/A

Valuation and Earnings

This table compares ANSYS and D2L’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ANSYS	$2.27 billion	12.37	$500.41 million	$4.98	64.54
D2L	N/A	N/A	N/A	N/A	N/A

ANSYS has higher revenue and earnings than D2L.

Insider & Institutional Ownership

92.4% of ANSYS shares are held by institutional investors. 0.5% of ANSYS shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

ANSYS beats D2L on 8 of the 8 factors compared between the two stocks.

About ANSYS

ANSYS, Inc. develops and markets engineering simulation software and services for engineers, designers, researchers, and students in the United States, Japan, Germany, China, Hong Kong, South Korea, rest of Europe, the Middle East, Africa, and internationally. It offers structural analysis product suite that provides simulation tools for product design and optimization; the Ansys Mechanical product, an element analysis software; LS-DYNA solver for multiphysics simulation; and power analysis and optimization software suite. The company also offers electronics product suite that provides electromagnetic field simulation software for designing electronic and electromechanical products; Ansys High Frequency Structure Simulator product for radio frequency and microwave design; SCADE product suite, a solution for embedded software simulation, code production, and automated certification; fluids product suite that enables modeling of fluid flow and other related physical phenomena; Ansys Fluent computational fluid dynamics software package; Ansys RedHawk-SC for electronic design automation; Ansys Optics software; and mission-simulation, modeling, testing, and analysis software. In addition, it offers Ansys Granta MI system for materials information management; Ansys Granta Selector technology for materials selection and graphical analysis; CES EduPack product, a set of teaching resources; Granta Materials Data for Simulation; Ansys Lumerical product, a photonics simulation software solution; safety-certified embedded software solutions; Discovery product family for use in the simulation of product design; academic product suite for research and teaching settings. ANSYS, Inc. was founded in 1970 and is headquartered in Canonsburg, Pennsylvania.

About D2L

D2L Inc. cloud-based learning software for higher education institutions, kindergarten to grade 12 schools and districts, and private sector enterprises in Canada, the United States, and rest of world. The company offers Brightspace, a cloud-based learning platform that designs as the doorway to an all-in-one learning ecosystem; Performance+, an advanced predictive analytics package that comprising advanced analytics dashboards, insights report builder, the student success system, and D2L Brightspace LeaP; Creator+, an authoring system helping educators with authoring tools, game-based learning, awards leaderboard, Brightspace capture, and course catalogue; and D2L Wave, a free-to-use workforce education marketplace that simplifies the search for skill-aligned courses and programs for employees, and streamlines the approval, registration, and payment administration workflows for employers. It also provides managed services; customer enablement and support services; learning and creative services; and strategic planning and services like data consultants, change management experts, and learning strategists to identify and build a plan to achieve learning goals. The company was founded in 1999 and is headquartered in Kitchener, Canada.