Comparing PubMatic (NASDAQ:PUBM) & Viant Technology (NASDAQ:DSP)

PubMatic (NASDAQ:PUBM) and Viant Technology (NASDAQ:DSP) are both small-cap computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Analyst Ratings

This is a summary of recent recommendations and price targets for PubMatic and Viant Technology, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PubMatic	0	3	4	0	2.57
Viant Technology	0	1	4	0	2.80

PubMatic currently has a consensus price target of $21.00, indicating a potential upside of 43.64%. Viant Technology has a consensus price target of $12.20, indicating a potential upside of 5.90%. Given PubMatic’s higher possible upside, equities research analysts plainly believe PubMatic is more favorable than Viant Technology.

Profitability

This table compares PubMatic and Viant Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PubMatic	7.08%	6.92%	3.07%
Viant Technology	-0.33%	-7.39%	-5.05%

Volatility and Risk

PubMatic has a beta of 1.39, suggesting that its stock price is 39% more volatile than the S&P 500. Comparatively, Viant Technology has a beta of 0.74, suggesting that its stock price is 26% less volatile than the S&P 500.

Valuation & Earnings

This table compares PubMatic and Viant Technology”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PubMatic	$267.01 million	2.71	$8.88 million	$0.36	40.61
Viant Technology	$222.93 million	3.27	-$3.44 million	($0.05)	-230.40

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

Institutional & Insider Ownership

64.3% of PubMatic shares are held by institutional investors. Comparatively, 11.4% of Viant Technology shares are held by institutional investors. 2.9% of PubMatic shares are held by company insiders. Comparatively, 28.8% of Viant Technology shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

PubMatic beats Viant Technology on 10 of the 13 factors compared between the two stocks.

About PubMatic

PubMatic, Inc., a technology company, engages in the provision of a cloud infrastructure platform that enables real-time programmatic advertising transactions for digital content creators, advertisers, agencies, agency trading desks, and demand side platforms worldwide. Its PubMatic SSP, a sell-side platform, used for the purchase and sale of digital advertising inventory for publishers and buyers. The company also provides solutions, including OpenWrap, a header bidding solution; Openwrap OTT, a prebid-powered unified bidding solution; Openwrap SDK, an enterprise-grade management tools and analytics; Connect, a solution that provides additional data and insights to publishers and buyers; Activate, which allows buyers to execute direct deals on its platform across publisher inventory; Convert, a commerce media solution; and Identity Hub, an ID management tool for publishers that leverages specialized technology?infrastructure?to simplify the complex alternative identifier marketplace. Its platform supports an array of ad formats and digital device types, including mobile app, mobile web, desktop, display, video, over-the-top (OTT), connected television, and media. The company was incorporated in 2006 and is based in Redwood City, California.

About Viant Technology

Viant Technology Inc. operates as an advertising technology company. It provides Household ID, a people-based innovation that combines digital and personal identifiers into a normalized household profile; AI Bid Optimizer, solution that uses AI to analyze historical bid opportunities to predict the lowest media cost for desired advertisement; and Viant Data Platform, which offers marketers control over their own data with actionable insights into their marketing initiatives within a single platform. The company also offers Holistic, an omnichannel DSP for marketers and their agencies to manage omnichannel campaigns and access metrics from each channel to inform decisions in other channels; Viant Identity Graph, which reduces or eliminates the need for cookies by enabling matching of people-based identifiers that anchor digital identifiers that allows marketers to reach targeted consumers in a privacy-conscious manner; and Direct Access, a path optimization program. In addition, it provides campaign analysis and data intelligence tool that empowers customers with differentiated insights, including conversion lift, multi-touch attribution, foot-traffic data reports, digital-out-of-home lift, sales reporting, and ROAS analytics; and self-service platform that provides customers with transparency and control over their advertising campaigns and underlying data infrastructure. The company sells its platform through a direct sales team focused on business development in various markets. It serves purchasers of programmatic advertising inventory; and large, independent, and mid-market advertising agencies, as well as marketers. The company was founded in 1999 and is headquartered in Irvine, California.