Comparing SSE (OTCMKTS:SSEZY) & Datatec (OTCMKTS:DTTLY)

SSE (OTCMKTS:SSEZY) and Datatec (OTCMKTS:DTTLY) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, profitability, earnings, institutional ownership, valuation, dividends and risk.

Dividends

SSE pays an annual dividend of $0.49 per share and has a dividend yield of 2.5%. Datatec pays an annual dividend of $0.15 per share and has a dividend yield of 2.6%.

Volatility and Risk

SSE has a beta of 0.86, indicating that its stock price is 14% less volatile than the S&P 500. Comparatively, Datatec has a beta of 0.2, indicating that its stock price is 80% less volatile than the S&P 500.

Insider and Institutional Ownership

0.2% of SSE shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares SSE and Datatec’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SSE	N/A	N/A	N/A
Datatec	N/A	N/A	N/A

Valuation and Earnings

This table compares SSE and Datatec”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SSE	$13.14 billion	1.67	$2.24 billion	N/A	N/A
Datatec	$5.46 billion	0.13	$45.80 million	N/A	N/A

SSE has higher revenue and earnings than Datatec.

Analyst Recommendations

This is a summary of current recommendations for SSE and Datatec, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SSE	0	2	0	2	3.00
Datatec	0	0	0	0	0.00

Summary

SSE beats Datatec on 7 of the 8 factors compared between the two stocks.

About SSE

SSE plc engages in the generation, transmission, distribution, and supply of electricity. It generates electricity from water, gas, coal, oil, and multi fuel. The company distributes electricity to approximately 3.8 million homes and businesses across the north of the central belt of Scotland and central southern England; and owns, operates, and develops high voltage electricity transmission system in the north of Scotland and remote islands. It also produces, stores, distributes, and supplies gas. In addition, it engages in the electricity and utility contracting, telecommunications, energy trading, insurance, and property holding businesses, as well as provides maintenance services. The company was formerly known as Scottish and Southern Energy plc and changed its name to SSE plc in September 2011. SSE plc was incorporated in 1989 and is based in Perth, the United Kingdom.

About Datatec

Datatec Limited, together with its subsidiaries, provides information and communication technology (ICT) solutions and services worldwide. It operates in four segments: Westcon International, Logicalis International, Logicalis Latin America, and Corporate and Management Consulting. The company distributes cyber security, network infrastructure, unified collaboration products, data centre solutions, and channel services; and offers financing/leasing solutions for ICT customers. It offers solutions through a network of service providers, systems integrators, and specialty resellers under the Westcon and Comstor brands. The company also provides digital services; and strategic, trusted advisory, modeling, and market intelligence services to the telecoms, media, and technology industries. Datatec Limited was founded in 1986 and is headquartered in Sandown, South Africa.