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IT vs. NET: A Head-to-Head Stock Comparison

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Here’s a clear look at IT and NET, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolITNET
Company NameGartner, Inc.Cloudflare, Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustryIT ServicesIT Services
Market Capitalization18.49 billion USD67.33 billion USD
ExchangeNYSENYSE
Listing DateOctober 5, 1993September 13, 2019
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of IT and NET by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

IT vs. NET: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolITNET
5-Day Price Return0.46%-1.12%
13-Week Price Return-45.68%22.65%
26-Week Price Return-52.78%9.46%
52-Week Price Return-49.65%129.81%
Month-to-Date Return-27.89%-6.97%
Year-to-Date Return-49.59%79.42%
10-Day Avg. Volume1.86M2.38M
3-Month Avg. Volume0.94M3.24M
3-Month Volatility59.24%35.11%
Beta1.242.04

Profitability

Return on Equity (TTM)

IT

92.80%

IT Services Industry

Max
29.51%
Q3
16.98%
Median
13.47%
Q1
7.93%
Min
-3.97%

IT’s Return on Equity of 92.80% is exceptionally high, placing it well beyond the typical range for the IT Services industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

NET

-10.00%

IT Services Industry

Max
29.51%
Q3
16.98%
Median
13.47%
Q1
7.93%
Min
-3.97%

NET has a negative Return on Equity of -10.00%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

IT vs. NET: A comparison of their Return on Equity (TTM) against the IT Services industry benchmark.

Net Profit Margin (TTM)

IT

19.71%

IT Services Industry

Max
19.82%
Q3
11.49%
Median
6.67%
Q1
3.61%
Min
-4.62%

A Net Profit Margin of 19.71% places IT in the upper quartile for the IT Services industry, signifying strong profitability and more effective cost management than most of its peers.

NET

-6.22%

IT Services Industry

Max
19.82%
Q3
11.49%
Median
6.67%
Q1
3.61%
Min
-4.62%

NET has a negative Net Profit Margin of -6.22%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

IT vs. NET: A comparison of their Net Profit Margin (TTM) against the IT Services industry benchmark.

Operating Profit Margin (TTM)

IT

18.20%

IT Services Industry

Max
21.69%
Q3
14.50%
Median
10.06%
Q1
6.98%
Min
0.06%

An Operating Profit Margin of 18.20% places IT in the upper quartile for the IT Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

NET

-9.89%

IT Services Industry

Max
21.69%
Q3
14.50%
Median
10.06%
Q1
6.98%
Min
0.06%

NET has a negative Operating Profit Margin of -9.89%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

IT vs. NET: A comparison of their Operating Profit Margin (TTM) against the IT Services industry benchmark.

Profitability at a Glance

SymbolITNET
Return on Equity (TTM)92.80%-10.00%
Return on Assets (TTM)15.25%-2.99%
Net Profit Margin (TTM)19.71%-6.22%
Operating Profit Margin (TTM)18.20%-9.89%
Gross Profit Margin (TTM)67.96%76.14%

Financial Strength

Current Ratio (MRQ)

IT

1.11

IT Services Industry

Max
2.42
Q3
1.81
Median
1.47
Q1
1.09
Min
0.44

IT’s Current Ratio of 1.11 aligns with the median group of the IT Services industry, indicating that its short-term liquidity is in line with its sector peers.

NET

5.14

IT Services Industry

Max
2.42
Q3
1.81
Median
1.47
Q1
1.09
Min
0.44

NET’s Current Ratio of 5.14 is exceptionally high, placing it well outside the typical range for the IT Services industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

IT vs. NET: A comparison of their Current Ratio (MRQ) against the IT Services industry benchmark.

Debt-to-Equity Ratio (MRQ)

IT

1.61

IT Services Industry

Max
2.33
Q3
1.17
Median
0.54
Q1
0.15
Min
0.00

IT’s leverage is in the upper quartile of the IT Services industry, with a Debt-to-Equity Ratio of 1.61. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

NET

2.63

IT Services Industry

Max
2.33
Q3
1.17
Median
0.54
Q1
0.15
Min
0.00

With a Debt-to-Equity Ratio of 2.63, NET operates with exceptionally high leverage compared to the IT Services industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

IT vs. NET: A comparison of their Debt-to-Equity Ratio (MRQ) against the IT Services industry benchmark.

Interest Coverage Ratio (TTM)

IT

20.97

IT Services Industry

Max
144.50
Q3
84.49
Median
13.76
Q1
2.59
Min
-28.13

IT’s Interest Coverage Ratio of 20.97 is positioned comfortably within the norm for the IT Services industry, indicating a standard and healthy capacity to cover its interest payments.

NET

-4.24

IT Services Industry

Max
144.50
Q3
84.49
Median
13.76
Q1
2.59
Min
-28.13

NET has a negative Interest Coverage Ratio of -4.24. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

IT vs. NET: A comparison of their Interest Coverage Ratio (TTM) against the IT Services industry benchmark.

Financial Strength at a Glance

SymbolITNET
Current Ratio (MRQ)1.115.14
Quick Ratio (MRQ)1.075.01
Debt-to-Equity Ratio (MRQ)1.612.63
Interest Coverage Ratio (TTM)20.97-4.24

Growth

Revenue Growth

IT vs. NET: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

IT vs. NET: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

IT

0.00%

IT Services Industry

Max
2.80%
Q3
1.74%
Median
0.62%
Q1
0.00%
Min
0.00%

IT currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

NET

0.00%

IT Services Industry

Max
2.80%
Q3
1.74%
Median
0.62%
Q1
0.00%
Min
0.00%

NET currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

IT vs. NET: A comparison of their Dividend Yield (TTM) against the IT Services industry benchmark.

Dividend Payout Ratio (TTM)

IT

0.00%

IT Services Industry

Max
147.75%
Q3
63.58%
Median
24.63%
Q1
0.00%
Min
0.00%

IT has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

NET

0.00%

IT Services Industry

Max
147.75%
Q3
63.58%
Median
24.63%
Q1
0.00%
Min
0.00%

NET has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

IT vs. NET: A comparison of their Dividend Payout Ratio (TTM) against the IT Services industry benchmark.

Dividend at a Glance

SymbolITNET
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

IT

14.62

IT Services Industry

Max
41.55
Q3
31.54
Median
23.25
Q1
18.12
Min
6.57

In the lower quartile for the IT Services industry, IT’s P/E Ratio of 14.62 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

NET

--

IT Services Industry

Max
41.55
Q3
31.54
Median
23.25
Q1
18.12
Min
6.57

P/E Ratio data for NET is currently unavailable.

IT vs. NET: A comparison of their Price-to-Earnings Ratio (TTM) against the IT Services industry benchmark.

Price-to-Sales Ratio (TTM)

IT

2.88

IT Services Industry

Max
6.61
Q3
4.37
Median
2.02
Q1
1.20
Min
0.19

IT’s P/S Ratio of 2.88 aligns with the market consensus for the IT Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

NET

35.68

IT Services Industry

Max
6.61
Q3
4.37
Median
2.02
Q1
1.20
Min
0.19

With a P/S Ratio of 35.68, NET trades at a valuation that eclipses even the highest in the IT Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

IT vs. NET: A comparison of their Price-to-Sales Ratio (TTM) against the IT Services industry benchmark.

Price-to-Book Ratio (MRQ)

IT

20.30

IT Services Industry

Max
11.19
Q3
6.38
Median
3.47
Q1
2.31
Min
0.96

At 20.30, IT’s P/B Ratio is at an extreme premium to the IT Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

NET

54.75

IT Services Industry

Max
11.19
Q3
6.38
Median
3.47
Q1
2.31
Min
0.96

At 54.75, NET’s P/B Ratio is at an extreme premium to the IT Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

IT vs. NET: A comparison of their Price-to-Book Ratio (MRQ) against the IT Services industry benchmark.

Valuation at a Glance

SymbolITNET
Price-to-Earnings Ratio (TTM)14.62--
Price-to-Sales Ratio (TTM)2.8835.68
Price-to-Book Ratio (MRQ)20.3054.75
Price-to-Free Cash Flow Ratio (TTM)12.24374.68