Benefitfocus Inc. (BNFT) and Its Competitors Financial Results Comparison

Benefitfocus Inc. (NASDAQ:BNFT) is a company in the Application Software industry and that’s how we contrast it to its rivals. The contrasting will be based on the risk, analyst recommendations, profitability, dividends, earnings and valuation, institutional ownership.

Insider and Institutional Ownership

91.2% of Benefitfocus Inc.’s shares are owned by institutional investors. Comparatively, 61.93% of all Application Software’s companies shares are owned by institutional investors. On other hand Benefitfocus Inc. has 0.1% of its shares owned by company insiders & an average of 7.86% insiders ownership for its rivals.

Profitability

Table 1 has Benefitfocus Inc. and its rivals’ return on assets, return on equity and net margins.

Net Margins Return on Equity Return on Assets
Benefitfocus Inc. -20.34% 230.60% -24.50%
Industry Average 4.93% 49.47% 9.43%

Earnings and Valuation

In next table we are contrasting Benefitfocus Inc. and its rivals’ valuation, gross revenue and net income.

Net Income Gross Revenue Price/Earnings Ratio
Benefitfocus Inc. 52.63M 258.72M 0.00
Industry Average 46.64M 946.75M 160.91

Analyst Recommendations

Table 3 shows summary of current ratings for Benefitfocus Inc. and its rivals.

Sell Ratings Hold Ratings Buy Ratings Rating Score
Benefitfocus Inc. 0 2 4 2.67
Industry Average 1.13 2.72 3.99 2.66

Benefitfocus Inc. currently has a consensus target price of $57.5, suggesting a potential upside of 24.35%. As a group, Application Software companies have a potential upside of 53.01%. Given Benefitfocus Inc.’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Benefitfocus Inc. is more favorable than its rivals.

Performance

Here are the Weekly, Monthly, Quarterly, Half Yearly, Yearly and YTD Performance of Benefitfocus Inc. and its competitors.

Performance (W) Performance (M) Performance (Q) Performance (HY) Performance (Y) Performance (YTD)
Benefitfocus Inc. -22.69% -19.48% -7.63% 3.8% 88.1% -1.47%
Industry Average 5.93% 15.92% 23.38% 22.64% 53.81% 28.94%

For the past year Benefitfocus Inc. has -1.47% weaker performance while Benefitfocus Inc.’s rivals have 28.94% stronger performance.

Liquidity

Benefitfocus Inc. has a Current Ratio of 2.9 and a Quick Ratio of 2.9. Competitively, Benefitfocus Inc.’s rivals Current Ratio is 2.45 and has 2.42 Quick Ratio. Benefitfocus Inc. has better ability to pay short and long-term obligations than Benefitfocus Inc.’s rivals.

Volatility & Risk

A beta of 1.42 shows that Benefitfocus Inc. is 42.00% more volatile than Standard and Poor’s 500. Competitively, Benefitfocus Inc.’s rivals’ beta is 1.21 which is 21.13% more volatile than Standard and Poor’s 500.

Dividends

Benefitfocus Inc. does not pay a dividend.

Benefitfocus, Inc. provides cloud-based benefits management platform for consumers, employers, insurance carriers, and brokers in the United States. It operates through Employer and Carrier segments. The companyÂ’s products for insurance carriers include Marketplaces, which are online shopping environments; eEnrollment that provides online enrollment for benefits; eBilling, an electronic invoice presentment and payment solution; eExchange, a solution for communication; eSales for carriers and brokers to organize and manage accounts, track leads, generate quotes, and create proposals for products; and Core & Advanced Analytics, a data analytics solution. Its products for employers include Benefitfocus Marketplace that streamlines online enrollment, employee communication, and benefit administration; Communication Portal, an employee engagement portal; BenefitStore, a solution for employees to avail various ancillary benefits; ACA Compliance and Reporting, a solution for employers to manage ACA compliance; and eBilling and Payment, an electronic invoice presentment and payment application. In addition, the company provides professional and customer support services, which include implementation services, such as discovery, configuration, deployment, integration, testing, training, and technical support; HR support services; and video library services. Further, it offers partner offerings, such as RedBrick Health that provides access to customizable health assessments, digital coaching, tracking, and challenges; LifeLock that allows employees to purchase identity theft protection; SAP SuccessFactors that provides employee performance management solutions; and WageWorks that supports benefits, such as health savings accounts, flexible spending accounts, health reimbursement, and other programs. The company was founded in 2000 and is headquartered in Charleston, South Carolina.