Analyzing Weave Communications (NYSE:WEAV) & Destiny Media Technologies (OTCMKTS:DSNY)

Destiny Media Technologies (OTCMKTS:DSNY) and Weave Communications (NYSE:WEAV) are both small-cap computer and technology companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, profitability, risk, valuation, analyst recommendations, institutional ownership and dividends.

Insider & Institutional Ownership

86.8% of Weave Communications shares are owned by institutional investors. 15.5% of Destiny Media Technologies shares are owned by company insiders. Comparatively, 36.3% of Weave Communications shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Volatility & Risk

Destiny Media Technologies has a beta of 1.03, suggesting that its share price is 3% more volatile than the S&P 500. Comparatively, Weave Communications has a beta of 2.23, suggesting that its share price is 123% more volatile than the S&P 500.

Profitability

This table compares Destiny Media Technologies and Weave Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Destiny Media Technologies	4.65%	5.74%	5.11%
Weave Communications	-17.06%	-31.24%	-11.96%

Valuation & Earnings

This table compares Destiny Media Technologies and Weave Communications’ top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Destiny Media Technologies	$4.03 million	2.66	$340,000.00	$0.01	109.11
Weave Communications	$170.47 million	3.75	-$31.03 million	($0.43)	-20.94

Destiny Media Technologies has higher earnings, but lower revenue than Weave Communications. Weave Communications is trading at a lower price-to-earnings ratio than Destiny Media Technologies, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current recommendations for Destiny Media Technologies and Weave Communications, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Destiny Media Technologies	0	0	0	0	N/A
Weave Communications	0	2	3	1	2.83

Weave Communications has a consensus price target of $14.00, suggesting a potential upside of 55.47%. Given Weave Communications’ higher possible upside, analysts clearly believe Weave Communications is more favorable than Destiny Media Technologies.

Summary

Weave Communications beats Destiny Media Technologies on 8 of the 14 factors compared between the two stocks.

About Destiny Media Technologies

Destiny Media Technologies Inc. develops technologies that enable the distribution of digital media files in a streaming or digital download format over the Internet. It offers Play MPE, an online platform that distributes promotional content, including broadcast quality audio, video, images, promotional information, and other digital content from record labels and artists to broadcasting professionals, music curators, and music reviewers to discover, download, broadcast, and review the content; Play MPE CASTER; Play MPE Quickshare provides a distribution tool for Play MPE customers to promote music; and Play MPE Player for music curators to review and download content through cloud-based player and mobile apps. The company also provides Music Tracking Radar, a digital tracking service that tracks and reports the number and times customers track is played; Clipstream, an online video platform for encoding, hosting, and reporting on video playback that can be embedded in third party websites or emails; and playback through its JavaScript codec engine. It markets and sells its products in the United States, Canada, Europe, Asia, South America, Africa, and Australia. The company was founded in 1991 and is based in Vancouver, Canada.

About Weave Communications

Weave Communications, Inc. provides a customer experience and payments software platform in the United States and Canada. Its platform enables small and medium-sized healthcare businesses to maximize the value of their patient interactions and minimize the time and effort spent on manual or mundane tasks. The company's products include Unified Phone Number; Customized Phone System, a smarter phone system to identify whether incoming calls are from new or current patients, provide information at every call, and manages heavy call times; Softphones to make and receive calls from anywhere with an internet connection; Text Messaging to communicate with patients; Missed Call Text to take action in real time upon notification of a missed call; Missed Text Auto-Reply; Team Chat, a group messaging solution that helps practitioners and their staff communicate with each other from their work stations; and Weave Mobile App; It also offers Weave Reviews and Respond Assistant to request, collect, monitor, and respond to reviews; Weave Email Marketing and Email Assistant; Text Connect to interact with their existing and potential patients online directly through their websites; Weave Payments, a payment processing solution; Practice Analytics provides real-time data on patient retention, appointment scheduling, treatment acceptance rates, and revenue generation; and Call Intelligence. In addition, the company provides Digital Forms to collect patient information; Insurance Verification that provides patient insurance plan details; and Scheduling to send automatic scheduling reminders through text message. It serves customers in dental, optometry, veterinary, medical, plastic surgery, physical therapy, medical spa, and other medical specialty industries. The company was formerly known as Recall Solutions, LLC and changed its name to Weave Communications, Inc. in October 2015. Weave Communications, Inc. was founded in 2008 and is headquartered in Lehi, Utah.