Contrasting zvelo (OTCMKTS:ZVLO) & ACI Worldwide (NASDAQ:ACIW)

ACI Worldwide (NASDAQ:ACIW) and zvelo (OTCMKTS:ZVLO) are both computer and technology companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, risk, analyst recommendations, valuation, institutional ownership, profitability and earnings.

Analyst Recommendations

This is a breakdown of recent ratings for ACI Worldwide and zvelo, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ACI Worldwide	0	3	1	0	2.25
zvelo	0	0	0	0	0.00

ACI Worldwide presently has a consensus price target of $60.00, suggesting a potential upside of 29.03%. Given ACI Worldwide’s stronger consensus rating and higher probable upside, research analysts clearly believe ACI Worldwide is more favorable than zvelo.

Volatility and Risk

ACI Worldwide has a beta of 1.14, meaning that its stock price is 14% more volatile than the S&P 500. Comparatively, zvelo has a beta of 0.23, meaning that its stock price is 77% less volatile than the S&P 500.

Institutional & Insider Ownership

94.7% of ACI Worldwide shares are owned by institutional investors. 1.0% of ACI Worldwide shares are owned by insiders. Comparatively, 5.1% of zvelo shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares ACI Worldwide and zvelo’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ACI Worldwide	14.04%	21.67%	8.45%
zvelo	N/A	N/A	N/A

Earnings and Valuation

This table compares ACI Worldwide and zvelo”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ACI Worldwide	$1.59 billion	3.07	$121.51 million	$1.92	24.22
zvelo	N/A	N/A	N/A	N/A	N/A

ACI Worldwide has higher revenue and earnings than zvelo.

Summary

ACI Worldwide beats zvelo on 9 of the 10 factors compared between the two stocks.

About ACI Worldwide

ACI Worldwide, Inc., a software company, develops, markets, installs, and supports a range of software products and solutions for facilitating digital payments in the United States and internationally. The company operates in three segments: Banks, Merchants, and Billers. The company offers ACI Acquiring, a solution to process credit, debit, and prepaid card transactions, deliver digital innovation, and fraud prevention; ACI Issuing, a digital payment issuing solution for new payment offering; and ACI Enterprise Payments Platform that provides payment processing and orchestration capabilities for digital payments. It also provides ACI Low Value Real-Time Payments, a platform for processing real-time payments; and ACI High Value Real-Time Payments, a payments engine that offers multi-bank, multi-currency, 24×7 payment processing, and SWIFT messaging. In addition, the company offers ACI Payments Orchestration Platform for optimizing payments; omni-channel payment platform; ACI Fraud Management, a real-time approach to fraud management; and ACI Speedpay, an integrated suite of digital billing, payment, disbursement, and communication services. The company offers electronic bill presentment and payment services to consumer finance, insurance, healthcare, higher education, utility, government, telecommunications, and mortgage sectors; implementation services, include product installations and configurations, and custom software modifications; and business and technical consultancy, on-site support, product education, and testing services, as well as distributes or acts as a sales agent for software developed by third parties. It markets its products under the ACI Worldwide brand. The company was formerly known as Transaction Systems Architects, Inc. and changed its name to ACI Worldwide, Inc. in July 2007. The company was founded in 1975 and is based in Elkhorn, Nebraska.

About zvelo

zvelo, Inc. provides Website content and contextual categorization, and malicious and botnet detection products. It offers Web filtering, brand safety, semantic targeting, traffic quality analysis, contextual targeting, and ad fraud prevention solutions for network security and mobile service providers, and subscriber analytics. The company was formerly known as eSoft, Inc. and changed its name to zvelo, Inc. in September 2010. zvelo, Inc. was founded in 1984 and is headquartered in Greenwood Village, Colorado.