Contrasting eBay (NASDAQ:EBAY) & DynTek (OTCMKTS:DYNE)

eBay (NASDAQ:EBAY) and DynTek (OTCMKTS:DYNE) are both retail/wholesale companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, risk, earnings, profitability, dividends, valuation and analyst recommendations.

Earnings and Valuation

This table compares eBay and DynTek”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
eBay	$10.31 billion	3.09	$2.77 billion	$4.20	16.47
DynTek	N/A	N/A	N/A	N/A	N/A

eBay has higher revenue and earnings than DynTek.

Profitability

This table compares eBay and DynTek’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
eBay	19.68%	30.97%	8.78%
DynTek	N/A	N/A	N/A

Analyst Ratings

This is a summary of current recommendations and price targets for eBay and DynTek, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
eBay	2	17	9	1	2.31
DynTek	0	0	0	0	0.00

eBay currently has a consensus target price of $67.42, suggesting a potential downside of 2.53%. Given eBay’s stronger consensus rating and higher possible upside, equities research analysts plainly believe eBay is more favorable than DynTek.

Institutional & Insider Ownership

87.5% of eBay shares are held by institutional investors. 0.4% of eBay shares are held by company insiders. Comparatively, 4.5% of DynTek shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

eBay beats DynTek on 9 of the 10 factors compared between the two stocks.

About eBay

eBay Inc., together with its subsidiaries, operates marketplace platforms that connect buyers and sellers in the United States, the United Kingdom, China, Germany, and internationally. The company’s marketplace platform includes its online marketplace at ebay.com, off-platform businesses, and the eBay suite of mobile apps. Its platforms enable users to list, sell, and buy various products. The company was founded in 1995 and is headquartered in San Jose, California.

About DynTek

DynTek, Inc. provides professional information technology services to mid-market commercial businesses, state and local government agencies, and educational institutions. It offers infrastructure and data center solutions, including advanced networking, security, server virtualization, and servers and storage solutions; and Microsoft platform solutions comprising management and virtualization, messaging, communications, desktop, data platform, identity and security, portals and collaboration, and midmarket solutions. The company also provides endpoint computing solutions, such as desktop and application, application and desktop virtualization, and desktop management solutions; and talent acquisition and staff augmentation solutions. In addition, it engages in value-added resale of hardware and software products. The company was formerly known as TekInsight, Inc. and changed its name to DynTek, Inc. in December 2001. DynTek, Inc. was founded in 1989 and is headquartered in Newport Beach, California.