Critical Contrast: Next Technology (NASDAQ:NXTT) versus E2open Parent (NYSE:ETWO)

E2open Parent (NYSE:ETWO) and Next Technology (NASDAQ:NXTT) are both small-cap computer and technology companies, but which is the superior investment? We will compare the two companies based on the strength of their analyst recommendations, earnings, institutional ownership, valuation, profitability, risk and dividends.

Valuation & Earnings

This table compares E2open Parent and Next Technology”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
E2open Parent	$613.46 million	1.12	-$1.07 billion	($1.49)	-1.35
Next Technology	$1.80 million	60.35	-$9.92 million	N/A	N/A

Next Technology has lower revenue, but higher earnings than E2open Parent.

Risk and Volatility

E2open Parent has a beta of 1.04, meaning that its share price is 4% more volatile than the S&P 500. Comparatively, Next Technology has a beta of 3.34, meaning that its share price is 234% more volatile than the S&P 500.

Insider & Institutional Ownership

2.7% of Next Technology shares are owned by institutional investors. 4.7% of E2open Parent shares are owned by insiders. Comparatively, 37.5% of Next Technology shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares E2open Parent and Next Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
E2open Parent	-74.63%	4.38%	2.12%
Next Technology	N/A	54.87%	50.18%

Analyst Recommendations

This is a breakdown of current ratings for E2open Parent and Next Technology, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
E2open Parent	1	3	0	0	1.75
Next Technology	0	0	0	0	0.00

E2open Parent currently has a consensus target price of $3.13, indicating a potential upside of 55.86%. Given E2open Parent’s stronger consensus rating and higher possible upside, equities analysts plainly believe E2open Parent is more favorable than Next Technology.

Summary

Next Technology beats E2open Parent on 8 of the 11 factors compared between the two stocks.

About E2open Parent

E2open Parent Holdings, Inc. provides cloud-based and end-to-end supply chain management and orchestration SaaS platform in the Americas, Europe, and the Asia Pacific. Its SaaS platform includes various key strategic and operational areas, including omni-channel, demand sensing, supply planning, global trade management, transportation and logistics and manufacturing and supply management. The company's software combines networks, data, and applications to provide a deeply embedded and mission-critical platform that allows its clients to optimize their channel and supply chains. It serves consumer goods, food and beverage, manufacturing, retail, industrial and automotive, aerospace and defense, technology and transportation, and other industries. The company was incorporated in 2020 and is headquartered in Austin, Texas.

About Next Technology

Next Technology Holding Inc. provides technical services and solutions through its social e-commerce platform primarily in Mainland China. It offers YCloud, a micro-business cloud intelligent internationalization system that conducts multi-channel data analysis through the learning of big data and social recommendation relationships, as well as provides users with AI fission and management systems, and supply chain systems. The company’s YCloud system also provides micro-business owners with various payment methods, such as Alipay, WeChat, and UnionPay. In addition, it offers chatGPT technical services; and technical system support, software development, and services. The company serves individual and corporate users in the micro business industry. It also has operations in Hong Kong and Singapore. The company was formerly known as WeTrade Group, Inc. and changed its name to Next Technology Holding Inc in April 2024. Next Technology Holding Inc. was incorporated in 2019 and is headquartered in Beijing, the People Republic of China.