Comparing Couchbase (NASDAQ:BASE) & Amplitude (NASDAQ:AMPL)

Amplitude (NASDAQ:AMPL) and Couchbase (NASDAQ:BASE) are both small-cap business services companies, but which is the superior stock? We will compare the two companies based on the strength of their profitability, valuation, earnings, analyst recommendations, dividends, institutional ownership and risk.

Valuation & Earnings

This table compares Amplitude and Couchbase”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Amplitude	$292.54 million	3.41	-$90.36 million	($0.67)	-15.75
Couchbase	$204.63 million	3.99	-$80.18 million	($1.60)	-9.74

Couchbase has lower revenue, but higher earnings than Amplitude. Amplitude is trading at a lower price-to-earnings ratio than Couchbase, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Amplitude and Couchbase’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Amplitude	-27.44%	-27.40%	-18.05%
Couchbase	-39.31%	-57.22%	-30.94%

Institutional & Insider Ownership

73.2% of Amplitude shares are owned by institutional investors. Comparatively, 96.1% of Couchbase shares are owned by institutional investors. 4.8% of Amplitude shares are owned by insiders. Comparatively, 16.1% of Couchbase shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings for Amplitude and Couchbase, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Amplitude	1	5	1	0	2.00
Couchbase	1	2	13	0	2.75

Amplitude presently has a consensus price target of $11.57, suggesting a potential upside of 9.68%. Couchbase has a consensus price target of $23.13, suggesting a potential upside of 48.33%. Given Couchbase’s stronger consensus rating and higher possible upside, analysts clearly believe Couchbase is more favorable than Amplitude.

Volatility & Risk

Amplitude has a beta of 1.38, indicating that its share price is 38% more volatile than the S&P 500. Comparatively, Couchbase has a beta of 0.71, indicating that its share price is 29% less volatile than the S&P 500.

Summary

Couchbase beats Amplitude on 8 of the 14 factors compared between the two stocks.

About Amplitude

Amplitude, Inc., together with its subsidiaries, provides a digital analytics platform that analyzes customer behavior in the United States and internationally. It offers Amplitude Analytics, which provides real-time product data and reconstructed user visits; Amplitude Experiment, a solution that allows teams to test new capabilities and safely roll out new features; Amplitude CDP, an insight-driven solution that encompasses the data infrastructure, audience management, and data streaming capabilities; and Amplitude Session Replay used by product, marketing, and data teams to understand user behavior, diagnose product issues, and improve product outcomes. The company also provides customer support services related to initial implementation setup, ongoing support, and application training. It delivers its application over the Internet as a subscription service using a software-as-a-service model. The company was formerly known as Sonalight, Inc. and changed its name to Amplitude, Inc. in December 2014. Amplitude, Inc. was incorporated in 2011 and is headquartered in San Francisco, California.

About Couchbase

Couchbase, Inc. provides cloud database platform for enterprise applications in the United States and internationally. Its database works in multiple configurations, ranging from cloud to multi- or hybrid-cloud to on-premise environments to the edge. The company offers Couchbase Capella, an automated and secure Database-as-a-Service that simplifies database management by deploying, managing, and operating Couchbase Server across cloud environments; and Couchbase Server, a multi-service NoSQL database, which provides SQL-compatible query language and SQL++ that allows for a various array of data manipulation functions. It also provides Couchbase Mobile, an embedded NoSQL database for mobile and edge devices that enables an always-on experience with high data availability, even without internet connectivity, as well as synchronization gateway that allows for secure data sync between mobile devices and the backend data store. The company sells its platform through direct sales force and an ecosystem of partners. It serves governments and organizations, as well as enterprises in various industries, including retail and e-commerce, travel and hospitality, financial services and insurance, software and technology, gaming, media and entertainment, and industrials. The company was formerly known as Membase, Inc. and changed its name to Couchbase, Inc. in February 2011. Couchbase, Inc. was incorporated in 2008 and is headquartered in Santa Clara, California.