Head to Head Contrast: Workday (NASDAQ:WDAY) vs. SMC Entertainment (OTCMKTS:SMCE)

SMC Entertainment (OTCMKTS:SMCE) and Workday (NASDAQ:WDAY) are both consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, risk, dividends, institutional ownership, earnings, profitability and valuation.

Volatility & Risk

SMC Entertainment has a beta of 0.45, suggesting that its share price is 55% less volatile than the S&P 500. Comparatively, Workday has a beta of 1.35, suggesting that its share price is 35% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for SMC Entertainment and Workday, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SMC Entertainment	0	0	0	0	0.00
Workday	0	7	21	0	2.75

Workday has a consensus target price of $292.25, suggesting a potential upside of 5.82%. Given Workday’s stronger consensus rating and higher probable upside, analysts clearly believe Workday is more favorable than SMC Entertainment.

Profitability

This table compares SMC Entertainment and Workday’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SMC Entertainment	N/A	N/A	-5,893.58%
Workday	19.86%	6.13%	3.13%

Earnings & Valuation

This table compares SMC Entertainment and Workday”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SMC Entertainment	N/A	N/A	-$1.56 million	($0.01)	-0.29
Workday	$7.26 billion	10.12	$1.38 billion	$6.03	45.80

Workday has higher revenue and earnings than SMC Entertainment. SMC Entertainment is trading at a lower price-to-earnings ratio than Workday, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

89.8% of Workday shares are held by institutional investors. 41.2% of SMC Entertainment shares are held by insiders. Comparatively, 20.0% of Workday shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Workday beats SMC Entertainment on 12 of the 13 factors compared between the two stocks.

About SMC Entertainment

SMC Entertainment, Inc. focuses on the acquisition and support of financial technology companies in the United States. The company develops and provides technology that combines artificial intelligence (AI) /machine learning (ML) driven Quantitative investing (IQ Engine) with AI-enabled wealth management tools; and offers IQ Engine, an AI driven contextual analyzer that creates a repository of various equity research. It markets a software-as-a-service (SaaS) proprietary platform for certified public accountants, financial institutions, and registered investment advisors. The company was formerly known as SMC Recordings, Inc. and changed its name to SMC Entertainment, Inc. in May 2011. SMC Entertainment, Inc. was incorporated in 1998 and is based in Boca Raton, Florida.

About Workday

Workday, Inc. provides enterprise cloud applications in the United States and internationally. Its applications help its customers to plan, execute, analyze, and extend to other applications and environments to manage their business and operations. The company offers a suite of financial management applications to maintain accounting information in the general ledger; manage financial processes, such as payables and receivables; identify real-time financial, operational, and management insights; enhance financial consolidation; reduce time-to-close; promote internal control and auditability; and achieve consistency across finance operations. It also provides spend management solutions that help organizations to streamline supplier selection and contracts, manage indirect spend, and build and execute sourcing events, such as requests for proposals; expense management solutions to submit and approve expenses; and a suite of human capital management applications that enables HR teams to hire, onboard, pay, develop, reskill, and provide employee experiences. In addition, the company offers planning applications; and applications for analytics and reporting comprising augmented analytics to surface insights to the line of business in simple-to-understand stories, machine learning to drive efficiency and automation, and benchmarks to compare performance against other companies. Further, it provides supply chain and inventory solutions to healthcare organizations; solutions to manage the end-to-end student and faculty lifecycle; and Workday Extend for customers and their developers to build custom applications. It serves professional and business services, financial services, healthcare, education, government, technology, media, retail, and hospitality industries. The company was formerly known as North Tahoe Power Tools, Inc. and changed its name to Workday, Inc. in July 2005. Workday, Inc. was incorporated in 2005 and is headquartered in Pleasanton, California.