Hitek Global (NASDAQ:HKIT) & DocuSign (NASDAQ:DOCU) Head to Head Analysis

DocuSign (NASDAQ:DOCU) and Hitek Global (NASDAQ:HKIT) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, dividends, institutional ownership, earnings, profitability, valuation and risk.

Insider and Institutional Ownership

77.6% of DocuSign shares are owned by institutional investors. Comparatively, 1.2% of Hitek Global shares are owned by institutional investors. 1.7% of DocuSign shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares DocuSign and Hitek Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
DocuSign	34.73%	14.90%	6.90%
Hitek Global	N/A	N/A	N/A

Risk and Volatility

DocuSign has a beta of 1.02, suggesting that its share price is 2% more volatile than the S&P 500. Comparatively, Hitek Global has a beta of 1.67, suggesting that its share price is 67% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and price targets for DocuSign and Hitek Global, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
DocuSign	3	7	3	0	2.00
Hitek Global	0	0	0	0	0.00

DocuSign presently has a consensus target price of $92.45, indicating a potential upside of 15.90%. Given DocuSign’s stronger consensus rating and higher probable upside, equities analysts clearly believe DocuSign is more favorable than Hitek Global.

Valuation & Earnings

This table compares DocuSign and Hitek Global”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
DocuSign	$2.91 billion	5.53	$73.98 million	$4.85	16.45
Hitek Global	$3.45 million	5.13	$1.05 million	N/A	N/A

DocuSign has higher revenue and earnings than Hitek Global.

Summary

DocuSign beats Hitek Global on 11 of the 12 factors compared between the two stocks.

About DocuSign

DocuSign, Inc. provides electronic signature solution in the United States and internationally. The company provides e-signature solution that enables sending and signing of agreements on various devices; Contract Lifecycle Management (CLM), which automates workflows across the entire agreement process; Document Generation streamlines the process of generating new, custom agreements; and Gen for Salesforce, which allows sales representatives to automatically generate agreements with a few clicks from within Salesforce. It also provides Identify, a signer-identification option for checking government-issued IDs; Standards-Based Signatures, which support signatures that involve digital certificates; Monitor that uses advanced analytics to track DocuSign eSignature web, mobile, and API account; Notary which enables notaries public to conduct remote online notarization transactions; and Web Forms, a web forms that quickly draft agreements using pre-populated data from completed forms or external systems via APIs. In addition, the company offers Rooms for Real Estate that provides a way for brokers and agents to manage the entire real estate transaction digitally. Signature and CLM are FedRAMP, an authorized version of DocuSign eSignature for U.S. federal government agencies; and life sciences modules that support compliance with the electronic signature practices. The company sells its products through direct and partner-assisted sales, and digital self-service purchasing. DocuSign, Inc. was incorporated in 2003 and is headquartered in San Francisco, California.

About Hitek Global

Hitek Global Inc. provides information technology (IT) consulting and solutions to small and medium businesses in various industry sectors in China. It offers anti-counterfeiting tax control system (ACTCS) tax devices, including golden tax disk and printers, ACTCS services, and IT services; and sells software and hardware to large businesses, such as laptops, printers, desktop computers, and related accessories, as well as Internet servers, cameras, and monitors. The company was founded in 1996 and is headquartered in Xiamen, China.