Amdocs Limited (DOX) vs Netskope Inc. (NTSK)

Amdocs Limited and Netskope Inc. are both Software Infrastructure companies. Netskope Inc. is the larger, with a market value of $7.6B against $6.2B — 1.2× the size. Netskope Inc. has negative trailing earnings, so its P/E is not meaningful; Amdocs Limited trades at 13.7×. Amdocs Limited has the higher net margin (9.56% vs −91.8%) and the higher return on invested capital (9.39% vs 0.00%). Across the 16 metrics below, Amdocs Limited leads on 13 and Netskope Inc. on 3.

Valuation

Metric DOX NTSK Software Infrastructure median
P/E 13.67 n/m 28.02
P/S 1.28 8.92 3.07
P/B 1.79 45.65 3.36
Price to free cash flow 9.34 n/m 17.12
EV/EBITDA 8.17 n/m 14.91
EV/Sales 1.46 8.46 3.03
Earnings yield 7.32% (14.43%) 0.13%
Free cash flow yield 10.71% (1.04%) 1.15%

Profitability

Metric DOX NTSK Software Infrastructure median
Gross margin 38.28% 69.92% 61.23%
Operating margin 13.47% (94.66%) 0.00%
Net margin 9.56% (91.84%) 0.00%
Free cash flow margin 13.73% (9.31%) 1.67%
Return on equity 12.95% 106.88% 0.59%
Return on assets 6.98% (86.11%) 0.00%
Return on invested capital 9.39% 0.00% 0.00%

Growth

Metric DOX NTSK Software Infrastructure median
Revenue growth (TTM) 0.14% — 13.41%
EPS growth (last fiscal year) 18.82% 12.64% —
Revenue growth, 5-year CAGR 1.69% — 15.81%
Net income growth, 5-year CAGR 2.32% — 0.00%

Health

Metric DOX NTSK Software Infrastructure median
Debt to equity 0.32 4.45 0.06
Current ratio 0.94 2.01 1.55
Net debt to EBITDA 0.50 0.79 0.08

Dividend

Metric DOX NTSK Software Infrastructure median
Dividend yield 1.98% — 1.53%
Payout ratio 0.36 — 0.00

Size

Metric DOX NTSK Software Infrastructure median
Market cap 6.22b 7.60b 835.96m

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