Financial Review: KLDiscovery (OTCMKTS:KLDI) and EZFill (NASDAQ:EZFL)

KLDiscovery (OTCMKTS:KLDI) and EZFill (NASDAQ:EZFL) are both small-cap computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, analyst recommendations, profitability, institutional ownership, valuation, risk and dividends.

Institutional & Insider Ownership

20.4% of KLDiscovery shares are held by institutional investors. Comparatively, 10.6% of EZFill shares are held by institutional investors. 30.7% of KLDiscovery shares are held by company insiders. Comparatively, 14.6% of EZFill shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for KLDiscovery and EZFill, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
KLDiscovery	0	0	0	0	N/A
EZFill	0	0	0	0	N/A

Volatility and Risk

KLDiscovery has a beta of -0.46, suggesting that its stock price is 146% less volatile than the S&P 500. Comparatively, EZFill has a beta of -0.43, suggesting that its stock price is 143% less volatile than the S&P 500.

Valuation and Earnings

This table compares KLDiscovery and EZFill’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
KLDiscovery	$345.80 million	0.01	-$34.81 million	($1.09)	-0.09
EZFill	$23.22 million	0.50	-$10.47 million	($2.51)	-0.96

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

Profitability

This table compares KLDiscovery and EZFill’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
KLDiscovery	-14.07%	-607.40%	-7.72%
EZFill	-40.77%	-1,135.13%	-159.25%

Summary

KLDiscovery beats EZFill on 8 of the 11 factors compared between the two stocks.

About KLDiscovery

KLDiscovery Inc. provides eDiscovery, information governance, and data recovery solutions to corporations, law firms, insurance companies, and individuals worldwide. The company offers Nebula, an end-to-end eDiscovery solution that facilitates smarter ways to cull, process, review, and manage documents in an intuitive interface; Client Portal for consolidated visualizations and reporting for portfolio intelligence; KLD Processing, a proprietary processing application; ReadySuite to perform extensive QC on a production, normalize inbound submissions, or spot check the work of a colleague or supplier; Relativity for relativity enhancements and state-of-the-art HIVE infrastructure; Nebula Processing to process data with a higher degree of quality; and Nebula AI, a technology assisted review tool combined with a deep bench of experts, as well as managed services, remote document review, and managed document review services. It also provides computer forensics, ransomware data recovery, remote collection manager, data recovery, and data collection services. In addition, the company offers Nebula Archive, an advanced archiving solution for modern enterprise data management needs at scale; Nebula Intelligent Archive, a digital communications compliance platform with machine learning and analytics; and Office 365 Migration and Management, as well as information governance and advisory services. Further, it provides Ontrack EasyRecovery that allows clients to perform precise file recovery of data lost through deletion, reformatting, and various other data loss scenarios; Ontrack PowerControls, a granular restore software product; email extraction, tape solutions, and data destruction solutions; and professional services. KLDiscovery Inc. was founded in 1985 and is headquartered in Eden Prairie, Minnesota.

About EZFill

EZFill Holdings Inc. operates as a mobile fueling company primarily in Florida. It offers on-demand fueling services to consumer, fleet, marine, and other specialty markets. The company was incorporated in 2019 and is based in Miami, Florida.