Because the Software-as-a-Service (SaaS) market is booming with the ongoing digital transformation and heightened remote activities, we think that some prominent companies in this space, for example Dropbox (NASDAQ:DBX) and Verb Technology (VERB), should see increasing demand for their solutions. But which of these two stocks is a better buy now? Read more to find out.Dropbox, Inc. (DBX) in San Francisco provides a collaboration platform worldwide, enabling users to create, access, organize, share, collaborate, and secure content. Its solutions include Dropbox paper, Dropbox Smart Sync, and Dropbox Showcase. Verb Technology Company, Inc. (NASDAQ:VERB), in comparison, develops a Software-as-a-Service (SaaS) applications platform, and it offers verbCRM, verbTEAMS, verbLEARN, and verbLIVE. VERB is based in American Fork, Utah.
Despite increasing threats to data security, especially on cloud-based platforms, the SaaS market is expected to grow exponentially in the coming months on growing demand from almost every industry as part of broad digital transformation efforts by industry and a continuation of remote working. According to a Research and Markets report, the global SaaS market is expected to grow at a 10% CAGR between 2021 and 2023. So, both DBX and VERB should benefit from the growing market.
VERB has gained 109.8% over the past year, while DBX returned 44.5%. Also, VERB’s 76.7% gains over the past three months are significantly higher than DBX’s 16.1% returns. Moreover, in terms of the past month’s performance, VERB is the clear winner with 80.8% gains versus DBX’s 2.1%.