LRAD (NASDAQ:GNSS) and Technicolor (OTCMKTS:TCLRY) are both small-cap consumer discretionary companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, earnings, valuation, institutional ownership, profitability, risk and analyst recommendations.

Institutional & Insider Ownership

50.3% of LRAD shares are owned by institutional investors. 4.8% of LRAD shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares LRAD and Technicolor’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
LRAD 6.63% 6.81% 5.45%
Technicolor N/A N/A N/A

Earnings & Valuation

This table compares LRAD and Technicolor’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
LRAD $36.98 million 2.94 $2.79 million $0.08 41.13
Technicolor $4.71 billion 0.07 -$80.31 million ($0.64) -1.17

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

Analyst Recommendations

This is a summary of recent recommendations and price targets for LRAD and Technicolor, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
LRAD 0 0 1 0 3.00
Technicolor 0 0 0 0 N/A

LRAD currently has a consensus price target of $5.00, indicating a potential upside of 51.98%. Given LRAD’s higher possible upside, equities research analysts plainly believe LRAD is more favorable than Technicolor.

Risk and Volatility

LRAD has a beta of 0.31, meaning that its share price is 69% less volatile than the S&P 500. Comparatively, Technicolor has a beta of 0.84, meaning that its share price is 16% less volatile than the S&P 500.

Summary

LRAD beats Technicolor on 11 of the 13 factors compared between the two stocks.

Technicolor Company Profile

Technicolor SA provides various communication and video technologies, finished products, systems, equipment, and services for businesses and professionals in the entertainment and media industries worldwide. It operates through two segments, Entertainment Services, and Connected Home. The Entertainment Services segment provides production services, such as digital video and sound postproduction services; visual effects and animation services for feature films, TV series, advertising, and video games; computer generated imagery animation services; on-set, color correction, VFX integration, and sound services; and replicates, packages, and distributes video, game and music DVD, Blu-ray, and CD discs, as well as offers turnkey integrated supply-chain solutions. This segment serves film studios, TV broadcasters, independent content producers, game developers/publishers, and OTT service providers. The Connected Home segment designs and supplies set-top boxes, broadband modems and gateways, and Internet of Things connected devices, as well as multi-device communication software, smart home applications, and related professional services. This segment offers its solutions to Pay-TV operators and network service providers. Technicolor SA was founded in 1953 and is headquartered in Issy-les-Moulineaux, France.

Receive News & Ratings for LRAD Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for LRAD and related companies with MarketBeat.com's FREE daily email newsletter.