Gauzy (NASDAQ:GAUZ) versus Research Frontiers (NASDAQ:REFR) Head-To-Head Comparison

Gauzy (NASDAQ:GAUZ) and Research Frontiers (NASDAQ:REFR) are both small-cap computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, risk, earnings, valuation, analyst recommendations, dividends and institutional ownership.

Profitability

This table compares Gauzy and Research Frontiers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gauzy	-39.63%	-93.64%	-27.62%
Research Frontiers	-153.95%	-90.72%	-54.95%

Risk & Volatility

Gauzy has a beta of -0.15, indicating that its stock price is 115% less volatile than the S&P 500. Comparatively, Research Frontiers has a beta of 0.27, indicating that its stock price is 73% less volatile than the S&P 500.

Insider and Institutional Ownership

11.9% of Research Frontiers shares are held by institutional investors. 6.5% of Research Frontiers shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Gauzy and Research Frontiers”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gauzy	$103.53 million	0.21	-$53.18 million	($2.05)	-0.56
Research Frontiers	$1.34 million	37.17	-$1.31 million	($0.06)	-24.67

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

Analyst Recommendations

This is a summary of current recommendations and price targets for Gauzy and Research Frontiers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gauzy	1	2	2	0	2.20
Research Frontiers	1	0	0	0	1.00

Gauzy currently has a consensus target price of $11.00, suggesting a potential upside of 864.91%. Given Gauzy’s stronger consensus rating and higher possible upside, equities analysts plainly believe Gauzy is more favorable than Research Frontiers.

About Gauzy

Gauzy Ltd. is a fully-integrated light and vision control company which focused on the research, development, manufacturing and marketing of vision and light control technologies. It operates principally in Germany, France, the United States, Canada, China, Singapore and Dubai. Gauzy Ltd. is headquartered in Tel Aviv, Israel.

About Research Frontiers

Research Frontiers Incorporated engages in the development and marketing of technology and devices to control the flow of light worldwide. It develops and licenses suspended particle device (SPD-Smart) light-control technology to companies that manufacture and market the SPD-Smart chemical emulsion, light-control film made from the chemical emulsion, the light-control panels made by laminating the film, and electronics to power end-products incorporating the film, as well as lamination services for and the end-products, such as windows, skylights, and sunroofs. The company's SPD-Smart light-control technology is used in various product applications, including windows, sunshades, skylights, and interior partitions for homes and buildings; automotive windows, sunroofs, sun-visors, sunshades, rear-view mirrors, instrument panels, and navigation systems; aircraft windows; museum display panels, and eyewear products; and flat panel displays for electronic products. It serves architectural, automotive, marine, and aerospace and appliance applications. The company was incorporated in 1965 and is headquartered in Woodbury, New York.