T Stamp (NASDAQ:IDAI) versus Grid Dynamics (NASDAQ:GDYN) Financial Contrast

Grid Dynamics (NASDAQ:GDYN) and T Stamp (NASDAQ:IDAI) are both small-cap computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, valuation, institutional ownership, analyst recommendations, earnings, risk and profitability.

Volatility & Risk

Grid Dynamics has a beta of 0.82, suggesting that its stock price is 18% less volatile than the S&P 500. Comparatively, T Stamp has a beta of 0.7, suggesting that its stock price is 30% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Grid Dynamics and T Stamp, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grid Dynamics	0	2	3	0	2.60
T Stamp	0	0	1	0	3.00

Grid Dynamics presently has a consensus price target of $11.33, suggesting a potential upside of 27.92%. T Stamp has a consensus price target of $12.00, suggesting a potential upside of 211.28%. Given T Stamp’s stronger consensus rating and higher possible upside, analysts clearly believe T Stamp is more favorable than Grid Dynamics.

Profitability

This table compares Grid Dynamics and T Stamp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Grid Dynamics	3.42%	1.74%	1.52%
T Stamp	-316.25%	-290.04%	-147.07%

Insider & Institutional Ownership

71.2% of Grid Dynamics shares are held by institutional investors. Comparatively, 16.3% of T Stamp shares are held by institutional investors. 6.5% of Grid Dynamics shares are held by insiders. Comparatively, 1.4% of T Stamp shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Grid Dynamics and T Stamp”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Grid Dynamics	$350.57 million	2.14	$4.04 million	$0.15	59.07
T Stamp	$3.08 million	6.56	-$10.60 million	($2.30)	-1.68

Grid Dynamics has higher revenue and earnings than T Stamp. T Stamp is trading at a lower price-to-earnings ratio than Grid Dynamics, indicating that it is currently the more affordable of the two stocks.

Summary

Grid Dynamics beats T Stamp on 11 of the 14 factors compared between the two stocks.

About Grid Dynamics

Grid Dynamics Holdings, Inc., together with its subsidiaries, provides technology consulting, platform and product engineering, and analytics services in North America, Europe, and internationally. It offers cloud platform and product engineering services, such as architecting, designing, and building scalable and secure cloud-based platforms and business applications; and AI/machine learning and data platform engineering services that build platforms to facilitate batch and streaming data ingestion, quality governance, orchestration, semantic modeling, observability, and analysis at scale. The company provides digital engagement services, including digital ecosystem design and implementation; and supply chain, Internet of Thing, and advanced manufacturing, which focuses on transforming traditional operations into smart and connected ecosystems. It serves customers that operate in the tech, media, telecommunications, retail, consumer packaged goods, manufacturing, and finance industries. The company was formerly known as ChaSerg Technology Acquisition Corp. and changed its name to Grid Dynamics Holdings, Inc. Grid Dynamics Holdings, Inc. was founded in 2006 and is headquartered in San Ramon, California.

About T Stamp

T Stamp Inc. develops and markets identity authentication software solutions for government and enterprise partners, and peer-to-peer markets worldwide. It develops proprietary artificial intelligence-powered solutions, researching and leveraging machine learning, artificial intelligence, biometric science, cryptography, and data mining to deliver insightful identity and trust predictions that identify and defend against fraudulent identity attacks, protect sensitive user information, and extend the reach of digital services through global accessibility. It uses the Irreversibly Transformed Identity Token technology combined with a data architecture that can use one or multiple sources of biometric or other identifying data. The company also offers solutions for privacy and data protection, biometric multi-factor authentication, document validation, identity verification, geolocation, duplicate detection, age estimation, and biometric capture, as well as crypto security and compliance, and trusted message. It serves banking/fintech; humanitarian and development services; cryptocurrency and digital assets; biometrically secured email and digital communication; KYC/AML compliance; government and law enforcement; P2P transactions, social media, and sharing economy; and real estate, travel, and healthcare industries. T Stamp Inc. was incorporated in 2016 and is headquartered in Atlanta, Georgia.