Head-To-Head Review: Universal Electronics (NASDAQ:UEIC) versus Viscount Systems (OTCMKTS:VSYS)

Universal Electronics (NASDAQ:UEIC) and Viscount Systems (OTCMKTS:VSYS) are both computer and technology companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, valuation, institutional ownership, risk, profitability, earnings and analyst recommendations.

Institutional & Insider Ownership

79.4% of Universal Electronics shares are held by institutional investors. 10.5% of Universal Electronics shares are held by insiders. Comparatively, 91.3% of Viscount Systems shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Universal Electronics and Viscount Systems”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Universal Electronics	$394.88 million	0.14	-$24.03 million	($1.67)	-2.47
Viscount Systems	N/A	N/A	N/A	N/A	N/A

Viscount Systems has lower revenue, but higher earnings than Universal Electronics.

Analyst Ratings

This is a breakdown of recent recommendations for Universal Electronics and Viscount Systems, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Universal Electronics	1	2	0	0	1.67
Viscount Systems	0	0	0	0	0.00

Universal Electronics presently has a consensus target price of $5.75, indicating a potential upside of 39.56%. Given Universal Electronics’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Universal Electronics is more favorable than Viscount Systems.

Profitability

This table compares Universal Electronics and Viscount Systems’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Universal Electronics	-5.64%	-0.68%	-0.33%
Viscount Systems	N/A	N/A	N/A

Risk and Volatility

Universal Electronics has a beta of 1.4, indicating that its share price is 40% more volatile than the S&P 500. Comparatively, Viscount Systems has a beta of -0.32, indicating that its share price is 132% less volatile than the S&P 500.

Summary

Universal Electronics beats Viscount Systems on 5 of the 9 factors compared between the two stocks.

About Universal Electronics

Universal Electronics Inc. designs, develops, manufactures, ships, and supports control and sensor technology solutions in the United States, the People’s Republic of China, rest of Asia, Europe, Latin America, and internationally. The company offers voice-enabled automatically-programmed universal two-way radio frequency, as well as infrared remote controls to video service providers, original equipment manufacturers (OEMs), retailers, and private label customers; wall-mount and handheld thermostat controllers and connected accessories for smart energy management systems to OEM customers, hotels, hospitality, and system integrators; proprietary and standards-based RF sensors for residential security, safety, and home automation applications; and integrated circuits on which its software and universal device control database is embedded to OEMs, video service providers, and private label customers. It also provides software, firmware and technology solutions that can enable devices such as Smart TVs, hybrid set-top boxes, audio systems, smart speakers, game consoles, and other consumer electronic and smart home devices to wirelessly connect and interoperate within home networks; cloud-services that support its embedded software and hardware solutions; intellectual property that the company licenses to OEMs and video service providers; embedded and cloud-enabled software for firmware update provisioning and digital rights management validation services to consumer electronics brands; and AV accessories, including universal remote controls, television wall mounts and stands, and digital television antennas. In addition, the company QuickSet, a software application that can be embedded in entertainment or smart home platform or can be delivered as a cloud-based service, through QuickSet Cloud, to enable universal device setup, interoperability, and control. Universal Electronics Inc. was incorporated in 1986 and is based in Scottsdale, Arizona.

About Viscount Systems

Viscount Systems, Inc., through its subsidiary, Viscount Communication and Control Systems Inc., designs, manufactures, and sells access control and security products in North America. It offers intercom and physical access control systems, and emergency communications systems for various applications, including condominium/apartment building access and intercom; residential intercom; gated home/community access and intercom; seniors/government housing access, tracking, and intercom; elevator access and tracking; garage or perimeter gate control; and emergency communications. The company's principal product is the Enterphone intercom and access control system, a patented building entry control system that uses a building's internal phone wiring to allow access control for tenants, and intercom and access control between visitors and tenants. It also manufactures electronic entry access panels that can operate using the Enterphone system or dial-up telephone company lines. In addition, the company offers Enterphone iQ, a solution based on its MESH technology; MESH, a software-based building management system; Freedom, an Internet technology platform; and Liberty, a derivation of the Freedom for the smaller sized system access control market. Viscount Systems, Inc. was founded in 1969 and is headquartered in Burnaby, Canada.