Comparing ASUSTeK Computer (OTCMKTS:ASUUY) and CPI Card Group (NASDAQ:PMTS)

ASUSTeK Computer (OTCMKTS:ASUUY) and CPI Card Group (NASDAQ:PMTS) are both technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, analyst recommendations, valuation, profitability, risk, dividends and earnings.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for ASUSTeK Computer and CPI Card Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ASUSTeK Computer	0	1	0	0	2.00
CPI Card Group	0	2	4	0	2.67

CPI Card Group has a consensus target price of $27.50, suggesting a potential upside of 26.23%. Given CPI Card Group’s stronger consensus rating and higher possible upside, analysts clearly believe CPI Card Group is more favorable than ASUSTeK Computer.

Institutional and Insider Ownership

0.1% of ASUSTeK Computer shares are owned by institutional investors. Comparatively, 22.1% of CPI Card Group shares are owned by institutional investors. 5.8% of CPI Card Group shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares ASUSTeK Computer and CPI Card Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ASUSTeK Computer	N/A	N/A	N/A
CPI Card Group	2.15%	-92.16%	4.97%

Valuation and Earnings

This table compares ASUSTeK Computer and CPI Card Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ASUSTeK Computer	N/A	N/A	N/A	$138.20	0.78
CPI Card Group	$543.53 million	0.46	$14.95 million	$1.02	21.36

CPI Card Group has higher revenue and earnings than ASUSTeK Computer. ASUSTeK Computer is trading at a lower price-to-earnings ratio than CPI Card Group, indicating that it is currently the more affordable of the two stocks.

Summary

CPI Card Group beats ASUSTeK Computer on 9 of the 11 factors compared between the two stocks.

About ASUSTeK Computer

ASUSTeK Computer Inc. researches and develops, designs, manufactures, sells, and repairs computers, communications, and consumer electronic products in Taiwan, China, Singapore, Europe, the United States, and internationally. The company offers Internet information services; maintenance and operating services for information hardware; services information technology and communication products; and leases real estate property. It provides ink-jet print heads and digital image output technology, high-speed analog circuits, integrated circuits, industrial and medical computers, interface cards, and medical robots; invests in computer peripheral, Internet service, and automotive electronics businesses; and researches, develops, sells, and consults information system software; provides marketing support and repair services for medical computers and peripherals. ASUSTeK Computer Inc. was founded in 1989 and is headquartered in Taipei, Taiwan.

About CPI Card Group

CPI Card Group Inc., together with its subsidiaries, engages in the design, production, data personalization, packaging, and fulfillment of financial payment cards. It operates through Debit and Credit, and Prepaid Debit segments. The Debit and Credit segment produces financial payment cards and provides integrated card services to card-issuing financial institutions. Its products include Europay, Mastercard, and Visa (EMV) and non-EMV financial payment cards, including contact and contactless cards, plastic and encased metal cards, and Second Wave payment cards, as well as private label credit cards. This segment also provides on-demand services and various integrated card services, including card personalization and fulfillment, as well as instant issuance services. The Prepaid Debit segment primarily offers integrated card services comprising tamper-evident security packaging services to prepaid debit card providers. It also produces financial payment cards issued on the networks of the payment card brands. It serves issuers of debit and credit cards, Prepaid Debit Card program managers, community banks, credit unions, and group service providers in the United States. The company was formerly known as CPI Holdings I, Inc. and changed its name to CPI Card Group Inc. in August 2015. CPI Card Group Inc. was incorporated in 2007 and is headquartered in Littleton, Colorado.