Head-To-Head Survey: Acorn Energy (NASDAQ:ACFN) vs. Cambium Networks (NASDAQ:CMBM)

Acorn Energy (NASDAQ:ACFN) and Cambium Networks (NASDAQ:CMBM) are both small-cap technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, risk, earnings, valuation and analyst recommendations.

Institutional & Insider Ownership

87.2% of Cambium Networks shares are held by institutional investors. 35.6% of Acorn Energy shares are held by insiders. Comparatively, 57.3% of Cambium Networks shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Acorn Energy and Cambium Networks’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Acorn Energy	16.12%	10.06%	6.32%
Cambium Networks	N/A	N/A	N/A

Valuation and Earnings

This table compares Acorn Energy and Cambium Networks”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Acorn Energy	$9.57 million	4.80	$2.51 million	$0.61	30.03
Cambium Networks	$172.22 million	0.07	-$77.42 million	($2.10)	-0.19

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

Risk and Volatility

Acorn Energy has a beta of 0.31, indicating that its share price is 69% less volatile than the S&P 500. Comparatively, Cambium Networks has a beta of 1.99, indicating that its share price is 99% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations for Acorn Energy and Cambium Networks, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Acorn Energy	0	1	0	0	2.00
Cambium Networks	1	0	0	0	1.00

Summary

Acorn Energy beats Cambium Networks on 8 of the 12 factors compared between the two stocks.

About Acorn Energy

Acorn Energy, Inc., through its subsidiaries, develops and markets wireless remote monitoring and control systems for various markets in the United States and internationally. It operates through two segments, Power Generation (PG) Monitoring and Cathodic Protection (CP) Monitoring. The PG segment provides wireless remote monitoring and control systems, and services for critical assets, which include stand-by power generators, compressors, pumps, pumpjacks, light towers, turbines, and other industrial equipment; and Internet of Things applications. The CP segment offers remote monitoring of cathodic protection systems on gas pipelines for gas utilities and pipeline companies. The company was incorporated in 1986 and is based in Wilmington, Delaware.

About Cambium Networks

Cambium Networks Corporation, together with its subsidiaries, engages in the design, development, and manufacture of wireless broadband and Wi-Fi networking infrastructure solutions. The company offers point-to-point fixed wireless backhaul and point-to-multipoint fixed wireless solutions; and enterprise solutions comprising cnMatrix cloud-managed wireless-aware switching solution, Xirrus Wi-Fi solutions, and Wi-Fi 6/6E access points which support cnMaestro and Xirrus XMS management. It also offers cnMatrix Ethernet enterprise switching solutions; cnMaestro and cnMaestro X network management platform that provide users with an integrated, intelligent, and easy to use tool for end-to-end network management; network planning tools, such as cnHeat, a network planning subscription service that provides a heat map coverage model display of locations for FWB connectivity; LINKPlanner that allows users to visualize and analyze hypothetical network deployment scenarios to evaluate performance and reliability; and cnArcher, a smartphone app that accelerates installation and deployment of fixed wireless products by field technicians. The company's products are used in broadband access, wireless backhaul, Internet of Things, public safety, national security, and defense communications networks, and Wi-Fi access applications. It serves public or private network operators; broadband internet service providers; mobile network operators; mid-market enterprises, such as education, hospitality, multi-dwelling units, and retail; state and local government; energy, mining, rail operator and utility industries; and military agencies in North America, Europe, the Middle East, Africa, the Caribbean and Latin America, and the Asia Pacific. The company was formerly known as Vector Cambium Holdings (Cayman), Ltd. and changed its name to Cambium Networks Corporation in 2018. Cambium Networks Corporation was founded in 2011 and is headquartered in Rolling Meadows, Illinois.