One Stop Systems (NASDAQ:OSS) and Yiren Digital (NYSE:YRD) are both small-cap computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, risk, valuation, dividends, institutional ownership, profitability and analyst recommendations.
Valuation & Earnings
This table compares One Stop Systems and Yiren Digital's revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
|---|
| One Stop Systems | $58.31 million | 1.47 | $-900,000.00 | ($0.06) | -77.33 |
| Yiren Digital | $1.24 billion | 0.28 | $165.99 million | $1.78 | 2.13 |
Yiren Digital has higher revenue and earnings than One Stop Systems. One Stop Systems is trading at a lower price-to-earnings ratio than Yiren Digital, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a summary of recent ratings and target prices for One Stop Systems and Yiren Digital, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
|---|
| One Stop Systems | 0 | 1 | 2 | 0 | 2.67 |
| Yiren Digital | 0 | 0 | 0 | 0 | N/A |
One Stop Systems presently has a consensus price target of $5.8333, indicating a potential upside of 25.72%. Given One Stop Systems' higher probable upside, equities analysts plainly believe One Stop Systems is more favorable than Yiren Digital.
Insider and Institutional Ownership
26.6% of One Stop Systems shares are held by institutional investors. Comparatively, 4.9% of Yiren Digital shares are held by institutional investors. 25.3% of One Stop Systems shares are held by insiders. Comparatively, 42.2% of Yiren Digital shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Profitability
This table compares One Stop Systems and Yiren Digital's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
|---|
| One Stop Systems | 1.50% | 3.02% | 2.12% |
| Yiren Digital | 6.80% | 10.44% | 4.49% |
Risk and Volatility
One Stop Systems has a beta of 2.1, indicating that its share price is 110% more volatile than the S&P 500. Comparatively, Yiren Digital has a beta of 1.36, indicating that its share price is 36% more volatile than the S&P 500.
Summary
Yiren Digital beats One Stop Systems on 7 of the 13 factors compared between the two stocks.
