Comparing NETGEAR (NASDAQ:NTGR) and Evertz Technologies (OTCMKTS:EVTZF)

NETGEAR (NASDAQ:NTGR) and Evertz Technologies (OTCMKTS:EVTZF) are both computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, profitability, valuation, institutional ownership, dividends, risk and analyst recommendations.

Institutional & Insider Ownership

81.4% of NETGEAR shares are owned by institutional investors. Comparatively, 6.2% of Evertz Technologies shares are owned by institutional investors. 6.0% of NETGEAR shares are owned 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.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for NETGEAR and Evertz Technologies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NETGEAR	0	0	1	0	3.00
Evertz Technologies	0	0	0	0	N/A

NETGEAR presently has a consensus price target of $23.00, suggesting a potential upside of 91.51%. Evertz Technologies has a consensus price target of $16.75, suggesting a potential upside of 67.17%. Given NETGEAR’s higher probable upside, analysts plainly believe NETGEAR is more favorable than Evertz Technologies.

Profitability

This table compares NETGEAR and Evertz Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NETGEAR	-2.53%	-3.58%	-2.25%
Evertz Technologies	N/A	N/A	N/A

Earnings & Valuation

This table compares NETGEAR and Evertz Technologies’ gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NETGEAR	$932.47 million	0.38	-$68.99 million	($0.73)	-16.45
Evertz Technologies	N/A	N/A	N/A	$0.93	10.78

Evertz Technologies has lower revenue, but higher earnings than NETGEAR. NETGEAR is trading at a lower price-to-earnings ratio than Evertz Technologies, indicating that it is currently the more affordable of the two stocks.

About NETGEAR

NETGEAR, Inc. engages in the design, development, and marketing of networking and Internet connected products for consumers, businesses, and service providers in the Americas; Europe, the Middle East, Africa; and the Asia Pacific. The company operates in two segments, Connected Home, and Small and Medium Business. The Connected Home segment offers Wi-Fi routers and home Wi-Fi mesh systems, Wi-Fi hotspots, broadband modems, Wi-Fi gateways, Wi-Fi range extenders, powerline adapters, Wi-Fi network adapters, and digital canvasses; and provides value-added service offerings, including security and privacy, technical support, parental controls, and cybersecurity protection. The Small and Medium Business segment provides Pro AV Solutions comprising switches that are engineered for AV over IP for both enterprise and home installation; enterprise grade cloud managed or standalone access points used in managing and controlling Wi-Fi that provides connections to smart phones, tablets, laptops and other computing devices at campuses, facilities, and offices; ethernet switches, are multiple port network devices used to connect devices using IP protocols; and NETGEAR Insight services, that helps small businesses to remotely deploy, monitor, manage and secure their networks easily and seamlessly. It markets and sells its products through traditional retailers, online retailers, wholesale distributors, direct market resellers, value-added resellers, and broadband service providers, as well as through its direct online store at www.netgear.com. The company was incorporated in 1996 and is headquartered in San Jose, California.

About Evertz Technologies

Evertz Technologies Limited engages in the design, manufacture, and distribution of video and audio infrastructure solutions for the production, post-production, broadcast, and telecommunications markets in Canada, the United States, and internationally. The company offers contribution and distribution encoder, decoder, receiver, and processing products; and control panels, intelligent operations and controls, big data analytics, and network management systems, as well as orchestration, monitoring, and analytics solutions. It also provides video encoders, decoders, and multiplexing products comprising encoders/transcoders, decoders, multiplexers, monitoring and auto-changeover products, and enterprise products; fiber transport products; and audio consoles and processing products, such as mixing consoles, routing and I/O products, summing and processing products, and IP audio gateways. In addition, the company offers asset management and playout products, consisting of asset management, ingest, playout and branding, and transcoding/conforming products; live media production products; routers; flexible media processing products; and IP audio/video processing, media gateway, switch routing, timing, and software defined network orchestration products. Further, it provides USB media recording products; multiviewers comprising IP and SDI multiviewers, MVP, and accessories; RF products; timing and synchronization products; and infrastructure and conversion products. The company serves content creators, broadcasters, specialty channels, and television service providers. Evertz Technologies Limited was founded in 1966 and is headquartered in Burlington, Canada.