Digimarc (NASDAQ:DMRC) & ARB IOT Group (NASDAQ:ARBB) Head to Head Comparison

Digimarc (NASDAQ:DMRC) and ARB IOT Group (NASDAQ:ARBB) are both small-cap industrial products companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, analyst recommendations, earnings, dividends, valuation, profitability and institutional ownership.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Digimarc and ARB IOT Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Digimarc	0	0	0	0	N/A
ARB IOT Group	0	0	1	0	3.00

Digimarc currently has a consensus price target of $25.00, suggesting a potential downside of 11.50%. ARB IOT Group has a consensus price target of $8.00, suggesting a potential upside of 733.33%. Given ARB IOT Group’s higher probable upside, analysts clearly believe ARB IOT Group is more favorable than Digimarc.

Profitability

This table compares Digimarc and ARB IOT Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Digimarc	-164.62%	-45.51%	-38.20%
ARB IOT Group	N/A	N/A	N/A

Institutional & Insider Ownership

53.6% of Digimarc shares are held by institutional investors. Comparatively, 0.0% of ARB IOT Group shares are held by institutional investors. 20.5% of Digimarc shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Digimarc and ARB IOT Group’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Digimarc	$30.20 million	19.03	-$59.80 million	($2.61)	-10.82
ARB IOT Group	N/A	N/A	N/A	N/A	N/A

ARB IOT Group has lower revenue, but higher earnings than Digimarc.

Summary

ARB IOT Group beats Digimarc on 5 of the 8 factors compared between the two stocks.

About Digimarc

Digimarc Corporation, together with its subsidiaries, provides automatic identification solutions to commercial and government customers in the United States and internationally. The company offers Digimarc Validate protects, a cloud-based record of product authentication information; Digimarc Engage, an interactive communications channel connecting brands and consumers; and Digimarc Recycle. Its solutions are used in various application solutions, such as product authentication of physical products; sorting of consumer-packaged goods in recycling streams; track and trace of products within the supply chain; quality control in manufacturing processes; inventory management and planogram compliance; retail point of sale transaction processing; piracy deterrence of digital media objects; content identification and media management; and enhanced services in support of mobile commerce. The company offers its solutions through its sales personnel and business partners. Digimarc Corporation was incorporated in 2008 and is based in Beaverton, Oregon.

About ARB IOT Group

ARB IOT Group Limited, through its subsidiaries, provides Internet of Things (IoT) system solutions, and system integration and support services. It also offers IoT smart home and building solutions, such as design, procurement, and provision of smart home products and devices; integration services; and electrical wire installation and home data network setup for homeowners, as well as provides smart building solutions, including design, procurement, installation, testing, pre-commissioning and commissioning of various IoT systems, solutions, and devices; and integration of automated systems for smart buildings, including installation of wire and wireless, and mechatronic works for property developers and contractors. In addition, the company offers IoT smart agriculture solutions, such as supply, installation, commissioning, and testing of smart hydroponic system; IoT system development solutions, including procure, supply, and deliver industrial building systems for construction projects; and IoT gadget distribution solutions, such as mobile gadget accessories, as well as provides shipping tracking and status updates, customer care line, online chat support, digital marketing, pre-installation, and warranty services. The company was incorporated in 2022 and is based in Kuala Lumpur, Malaysia. ARB IOT Group Limited operates as a subsidiary of ARB IOT Limited