Analyzing Infinite Group (OTCMKTS:IMCI) & IPG Photonics (NASDAQ:IPGP)

IPG Photonics (NASDAQ:IPGP) and Infinite Group (OTCMKTS:IMCI) are both computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, profitability, valuation, risk, earnings, institutional ownership and dividends.

Profitability

This table compares IPG Photonics and Infinite Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
IPG Photonics	-21.18%	2.56%	2.28%
Infinite Group	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of recent ratings and price targets for IPG Photonics and Infinite Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
IPG Photonics	1	3	2	1	2.43
Infinite Group	0	0	0	0	0.00

IPG Photonics presently has a consensus price target of $69.50, indicating a potential downside of 5.61%. Given IPG Photonics’ stronger consensus rating and higher probable upside, equities analysts plainly believe IPG Photonics is more favorable than Infinite Group.

Volatility and Risk

IPG Photonics has a beta of 0.9, indicating that its stock price is 10% less volatile than the S&P 500. Comparatively, Infinite Group has a beta of -0.1, indicating that its stock price is 110% less volatile than the S&P 500.

Insider & Institutional Ownership

93.8% of IPG Photonics shares are held by institutional investors. 39.5% of IPG Photonics shares are held by company insiders. Comparatively, 35.0% of Infinite Group shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Earnings & Valuation

This table compares IPG Photonics and Infinite Group”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
IPG Photonics	$977.13 million	3.20	-$181.53 million	($4.61)	-15.97
Infinite Group	$7.00 million	0.00	-$3.56 million	N/A	N/A

Infinite Group has lower revenue, but higher earnings than IPG Photonics.

Summary

IPG Photonics beats Infinite Group on 11 of the 13 factors compared between the two stocks.

About IPG Photonics

IPG Photonics Corporation develops, manufactures, and sells various high-performance fiber lasers, fiber amplifiers, and diode lasers used in various applications primarily in materials processing worldwide. Its laser products include hybrid fiber-solid state lasers with green and ultraviolet wavelengths; fiber pigtailed packaged diodes and fiber coupled direct diode laser systems; high-energy pulsed lasers, multi-wavelength and tunable lasers, and single-polarization and single-frequency lasers; and high-power optical fiber delivery cables, fiber couplers, beam switches, chillers, scanners, and other accessories. The company also offers integrated laser systems; LightWELD, a handheld laser welding system; 2D compact flat sheet cutter systems and multi-axis systems for fine welding, cutting, and drilling; welding seam stepper and picker, a fiber laser welding tool; high precision laser systems; specialized fiber laser systems for material processing applications; robotic and multi-axis workstations for welding, cutting and cladding, flatbed cutting systems, and diode markers; and laser and non-laser robotic welding and automation solutions. It serves materials processing, communications, medical procedures, and advanced applications and communications markets. The company markets its products to original equipment manufacturers, system integrators, and end users through direct sales force, as well as through agreements with independent sales representatives and distributors. IPG Photonics Corporation was founded in 1990 and is headquartered in Marlborough, Massachusetts.

About Infinite Group

Infinite Group, Inc. develops cybersecurity software in the United States. The company offers Nodeware, a patented software-as-a-service solution that automates network asset identification, and cybersecurity vulnerability management and monitoring; and distributes Webroot, a cloud-based endpoint security platform solution. It also provides cybersecurity consulting services that include incident response, security awareness training, risk management, IT governance and compliance, security assessment, and penetration testing offerings to channel partners and direct customers for various vertical markets, such as banking, manufacturing, supply chain, and technology. In addition, the company offers managed support services related to information security, including troubleshooting, backend analysis, and technical and security support for mission critical technical infrastructure; and sells third party software licenses. The company was formerly known as Infinite Machines Corp. and changed its name to Infinite Group, Inc. in January 1998. Infinite Group, Inc. was incorporated in 1986 and is headquartered in Pittsford, New York.