Analyzing Storage Computer (OTCMKTS:SOSO) & Super Micro Computer (NASDAQ:SMCI)

Super Micro Computer (NASDAQ:SMCI) and Storage Computer (OTCMKTS:SOSO) are both computer and technology companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, dividends, risk, institutional ownership, profitability, analyst recommendations and valuation.

Analyst Ratings

This is a summary of recent recommendations and price targets for Super Micro Computer and Storage Computer, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Super Micro Computer	2	7	7	1	2.41
Storage Computer	0	0	0	0	0.00

Super Micro Computer presently has a consensus target price of $42.89, suggesting a potential downside of 18.69%. Given Storage Computer’s higher possible upside, analysts plainly believe Storage Computer is more favorable than Super Micro Computer.

Insider and Institutional Ownership

84.1% of Super Micro Computer shares are held by institutional investors. 17.6% of Super Micro Computer shares are held by insiders. Comparatively, 26.7% of Storage Computer shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Super Micro Computer and Storage Computer”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Super Micro Computer	$14.94 billion	2.11	$1.15 billion	$1.90	27.76
Storage Computer	N/A	N/A	N/A	N/A	N/A

Super Micro Computer has higher revenue and earnings than Storage Computer.

Volatility & Risk

Super Micro Computer has a beta of 1.43, indicating that its share price is 43% more volatile than the S&P 500. Comparatively, Storage Computer has a beta of 0.08, indicating that its share price is 92% less volatile than the S&P 500.

Profitability

This table compares Super Micro Computer and Storage Computer’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Super Micro Computer	5.61%	20.41%	11.86%
Storage Computer	N/A	N/A	N/A

Summary

Super Micro Computer beats Storage Computer on 9 of the 11 factors compared between the two stocks.

About Super Micro Computer

Super Micro Computer, Inc., together with its subsidiaries, develops and manufactures high performance server and storage solutions based on modular and open architecture in the United States, Europe, Asia, and internationally. Its solutions range from complete server, storage systems, modular blade servers, blades, workstations, full racks, networking devices, server sub-systems, server management software, and security software. The company provides application-optimized server solutions, rackmount and blade servers, storage, and subsystems and accessories; and server software management solutions, such as Server Management Suite, including Supermicro Server Manager, Supermicro Power Management software, Supermicro Update Manager, SuperCloud Composer, and SuperDoctor 5. In addition, it offers server subsystems and accessories comprising server boards, chassis, power supplies, and other accessories. Further, the company provides server and storage system integration, configuration, and software upgrade and update services; and technical documentation services, as well as identifies service requirements, creates and executes project plans, and conducts verification testing and technical documentation, and training services. Additionally, it offers help desk and on-site product support services for its server and storage systems; and customer support services, including ongoing maintenance and technical support for its products. The company provides its products to enterprise data centers, cloud computing, artificial intelligence, and 5G and edge computing markets. It sells its products through direct and indirect sales force, distributors, value-added resellers, system integrators, and original equipment manufacturers. The company was incorporated in 1993 and is headquartered in San Jose, California.

About Storage Computer

Storage Computer Corporation develops data storage software solutions. The company was incorporated in 1991 and is based in Nashua, New Hampshire.