Trans-Lux (OTCMKTS:TNLX) versus Gauzy (NASDAQ:GAUZ) Head to Head Comparison

Trans-Lux (OTCMKTS:TNLX) and Gauzy (NASDAQ:GAUZ) are both small-cap computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, analyst recommendations, earnings, valuation, institutional ownership, dividends and profitability.

Profitability

This table compares Trans-Lux and Gauzy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Trans-Lux	N/A	N/A	N/A
Gauzy	-50.13%	-62.32%	-21.33%

Institutional and Insider Ownership

11.9% of Trans-Lux shares are held by institutional investors. 58.7% of Trans-Lux shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares Trans-Lux and Gauzy”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Trans-Lux	$15.55 million	0.22	-$4.07 million	($0.33)	-0.76
Gauzy	$103.53 million	1.27	-$53.18 million	($4.08)	-1.70

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

Analyst Ratings

This is a summary of recent recommendations for Trans-Lux and Gauzy, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Trans-Lux	0	0	0	0	0.00
Gauzy	0	2	2	0	2.50

Gauzy has a consensus target price of $12.00, suggesting a potential upside of 73.41%. Given Gauzy’s stronger consensus rating and higher probable upside, analysts clearly believe Gauzy is more favorable than Trans-Lux.

Summary

Trans-Lux beats Gauzy on 8 of the 13 factors compared between the two stocks.

About Trans-Lux

Trans-Lux Corporation engages in the design and manufacture of digital display solutions and fixed digit scoreboards. It operates in two segments, Digital Product Sales; and Digital Product Lease and Maintenance. The Digital Product Sales segment sells indoor and outdoor digital product signage products. The Digital Product Lease and Maintenance segment is involved in the lease and maintenance of indoor and outdoor digital product signage. The company offers LED display systems for use by sports arenas and stadiums; financial institutions, including brokerage firms, banks, energy companies, insurance companies, and mutual fund companies; educational institutions; outdoor advertising companies; corporate and government communication centers; retail outlets; casinos, racetracks and other gaming establishments; airports, train stations, bus terminals, and other transportation facilities; movie theatres; and health maintenance organizations, as well as in various other applications. It also provides TLVision, which consists of full-color video products for use in posting alphanumeric data and displaying of full HD video; and turnkey installation and support services. The company markets its products through direct sales representatives, and a network of independent dealers and distributors in the United States and Canada; and internal salespeople and independent distributors in the rest of North America, Europe, the Middle East, South America, Africa, the Far East, and Australia. Trans-Lux Corporation was incorporated in 1920 and is headquartered in New York, New York. Trans-Lux Corporation operates as a subsidiary of Unilumin North America Inc.

About Gauzy

Gauzy Ltd. is a fully-integrated light and vision control company which focused on the research, development, manufacturing and marketing of vision and light control technologies. It operates principally in Germany, France, the United States, Canada, China, Singapore and Dubai. Gauzy Ltd. is headquartered in Tel Aviv, Israel.