Analyzing Video Display (OTCMKTS:VIDE) & CTS (NYSE:CTS)

CTS (NYSE:CTS) and Video Display (OTCMKTS:VIDE) are both small-cap computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, analyst recommendations, valuation, profitability, institutional ownership, risk and earnings.

Profitability

This table compares CTS and Video Display’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CTS	12.32%	12.31%	8.53%
Video Display	N/A	N/A	N/A

Risk and Volatility

CTS has a beta of 0.83, meaning that its share price is 17% less volatile than the S&P 500. Comparatively, Video Display has a beta of 0.74, meaning that its share price is 26% less volatile than the S&P 500.

Earnings & Valuation

This table compares CTS and Video Display”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CTS	$515.77 million	2.38	$58.11 million	$2.12	19.66
Video Display	$8.30 million	0.00	-$130,000.00	N/A	N/A

CTS has higher revenue and earnings than Video Display.

Insider & Institutional Ownership

96.9% of CTS shares are held by institutional investors. 1.6% of CTS shares are held by insiders. Comparatively, 48.8% of Video Display shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings for CTS and Video Display, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CTS	0	1	0	0	2.00
Video Display	0	0	0	0	0.00

Summary

CTS beats Video Display on 9 of the 10 factors compared between the two stocks.

About CTS

CTS Corporation manufactures and sells sensors, actuators, and connectivity components in North America, Europe, and Asia. The company provides encoders, rotary position sensors, slide potentiometers, industrial and commercial rotary potentiometers. It also provides non-contacting, and contacting pedals; and eBrake pedals. In addition, the company offers flow meters, hydrophones, non-destructive testing, sonar, ultrasonic imaging, piezoelectric materials, piezoelectric sense products, and bulk products. Further, it provides eMobility, chassis, current sensors, clutch, brake, position sensors, stroke sensor, seating, speed, throttle, transmission, turbo, temperature sensors, and technical related products. Additionally, the company offers DIP, rotary selector, tactile, rotary DIP, and toggle switches, as well as provides transducer related products. Furthermore, it provides EMI, RFI, and RFI products; specialty and resistors; and frequency control products. The company sells and markets its products through its sales engineers, independent manufacturer representatives, and distributors. CTS Corporation was founded in 1896 and is based in Lisle, Illinois.

About Video Display

Video Display Corporation, together with its subsidiaries, designs, engineers, manufactures, markets, distributes, and installs display products and systems for government, military, aerospace, medical, and commercial organizations worldwide. The company operates in four divisions: Simulation and Training Products; Cyber Secure Products; Data Display CRTs; and Other Computer Products. It offers dome and multi-faceted aircraft simulator display systems, video walls for broadcast and control centers, rugged video walls for combat information centers, rugged flat panel displays and computers, projector and monitor upgrades, and projection screens. The company also provides cyber security products, such as TEMPEST technology products and custom engineering solutions; and various contract services, including the design and testing solutions for defense and niche commercial uses. In addition, it manufactures and distributes cathode ray tubes (CRTs) for use in data display screens, such as computer terminal monitors, medical monitoring equipment, and various other data display applications, as well as in television sets; and distributes CRTs and other electronic tubes purchased from original equipment manufacturers, as well as offers cyber-secure keyboards. The company was founded in 1975 and is headquartered in Cocoa, Florida.