Critical Analysis: Brainchip (OTCMKTS:BRCHF) vs. SOBR Safe (NASDAQ:SOBR)

Brainchip (OTCMKTS:BRCHF) and SOBR Safe (NASDAQ:SOBR) are both small-cap business services companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, institutional ownership, profitability, risk, earnings, analyst recommendations and valuation.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Brainchip and SOBR Safe, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brainchip	0	0	0	0	0.00
SOBR Safe	1	0	0	0	1.00

Valuation & Earnings

This table compares Brainchip and SOBR Safe”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brainchip	$400,000.00	645.58	N/A	N/A	N/A
SOBR Safe	$210,000.00	23.67	-$8.61 million	($197.90)	-0.02

Brainchip has higher revenue and earnings than SOBR Safe.

Volatility and Risk

Brainchip has a beta of 1.76, suggesting that its share price is 76% more volatile than the S&P 500. Comparatively, SOBR Safe has a beta of 0.57, suggesting that its share price is 43% less volatile than the S&P 500.

Insider & Institutional Ownership

7.9% of SOBR Safe shares are held by institutional investors. 0.1% of SOBR Safe shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Brainchip and SOBR Safe’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brainchip	N/A	N/A	N/A
SOBR Safe	-2,624.92%	-100.53%	-83.02%

Summary

Brainchip beats SOBR Safe on 6 of the 9 factors compared between the two stocks.

About Brainchip

BrainChip Holdings Ltd develops software and hardware accelerated solutions for artificial intelligence and machine learning applications in North America, Oceania, Europe, the Middle East, and Asia. The company primarily focuses on development of Akida Neuromorphic Processor to provide ultra-low power and fast AI Edge Network for vision, audio, olfactory, and smart transducer applications. It also offers Akida IP, a neural processor; MetaTF, which is used for creation, training, and testing of neutral network; Akida enablement platforms, including Akida PCI, Edge AI box, and development kit and shuttle PC and raspberry Pi; AKD1000, a reference chip as a hardware accelerator; and 2nd generation akidaTM expands the benefits of event-based, neuromorphic processing for network models. In addition, the company provides MetaTF ML framework python packages, which includes Akida python package, an interface to the BrainChip Akida Neuromorphic System-on-Chip; CNN2SNN tool provides means to convert convolutional neural networks; and the Akida model zoo, a pre-created network models built with the Akida sequential API and the CNN2SNN tool using quantized Keras models. Its products are used for original equipment manufacturer, end users, and system integrators based on artificial neural networks. The company was formerly known as Aziana Limited. BrainChip Holdings Ltd was incorporated in 2011 and is based in Sydney, Australia.

About SOBR Safe

SOBR Safe, Inc., a hardware and software company, develops non-invasive alcohol detection, biometric identity verification, and real-time cloud-based alerts and reporting systems in North America. The company provides SOBRcheck, a stationary identification and alcohol monitoring product; and SOBRsure, a transdermal, alcohol-detecting wearable band. It also offers SOBRSafe, a software platform for non-invasive alcohol detection and identity verification solution for applications in probation management, fleet and facility, alcohol rehabilitation, and youth drivers. SOBR Safe, Inc. was founded in 2004 and is headquartered in Greenwood Village, Colorado.