Contrasting IRIDEX (NASDAQ:IRIX) and Micro Imaging Technology (OTCMKTS:MMTC)

IRIDEX (NASDAQ:IRIX) and Micro Imaging Technology (OTCMKTS:MMTC) are both computer and technology companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, risk, profitability, institutional ownership, analyst recommendations, earnings and valuation.

Institutional and Insider Ownership

20.1% of IRIDEX shares are held by institutional investors. 7.4% of IRIDEX shares are held by insiders. Comparatively, 47.4% of Micro Imaging Technology shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares IRIDEX and Micro Imaging Technology”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
IRIDEX	$48.67 million	0.39	-$8.91 million	($0.33)	-3.36
Micro Imaging Technology	N/A	N/A	N/A	N/A	N/A

Micro Imaging Technology has lower revenue, but higher earnings than IRIDEX.

Risk & Volatility

IRIDEX has a beta of 0.59, suggesting that its share price is 41% less volatile than the S&P 500. Comparatively, Micro Imaging Technology has a beta of 2.97, suggesting that its share price is 197% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for IRIDEX and Micro Imaging Technology, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
IRIDEX	1	0	0	0	1.00
Micro Imaging Technology	0	0	0	0	0.00

Given Micro Imaging Technology’s higher probable upside, analysts clearly believe Micro Imaging Technology is more favorable than IRIDEX.

Profitability

This table compares IRIDEX and Micro Imaging Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
IRIDEX	-10.95%	-386.93%	-17.42%
Micro Imaging Technology	N/A	N/A	N/A

Summary

Micro Imaging Technology beats IRIDEX on 6 of the 9 factors compared between the two stocks.

About IRIDEX

IRIDEX Corporation, an ophthalmic medical technology company, provides therapeutic based laser systems, delivery devices, and consumable instrumentation to treat sight-threatening eye diseases in ophthalmology. It offers laser consoles, such as Cyclo G6 laser system for use in the treatment of glaucoma; IQ 532 and IQ 577 laser systems, which are used for the treatment of retinal disorders; and OcuLight TX, OcuLight SL, OcuLight SLx, OcuLight GL, and OcuLight GLx laser photocoagulation systems that are used to treat proliferative diabetic retinopathy, macular holes, retinal tears, and detachments. The company also provides delivery devices, including TxCell scanning laser delivery system that allows the physician to perform multi-spot pattern scanning; slit lamp adapter, which allows the physician to utilize a standard slit lamp in diagnosis and treatment procedures; and laser indirect ophthalmoscope for use in procedures to treat peripheral retinal disorders. It offers MicroPulse P3 Probe, which is used with its Cylco G6 laser system to perform MicroPulse transscleral laser therapy; G-Probe, which is used in procedures to treat uncontrolled glaucoma; G-Probe and G-Probe Illuminate, which are used in procedures to treat refractory glaucoma; and EndoProbe family of products for use in vitrectomy procedures. The company serves ophthalmologists, research and teaching hospitals, government installations, surgical centers, hospitals, veterinary practices, and office clinics. It markets its products through direct and independent sales force in the United States, as well as through independent distributors internationally. The company was formerly known as IRIS Medical Instruments, Inc. and changed its name to IRIDEX Corporation in November 1995. IRIDEX Corporation was incorporated in 1989 and is headquartered in Mountain View, California.

About Micro Imaging Technology

Micro Imaging Technology, Inc. engages in the development of fluid monitoring systems for food safety and clinical industries in the United States. The company is developing a laser-based rapid microbial identification system capable of identifying pathogenic bacteria. The company has a collaboration Northern Michigan University to investigate an alternative pathogen sample preparation method that could provide a specimen test turnaround time of 4 to 5 hours. The company was formerly known as Electropure, Inc. and changed its name to Micro Imaging Technology, Inc. in November 2005. Micro Imaging Technology, Inc. was incorporated in 1979 and is headquartered in San Clemente, California.