Contrasting Stoneridge (NYSE:SRI) & Riskgeorge In (OTCMKTS:RSKIA)

Riskgeorge In (OTCMKTS:RSKIA) and Stoneridge (NYSE:SRI) are both small-cap computer and technology 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.

Volatility and Risk

Riskgeorge In has a beta of 0.1, suggesting that its share price is 90% less volatile than the S&P 500. Comparatively, Stoneridge has a beta of 1.51, suggesting that its share price is 51% more volatile than the S&P 500.

Insider & Institutional Ownership

0.1% of Riskgeorge In shares are held by institutional investors. Comparatively, 98.1% of Stoneridge shares are held by institutional investors. 59.8% of Riskgeorge In shares are held by insiders. Comparatively, 2.9% of Stoneridge 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.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Riskgeorge In and Stoneridge, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Riskgeorge In	0	0	0	0	0.00
Stoneridge	1	0	1	0	2.00

Stoneridge has a consensus price target of $16.00, suggesting a potential upside of 97.04%. Given Stoneridge’s stronger consensus rating and higher possible upside, analysts plainly believe Stoneridge is more favorable than Riskgeorge In.

Profitability

This table compares Riskgeorge In and Stoneridge’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Riskgeorge In	35.71%	14.41%	12.77%
Stoneridge	-3.66%	-8.78%	-3.48%

Earnings & Valuation

This table compares Riskgeorge In and Stoneridge”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Riskgeorge In	$22.54 million	3.74	$7.13 million	$1.70	10.15
Stoneridge	$908.29 million	0.25	-$16.52 million	($1.16)	-7.00

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

Summary

Riskgeorge In beats Stoneridge on 8 of the 14 factors compared between the two stocks.

About Riskgeorge In

George Risk Industries, Inc. designs, manufactures, and sells various electronic components worldwide. It operates in three segments: security line products, cable and wiring tools (Labor Saving Devices – LSDI) products, and all other products. The company offers computer keyboards, proximity switches, security alarm components and systems, pool access alarms, EZ Duct wire covers, water sensors, electronic switching devices, security switches, and wire and cable installation tools, as well as door and window contact switches, environmental products, liquid detection sensors, and raceway wire covers. Its products are used for residential, commercial, industrial, and government installations. The company serves security alarm distributors, alarm installers, original equipment manufacturers, and distributors of off-the-shelf keyboards. George Risk Industries, Inc. was incorporated in 1961 and is based in Kimball, Nebraska.

About Stoneridge

Stoneridge, Inc., together with its subsidiaries, designs and manufactures engineered electrical and electronic systems, components, and modules for the automotive, commercial, off-highway, motorcycle, and agricultural vehicle markets in North America, South America, Europe, and internationally. The company operates through three segments: Control Devices, Electronics, and Stoneridge Brazil. The Control Devices segment offers actuators, sensors, switches, actuators, and connectors that monitor, measure, or activate specific functions within a vehicle. The Electronics segment designs and manufactures driver information systems, vision and safety systems, connectivity and compliance products, and electronic control units. Its products collect, store, and display vehicle information, such as speed, pressure, maintenance data, trip information, operator performance, temperature, distance traveled, and driver messages related to vehicle performance. This segment also offers electronic control units that regulate, coordinate, monitor, and direct the operation of the electrical system within a vehicle. The Stoneridge Brazil segment designs, manufactures, and sells vehicle tracking devices and monitoring services; vehicle security alarms and convenience accessories, including parking sensors and rearview cameras; in-vehicle audio and infotainment devices; and driver information systems and telematics solutions. The company provides its products and systems to various original equipment manufacturers and tier 1 customers, as well as aftermarket distributors. Stoneridge, Inc. was founded in 1965 and is headquartered in Novi, Michigan.