Analyzing Xperi (NASDAQ:XPER) and Intellinetics (OTCMKTS:INLXD)

Intellinetics (OTCMKTS:INLXD) and Xperi (NASDAQ:XPER) are both small-cap computer and technology companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, earnings, dividends, risk, valuation, institutional ownership and analyst recommendations.

Valuation and Earnings

This table compares Intellinetics and Xperi”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Intellinetics	$2.54 million	1.19	-$2.13 million	($6.00)	-1.31
Xperi	$453.96 million	0.61	-$136.61 million	$0.16	37.41

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

Analyst Recommendations

This is a breakdown of current ratings and price targets for Intellinetics and Xperi, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Intellinetics	0	0	0	0	0.00
Xperi	0	0	2	0	3.00

Xperi has a consensus price target of $11.00, indicating a potential upside of 83.79%. Given Xperi’s stronger consensus rating and higher probable upside, analysts clearly believe Xperi is more favorable than Intellinetics.

Institutional and Insider Ownership

94.3% of Xperi shares are owned by institutional investors. 27.7% of Intellinetics shares are owned by insiders. Comparatively, 2.1% of Xperi shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Intellinetics and Xperi’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Intellinetics	-84.11%	N/A	-214.86%
Xperi	-16.72%	-7.03%	-4.14%

Risk and Volatility

Intellinetics has a beta of 0.22, suggesting that its stock price is 78% less volatile than the S&P 500. Comparatively, Xperi has a beta of 1.31, suggesting that its stock price is 31% more volatile than the S&P 500.

Summary

Xperi beats Intellinetics on 9 of the 14 factors compared between the two stocks.

About Intellinetics

Intellinetics, Inc. develops, markets, and sells document solutions software to the public and private sectors in the United States. The company's software platform allows its customers to capture and manage documents across operations, such as scanned hard-copy documents and digital documents, including Microsoft Office 365, digital images, audios, videos, and emails. It offers IntelliCloud software platform solutions that include image processing modules, records management, workflow, and extended components. The company also provides installation, integration, training, and consulting services, as well as ongoing software maintenance and customer support services; and pre-installation assessment, project scoping, and implementation consulting services. It sells its products to resellers and directly to customers, as well as provides access to its software solutions as a service through the Internet. The company was formerly known as GlobalWise Investments, Inc. and changed its name to Intellinetics, Inc. in September 2014. Intellinetics, Inc. was founded in 1996 and is headquartered in Columbus, Ohio.

About Xperi

Xperi Inc. operates as a consumer and entertainment technology company worldwide. It offers Pay-TV solutions, including UX solutions that allows service providers to customize elements of the interactive program guide for their customers and to upgrade the programming features and services; IPTV, a cloud-based solution that supports various services and applications, such as TV programming, broadband OTT video content, digital music, photos, and other media experiences; managed IPTV service; video metadata and services; managed IPTV Service, a customizable, cloud-enabled, and end-to-end streaming video solution that enables operators to quickly launch a branded, fully compliant, full-featured Pay-TV service; metadata libraries comprising television, sports, movies, digital-first, celebrities, books, and video games; personalized content discovery, natural language voice, and insights; and TiVo DVR subscriptions, as well as technical support service. It also provides consumer electronics solutions, such as home and mobile audio solutions, and silicon and software solutions for edge inference; connected car solutions, including HD Radio and DTS AutoStage; and Media Platform that provides Vewd middleware solutions, TiVo OS, TiVo Stream 4K, connected TVs, and connected cars that leverage the TiVo OS, as well as advertising solutions. The company was incorporated in 2019 and is headquartered in San Jose, California.