Critical Analysis: WISeKey International (NASDAQ:WKEY) & Data443 Risk Mitigation (OTCMKTS:ATDS)

WISeKey International (NASDAQ:WKEY) and Data443 Risk Mitigation (OTCMKTS:ATDS) are both small-cap industrials companies, but which is the superior business? We will contrast the two businesses based on the strength of their risk, earnings, analyst recommendations, valuation, profitability, dividends and institutional ownership.

Analyst Ratings

This is a summary of current ratings for WISeKey International and Data443 Risk Mitigation, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WISeKey International	1	0	2	0	2.33
Data443 Risk Mitigation	0	0	0	0	0.00

WISeKey International currently has a consensus price target of $10.50, suggesting a potential upside of 39.81%. Given WISeKey International’s stronger consensus rating and higher possible upside, equities research analysts clearly believe WISeKey International is more favorable than Data443 Risk Mitigation.

Risk & Volatility

WISeKey International has a beta of 1.48, suggesting that its stock price is 48% more volatile than the S&P 500. Comparatively, Data443 Risk Mitigation has a beta of 45.55, suggesting that its stock price is 4,455% more volatile than the S&P 500.

Profitability

This table compares WISeKey International and Data443 Risk Mitigation’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
WISeKey International	N/A	N/A	N/A
Data443 Risk Mitigation	-67.98%	N/A	-51.26%

Earnings and Valuation

This table compares WISeKey International and Data443 Risk Mitigation”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
WISeKey International	$19.29 million	3.18	-$6.07 million	N/A	N/A
Data443 Risk Mitigation	$4.42 million	0.05	-$2.57 million	($0.99)	0.00

Data443 Risk Mitigation has lower revenue, but higher earnings than WISeKey International.

Institutional and Insider Ownership

0.3% of WISeKey International shares are held by institutional investors. 33.5% of WISeKey International shares are held by company insiders. Comparatively, 36.4% of Data443 Risk Mitigation shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

WISeKey International beats Data443 Risk Mitigation on 8 of the 11 factors compared between the two stocks.

About WISeKey International

WISeKey International Holding AG, a cybersecurity company, provides integrated security solutions in Switzerland, rest of Europe, the Middle East, Africa, North America, the Asia Pacific, and Latin America. The company operates in two segments, IoT and Managed Public Key Infrastructure (mPKI). It offers microcontrollers that provides identity to various connected devices; and mPKI, which include digital identity, certificate management and signing solutions, and trust services, as well as offers digital certificates; software as a service, including cloud-based certificate life-cycle-management and signing and authentication solutions; software licenses; post-contract customer support for cybersecurity applications; and infrastructure hosting and monitoring services. The company also develops, markets, hosts, and supports a range of solutions that enable secure digital identification of people, content, and objects by generating digital identities through its products and services in cybersecurity services, IoT, digital brand management, and mobile security, which enable clients to monetize their existing user bases, as well as expand its eco-system. In addition, it engages in financing, sales, and distribution activities; and sells semiconductors secure chips. The company was founded in 1999 and is headquartered in Zug, Switzerland.

About Data443 Risk Mitigation

Data443 Risk Mitigation, Inc. provides data security and privacy management solutions in the United States. The company offers Cyren Threat Intelligence Service that provides security, response, software, and services; Cyren Inbox Security for Microsoft 365, which prevents user access to malicious links and attachments; Ransomware Recovery Manager to recover a workstation upon infection to the last known business-operable state; Data Identification Manager, a data classification and governance technology; Data Archive Manager for enterprise data retention management and archiving; and Sensitive Content Manager, a cloud-based platform for managing, protecting, and distributing digital content. It also provides Data Placement Manager, a data transport, transformation, and delivery product; Access Control Manager that enables access controls across various platforms at scale for internal client systems and commercial public cloud platforms; Blockchain Protection Manager, which protects blockchain transactions from inadvertent disclosure and data leaks; and Global Privacy Manager, a privacy compliance and consumer loss mitigation platform. In addition, the company offers IntellyWP to enhance the user experience for content management platform; Chat History Scanner, which scans chat messages for compliance, security, personally identifiable information, personal information, payment card industry information, and custom keywords; and GDPR Framework, CCPA Framework, and LGPD Framework WordPress Plugins that enables organizations’ compliance on privacy rules and regulations. It serves the government, financial services, healthcare, manufacturing, retail, technology, and telecommunications sectors. The company was formerly known as LandStar, Inc. and changed its name to Data443 Risk Mitigation, Inc. in October 2019. Data443 Risk Mitigation, Inc. was founded in 1998 and is headquartered in Research Triangle Park, North Carolina.