TransAct Technologies (NASDAQ:TACT) and Foxx Development (NASDAQ:FOXX) Head-To-Head Review

TransAct Technologies (NASDAQ:TACT) and Foxx Development (NASDAQ:FOXX) are both small-cap technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, profitability, valuation, dividends, institutional ownership and earnings.

Institutional & Insider Ownership

74.5% of TransAct Technologies shares are owned by institutional investors. Comparatively, 60.4% of Foxx Development shares are owned by institutional investors. 19.2% of TransAct Technologies shares are owned by insiders. Comparatively, 31.6% of Foxx Development shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current recommendations for TransAct Technologies and Foxx Development, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TransAct Technologies	1	1	0	0	1.50
Foxx Development	1	0	0	0	1.00

Profitability

This table compares TransAct Technologies and Foxx Development’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TransAct Technologies	-0.75%	-1.25%	-0.85%
Foxx Development	-79.80%	N/A	-59.35%

Volatility & Risk

TransAct Technologies has a beta of 1.22, suggesting that its share price is 22% more volatile than the S&P 500. Comparatively, Foxx Development has a beta of -0.35, suggesting that its share price is 135% less volatile than the S&P 500.

Valuation & Earnings

This table compares TransAct Technologies and Foxx Development”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TransAct Technologies	$52.99 million	0.99	-$1.24 million	($0.04)	-126.50
Foxx Development	$65.92 million	0.25	-$9.02 million	($6.87)	-0.34

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

Summary

TransAct Technologies beats Foxx Development on 8 of the 12 factors compared between the two stocks.

About TransAct Technologies

TransAct Technologies Incorporated designs, develops, and markets transaction-based and specialty printers and terminals in the United States and internationally. It offers thermal printers and terminals to generate labels, coupons, and transaction records, such as receipts, tickets, and other documents. The company also provides consumable products, including POS receipt paper, inkjet cartridges, ribbons, and other printing supplies, as well as replacement parts and accessories; and maintenance and repair services. In addition, it offers EPICENTRAL print system, a software solution that enables casino operators to create promotional coupons and marketing messages, and print them at the slot machine; and technical support services, as well as spare parts and accessories. Further, the company provides BOHA! terminal that combines hardware and software components in a device that includes an operating system, touchscreen, and one or two thermal print mechanisms. It markets its products under the TransAct, BOHA!, AccuDate, Ithaca, and EPICENTRAL brands for food service technology, point of sale automation, and casino and gaming markets. The company sells its products to original equipment manufacturers, value-added resellers, and distributors, as well as directly to end-users through its Webstore transactsupplies.com. TransAct Technologies Incorporated was incorporated in 1996 and is headquartered in Hamden, Connecticut.

About Foxx Development

Foxx Development Holdings Inc. is a consumer electronics and integrated Internet-of-Things solution company catering to both retail and institutional clients. The company currently sells a diverse range of products including mobile phones, tablets and other consumer electronics devices principally in United State and is in the process of developing and distributing end-to-end communication terminals and IoT solutions. Foxx Development Holdings Inc., formerly known as Acri Capital Acquisition Corporation, is based in Austin, TX.