Analogic (NASDAQ: ALOG) and Data I/O (NASDAQ:DAIO) are both small-cap computer and technology companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, valuation, risk, analyst recommendations, institutional ownership, earnings and profitability.

Profitability

This table compares Analogic and Data I/O’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Analogic -1.13% 6.77% 5.75%
Data I/O 13.35% 19.53% 14.28%

Insider and Institutional Ownership

94.4% of Analogic shares are held by institutional investors. Comparatively, 43.6% of Data I/O shares are held by institutional investors. 1.2% of Analogic shares are held by company insiders. Comparatively, 8.6% of Data I/O shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Analogic and Data I/O’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Analogic $486.37 million 2.16 -$74.23 million $1.72 48.81
Data I/O $34.05 million 1.55 $5.44 million N/A N/A

Data I/O has lower revenue, but higher earnings than Analogic.

Volatility & Risk

Analogic has a beta of 0.64, indicating that its stock price is 36% less volatile than the S&P 500. Comparatively, Data I/O has a beta of 1.59, indicating that its stock price is 59% more volatile than the S&P 500.

Dividends

Analogic pays an annual dividend of $0.40 per share and has a dividend yield of 0.5%. Data I/O does not pay a dividend. Analogic pays out 23.3% of its earnings in the form of a dividend.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Analogic and Data I/O, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Analogic 0 1 0 0 2.00
Data I/O 0 0 2 0 3.00

Analogic presently has a consensus price target of $80.00, indicating a potential downside of 4.71%. Data I/O has a consensus price target of $12.00, indicating a potential upside of 88.68%. Given Data I/O’s stronger consensus rating and higher probable upside, analysts clearly believe Data I/O is more favorable than Analogic.

Summary

Data I/O beats Analogic on 10 of the 15 factors compared between the two stocks.

About Analogic

Analogic Corporation designs, manufactures, and sells medical imaging systems, ultrasound and security systems, and subsystems to original equipment manufacturers (OEMs) and end users primarily for the medical and airport security markets worldwide. It operates in three segments: Medical Imaging, Ultrasound, and Security and Detection. The Medical Imaging segment offers computed tomography (CT) detector systems, data acquisition systems, data management systems, and integrated CT systems; magnetic resonance imaging products, including gradient and radio frequency amplifiers; and digital mammography products, such as detector plates, as well as motion control devices for use in computer-controlled automation systems primarily for the semiconductor, food and beverage, and laboratory automation markets. This segment sells its products through multinational OEMs. The Ultrasound segment designs and manufactures medical ultrasound systems under the BK Ultrasound brand for use in urology, surgery, point-of-care, anesthesia, and general imaging applications. It also provides its products for cardiology, radiology, OB/GYN, surgery, and interventional radiology applications, as well as offers various transducers. This segment sells its products through its direct sales force, as well as through a network of independent sales representatives and distributors. The Security and Detection segment designs and manufactures automated threat detection systems for aviation baggage inspection applications. It provides checked baggage, checkpoint CT, and high speed in-line baggage handling systems; and rapid DNA analysis systems to analyze multiple human DNA samples. This segment sells its products primarily through multinational partners. Analogic Corporation has a partnership agreement with Stratovan Corporation. The company was founded in 1967 and is headquartered in Peabody, Massachusetts.

About Data I/O

Data I/O Corporation designs, manufactures, and sells programming systems and services for electronic device manufacturers in the United States, Europe, and internationally. Its programming system products are used to program integrated circuits (ICs) with the specific data necessary for the ICs. The company provides PSV handlers off-line automated programming systems; and RoadRunner and RoadRunner3 series handlers, an in-line automated programming systems. It also offers SentriX, a security provisioning system; LumenX Programmer; non-automated programming systems, such as FlashPAK III programmer; and Unifamily programmers, an off-line, low volume, and engineering non-automated system. In addition, the company provides hardware support, system installation and repair, and device programming services. It markets and sells its products to original equipment manufacturers in automotive and consumer electronics, and industrial/Internet of things and their electronic manufacturing service contract manufacturers through direct sales, internal telesales, and indirect sales representatives and distributors. Data I/O Corporation was founded in 1969 and is headquartered in Redmond, Washington.

Receive News & Ratings for Analogic Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Analogic and related companies with MarketBeat.com's FREE daily email newsletter.