Critical Analysis: WISeKey International (NASDAQ:WKEY) versus Senstar Technologies (NASDAQ:SNT)

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

Insider & Institutional Ownership

0.3% of WISeKey International shares are owned by institutional investors. Comparatively, 20.8% of Senstar Technologies shares are owned by institutional investors. 33.5% of WISeKey International shares are owned by company insiders. Comparatively, 24.4% of Senstar Technologies shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares WISeKey International and Senstar Technologies’ 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
Senstar Technologies	12.83%	12.65%	9.30%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for WISeKey International and Senstar Technologies, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WISeKey International	1	0	2	0	2.33
Senstar Technologies	0	1	0	0	2.00

WISeKey International currently has a consensus price target of $10.50, suggesting a potential upside of 41.70%. Given WISeKey International’s stronger consensus rating and higher possible upside, equities analysts plainly believe WISeKey International is more favorable than Senstar Technologies.

Earnings and Valuation

This table compares WISeKey International and Senstar Technologies”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
WISeKey International	$11.88 million	5.09	-$13.45 million	N/A	N/A
Senstar Technologies	$35.75 million	2.13	$2.64 million	$0.20	16.30

Senstar Technologies has higher revenue and earnings than WISeKey International.

Volatility & Risk

WISeKey International has a beta of 1.46, indicating that its stock price is 46% more volatile than the S&P 500. Comparatively, Senstar Technologies has a beta of 2.81, indicating that its stock price is 181% more volatile than the S&P 500.

Summary

Senstar Technologies beats WISeKey International on 7 of the 12 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 Senstar Technologies

Senstar Technologies Corporation provides physical, video, and access control security products and solutions worldwide. It offers solutions for critical sites, which leverage its portfolio of perimeter intrusion detection systems, and video management software with intelligent video analytics security solutions, as well as access control products and technologies. The company's solutions and products are optimized for perimeter, outdoor, and general security applications. Its portfolio of critical infrastructure protection and site protection technologies includes various smart barriers and fences, fence mounted sensors, virtual gates, buried and concealed detection systems, and sensors for sub-surface intrusion, such as to secure pipelines, as well as video analytics software and video management systems. Senstar Technologies Corporation was incorporated in 1984 and is based in Ottawa, Canada.