Neonode (NASDAQ:NEON – Get Free Report) and Simulations Plus (NASDAQ:SLP – Get Free Report) are both small-cap computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, institutional ownership, dividends, risk, valuation, profitability and earnings.
Earnings & Valuation
This table compares Neonode and Simulations Plus”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Neonode | $2.61 million | 15.14 | -$6.47 million | ($0.30) | -7.83 |
| Simulations Plus | $80.38 million | 4.29 | $9.95 million | ($3.15) | -5.44 |
Profitability
This table compares Neonode and Simulations Plus’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Neonode | -241.38% | -40.64% | -35.78% |
| Simulations Plus | -78.63% | 11.62% | 10.84% |
Insider & Institutional Ownership
11.6% of Neonode shares are held by institutional investors. Comparatively, 78.1% of Simulations Plus shares are held by institutional investors. 23.9% of Neonode shares are held by company insiders. Comparatively, 19.4% of Simulations Plus shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Analyst Recommendations
This is a breakdown of recent recommendations and price targets for Neonode and Simulations Plus, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Neonode | 1 | 1 | 0 | 0 | 1.50 |
| Simulations Plus | 1 | 5 | 4 | 1 | 2.45 |
Neonode presently has a consensus price target of $6.00, suggesting a potential upside of 155.32%. Simulations Plus has a consensus price target of $24.40, suggesting a potential upside of 42.44%. Given Neonode’s higher possible upside, research analysts plainly believe Neonode is more favorable than Simulations Plus.
Risk & Volatility
Neonode has a beta of 0.51, suggesting that its stock price is 49% less volatile than the S&P 500. Comparatively, Simulations Plus has a beta of 0.98, suggesting that its stock price is 2% less volatile than the S&P 500.
Summary
Simulations Plus beats Neonode on 11 of the 15 factors compared between the two stocks.
About Neonode
Neonode Inc., together with its subsidiaries, develops optical sensing solutions for contactless touch, touch, and gesture sensing in the United States, Japan, South Korea, Germany, Switzerland, France, Sweden, China, and internationally. It also offers software solutions for machine perception to detect and track persons and objects in video streams from cameras and other types of imagers. In addition, the company sells touch sensor modules to OEMs, original design manufacturers, and systems integrators. Further, it licenses its zForce technology to original equipment manufacturers and automotive Tier 1 suppliers, as well as provides non-recurring engineering services related to application development. It serves office equipment, automotive, industrial automation, medical, military, and avionics markets. Neonode Inc. was incorporated in 1997 and is headquartered in Stockholm, Sweden.
About Simulations Plus
Simulations Plus, Inc. develops drug discovery and development software for modeling and simulation, and prediction of molecular properties utilizing artificial intelligence and machine learning based technology worldwide. The company operates through two segments, Software and Services. It offers GastroPlus, which simulates the absorption and drug interaction of compounds administered to humans and animals; and DDDPlus and MembranePlus simulation products. The company also provides products based on mechanistic and mathematical models, such as DILIsym, NAFLDsym, ILDsym, RENAsym, IPFsym, and MITOsym products. In addition, it offers Absorption, Distribution, Metabolism, Excretion, and Toxicity Predictor for chemistry-based computer program that takes molecular structures as inputs and predicts their properties; and MedChem Designer, as well as MonolixSuite products for modeling and simulation that allows for population analyses, rapid clinical trial data analyses, and regulatory submissions. Further, the company provides clinical-pharmacology-based consulting services, which includes population pharmacokinetic and pharmacodynamic modeling, exposure-response analyses, clinical trial simulations, data programming, and technical writing services in support of regulatory submissions; and early drug discovery services. Additionally, it offers creative and insightful consulting services to support its quantitative systems pharmacology/quantitative systems toxicology modelling. The company serves pharmaceutical, biotechnology, agrochemical, cosmetics, and food industry companies, as well as academic and regulatory agencies. Simulations Plus, Inc. was incorporated in 1996 and is headquartered in Lancaster, California.
Receive News & Ratings for Neonode Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Neonode and related companies with MarketBeat.com's FREE daily email newsletter.
