Casio Computer (OTCMKTS:CSIOY) vs. One Stop Systems (NASDAQ:OSS) Critical Comparison

One Stop Systems (NASDAQ:OSS) and Casio Computer (OTCMKTS:CSIOY) are both small-cap computer and technology companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, valuation, profitability, dividends, earnings and risk.

Analyst Ratings

This is a summary of recent recommendations and price targets for One Stop Systems and Casio Computer, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
One Stop Systems	0	0	1	1	3.50
Casio Computer	0	0	0	0	0.00

One Stop Systems currently has a consensus target price of $4.50, suggesting a potential upside of 10.70%. Given One Stop Systems’ stronger consensus rating and higher probable upside, equities research analysts clearly believe One Stop Systems is more favorable than Casio Computer.

Insider and Institutional Ownership

32.7% of One Stop Systems shares are held by institutional investors. 13.6% of One Stop Systems shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility & Risk

One Stop Systems has a beta of 1.24, indicating that its share price is 24% more volatile than the S&P 500. Comparatively, Casio Computer has a beta of 0.31, indicating that its share price is 69% less volatile than the S&P 500.

Earnings and Valuation

This table compares One Stop Systems and Casio Computer”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
One Stop Systems	$54.69 million	1.60	-$13.63 million	($0.67)	-6.07
Casio Computer	$1.72 billion	1.04	$53.22 million	$2.26	33.17

Casio Computer has higher revenue and earnings than One Stop Systems. One Stop Systems is trading at a lower price-to-earnings ratio than Casio Computer, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares One Stop Systems and Casio Computer’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
One Stop Systems	-26.36%	-47.56%	-34.67%
Casio Computer	3.00%	4.74%	3.07%

Summary

One Stop Systems beats Casio Computer on 8 of the 15 factors compared between the two stocks.

About One Stop Systems

One Stop Systems, Inc. engages in the design, manufacture, and marketing of high-performance compute, high speed storage hardware and software, switch fabrics, and systems for edge deployments in the United States and internationally. The company's systems are built using the central processing unit, graphical processing unit, high-speed switch fabrics, and flash storage technologies. It provides custom servers, data acquisition platforms, compute accelerators, solid-state storage arrays, and system I/O expansion systems, as well as edge optimized industrial and panel PCs, tablets, and handheld compute devices. The company also offers ruggedized mobile tablets and handhelds that meet the specialized requirement for devices deployed at the edge in a diverse set of environmental conditions. It sells its products to multinational companies, governmental agencies, military contractors, military services, and technology providers through its website, web store, direct sales team, and original equipment manufacturer focused sales, as well as through a network of resellers and distributors. The company was founded in 1998 and is headquartered in Escondido, California.

About Casio Computer

Casio Computer Co.,Ltd. develops, produces, and sells consumer, system equipment, and other products. The company operates in Timepieces, Consumer, System Equipment, and Other segments. It offers timepieces, electronic dictionaries, calculators, label printers, electronic musical instruments, handheld terminals, cash registers, management support systems, data projectors, formed parts, and molds products. The company was incorporated in 1946 and is headquartered in Tokyo, Japan.