Analyzing Fobi AI (OTCMKTS:FOBIF) and Unisys (NYSE:UIS)

Unisys (NYSE:UIS) and Fobi AI (OTCMKTS:FOBIF) are both small-cap computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, earnings, dividends, analyst recommendations, institutional ownership, risk and valuation.

Profitability

This table compares Unisys and Fobi AI’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Unisys	-17.10%	-11.31%	1.58%
Fobi AI	N/A	N/A	N/A

Insider & Institutional Ownership

86.9% of Unisys shares are held by institutional investors. 7.0% of Unisys shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Unisys and Fobi AI”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Unisys	$1.92 billion	0.12	-$193.40 million	($4.62)	-0.71
Fobi AI	$2.16 million	3.64	-$8.11 million	($0.03)	-1.17

Fobi AI has lower revenue, but higher earnings than Unisys. Fobi AI is trading at a lower price-to-earnings ratio than Unisys, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Unisys and Fobi AI, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Unisys	1	2	3	0	2.33
Fobi AI	0	0	0	0	0.00

Unisys currently has a consensus price target of $5.88, suggesting a potential upside of 79.94%. Given Unisys’ stronger consensus rating and higher probable upside, equities analysts clearly believe Unisys is more favorable than Fobi AI.

Risk & Volatility

Unisys has a beta of 1.38, meaning that its stock price is 38% more volatile than the S&P 500. Comparatively, Fobi AI has a beta of -0.5, meaning that its stock price is 150% less volatile than the S&P 500.

Summary

Unisys beats Fobi AI on 9 of the 14 factors compared between the two stocks.

About Unisys

Unisys Corporation, together with its subsidiaries, operates as an information technology solutions company in the United States and internationally. It operates in three segments: Digital Workplace Solutions (DWS); Cloud, Applications & Infrastructure Solutions (CA&I); and Enterprise Computing Solutions. The DWS segment provides advice and execution related to modern workplace solutions, such as communication and collaboration, intelligent workplace services, unified experience management, and modern device management; and traditional workplace solutions, including traditional service desk, device management and field services. The CA&I segment offers cloud management, hybrid infrastructure, modern applications, data and artificial intelligence, and cyber security; and design, implementation, monitoring, automation, and management of dedicated on-premises or hosted infrastructure. The Enterprise Computing Solutions segment provides license and support solutions; specialized services, next-generation computing, and industry solutions; and other solutions that provides various micro-market and business process solutions. The company also offers enterprise software and technology products, including Unisys InteliServe, PowerSuite, Unisys Logistics Optimization, CloudForte, ClearPath Forward, and Unisys Stealth. It serves its products in the travel and transportation, financial services, and healthcare industries. Unisys Corporation was founded in 1873 and is based in Blue Bell, Pennsylvania.

About Fobi AI

Fobi AI Inc., together with its subsidiaries, operates as a technology and data intelligence company in North America and Europe. It provides software as a service; consulting and development services; and resells, refers, and licenses its products. The company also offers mobile wallet solutions, digital coupons, and customer insights solutions. It serves various industries, including the hospitality and tourism industries. The company was formerly known as Loop Insights Inc. Fobi AI Inc. is based in Vancouver, Canada.