Contrasting GigCapital5 (NYSE:GIA) & Precision Optics (NASDAQ:POCI)

Precision Optics (NASDAQ:POCI) and GigCapital5 (NYSE:GIA) are both small-cap medical companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, valuation, institutional ownership, risk, profitability, dividends and analyst recommendations.

Analyst Ratings

This is a breakdown of current ratings for Precision Optics and GigCapital5, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Precision Optics	0	0	0	0	N/A
GigCapital5	0	0	0	0	N/A

Institutional & Insider Ownership

13.7% of Precision Optics shares are held by institutional investors. Comparatively, 27.3% of GigCapital5 shares are held by institutional investors. 16.3% of Precision Optics shares are held by company insiders. Comparatively, 75.4% of GigCapital5 shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Precision Optics and GigCapital5’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Precision Optics	-8.93%	-21.74%	-13.02%
GigCapital5	N/A	N/A	-14.85%

Earnings & Valuation

This table compares Precision Optics and GigCapital5’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Precision Optics	$21.05 million	1.56	-$140,000.00	($0.30)	-18.03
GigCapital5	N/A	N/A	-$2.77 million	N/A	N/A

Precision Optics has higher revenue and earnings than GigCapital5.

Volatility and Risk

Precision Optics has a beta of 0.1, meaning that its share price is 90% less volatile than the S&P 500. Comparatively, GigCapital5 has a beta of 0.03, meaning that its share price is 97% less volatile than the S&P 500.

About Precision Optics

Precision Optics Corporation, Inc. designs, develops, manufactures, and sells specialized optical and illumination systems and related components primarily in the United States and the European Economic Area. It offers medical instrumentation products, including endoscopes and endocouplers, as well as other custom imaging and illumination products, such as Microprecision lenses and micro medical cameras, and 3D endoscopes for use in minimally invasive surgical procedures by hospitals and physicians. The company also provides components and assemblies for industrial and military use. It markets its products to medical device companies. The company was incorporated in 1982 and is based in Gardner, Massachusetts.

About GigCapital5

GigCapital5, Inc. does not have significant operations. It intends to effect a merger, share exchange, asset acquisition, stock purchase, recapitalization, reorganization, or similar business combination with one or more businesses. The company was incorporated in 2021 and is based in Palo Alto, California.GigCapital5, Inc operates as a subsidiary of GigAcquisitions5, LLC