LightPath Technologies (NASDAQ:LPTH) vs. Orbit International (OTCMKTS:ORBT) Financial Survey

Orbit International (OTCMKTS:ORBT) and LightPath Technologies (NASDAQ:LPTH) are both small-cap computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, analyst recommendations, institutional ownership, profitability, valuation, dividends and risk.

Volatility & Risk

Orbit International has a beta of 0.1, suggesting that its share price is 90% less volatile than the S&P 500. Comparatively, LightPath Technologies has a beta of 1.08, suggesting that its share price is 8% more volatile than the S&P 500.

Insider and Institutional Ownership

56.3% of LightPath Technologies shares are held by institutional investors. 11.3% of Orbit International shares are held by company insiders. Comparatively, 24.8% of LightPath Technologies shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Orbit International and LightPath Technologies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Orbit International	0	0	0	0	0.00
LightPath Technologies	1	1	4	0	2.50

LightPath Technologies has a consensus target price of $9.13, indicating a potential upside of 24.49%. Given LightPath Technologies’ stronger consensus rating and higher probable upside, analysts plainly believe LightPath Technologies is more favorable than Orbit International.

Profitability

This table compares Orbit International and LightPath Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Orbit International	-18.70%	-29.85%	-19.72%
LightPath Technologies	-36.76%	-60.07%	-16.13%

Earnings & Valuation

This table compares Orbit International and LightPath Technologies”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Orbit International	$29.90 million	0.47	-$650,000.00	($1.38)	-2.89
LightPath Technologies	$37.20 million	8.97	-$14.87 million	($0.39)	-18.79

Orbit International has higher earnings, but lower revenue than LightPath Technologies. LightPath Technologies is trading at a lower price-to-earnings ratio than Orbit International, indicating that it is currently the more affordable of the two stocks.

Summary

LightPath Technologies beats Orbit International on 10 of the 14 factors compared between the two stocks.

About Orbit International

Orbit International Corp. engages in the design, manufacture, and sale of electronic components and subsystems, and commercial and custom power units for prime contractors, government procurement agencies, and research and development laboratories worldwide. The company operates in two segments, Electronics Group and Power Group. The Electronics Group segment designs, manufactures, and sells customized electronic components and subsystems. This segment offers remote control units, intercommunication panels, displays, keyboards, keypads and pointing devices, operator control trays, and command display units, as well as provides LCD display modules, military simulation and training bezels, electronic control assemblies, and multi-function displays design and enhancement services. The Power Group segment designs and manufactures commercial power units, AC power, frequency converters, uninterruptible power supplies, armament systems, and commercial-off-the-shelf power solutions, as well as inverters. The company was formerly known as Orbit Instrument Corp. and changed its name to Orbit International Corp. in July 1991. Orbit International Corp. was founded in 1957 and is based in Hauppauge, New York.

About LightPath Technologies

LightPath Technologies, Inc. designs, develops, manufactures, and distributes optical components and assemblies. The company offers precision molded glass aspheric optics, molded and diamond-turned infrared aspheric lenses, and other optical components used to produce products that manipulate light; and infrared products, including catalog and custom infrared optics. Its products are used in defense products, medical devices, laser aided industrial tools, automotive safety applications, barcode scanners, optical data storage, hybrid fiber coax datacom, telecommunications, machine vision and sensors, and other sectors. The company sells its products directly to customers in Europe and Asia. LightPath Technologies, Inc. was founded in 1985 and is headquartered in Orlando, Florida.