Comparing Information Analysis (OTCMKTS:IAIC) & Semrush (NASDAQ:SEMR)

Semrush (NASDAQ:SEMR) and Information Analysis (OTCMKTS:IAIC) are both small-cap computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their analyst recommendations, dividends, earnings, profitability, valuation, institutional ownership and risk.

Insider & Institutional Ownership

32.9% of Semrush shares are owned by institutional investors. 55.6% of Semrush shares are owned by insiders. Comparatively, 23.8% of Information Analysis shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Semrush and Information Analysis’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Semrush	3.29%	4.93%	3.29%
Information Analysis	3.72%	18.48%	9.33%

Earnings and Valuation

This table compares Semrush and Information Analysis”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Semrush	$428.63 million	4.14	$950,000.00	($0.02)	-594.75
Information Analysis	$13.90 million	0.00	$410,000.00	$0.04	N/A

Semrush has higher revenue and earnings than Information Analysis. Semrush is trading at a lower price-to-earnings ratio than Information Analysis, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current ratings for Semrush and Information Analysis, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Semrush	0	5	0	0	2.00
Information Analysis	0	0	0	0	0.00

Semrush presently has a consensus target price of $10.80, suggesting a potential downside of 9.21%. Given Information Analysis’ higher possible upside, analysts plainly believe Information Analysis is more favorable than Semrush.

Risk and Volatility

Semrush has a beta of 1.55, meaning that its share price is 55% more volatile than the S&P 500. Comparatively, Information Analysis has a beta of 3.25, meaning that its share price is 225% more volatile than the S&P 500.

About Semrush

Semrush Holdings, Inc. develops an online visibility management software-as-a-service platform in the United States, the United Kingdom, and internationally. The company enables companies to identify and reach the right audience for their content through the right channels. Its platform enables the company's customers to understand trends and act upon insights to enhance the online visibility, and drive traffic to their websites and social media pages, as well as online listings, distribute targeted content to their customers, and measure the digital marketing campaigns. The company serves small and midsize businesses, enterprises, and marketing agencies, including consumer internet, digital media, education, financial services, healthcare, retail, software, telecommunications, and others. Semrush Holdings, Inc. was founded in 2008 and is headquartered in Boston, Massachusetts.

About Information Analysis

Information Analysis, Inc. provides information technology services. The firm engages in the business of modernizing client information systems, developing and maintaining information technology systems, and performing consulting services to government and commercial organizations. It specializes in legacy systems modernization, ebusiness solutions, enterprise portals, system migration and re-hosting services, and enterprise application integration. The company was founded by Sandor Rosenberg in 1979 and is headquartered in Fairfax, VA.