Critical Analysis: Pitney Bowes (NYSE:PBI) & International Monetary Systems (OTCMKTS:ITNM)

International Monetary Systems (OTCMKTS:ITNM) and Pitney Bowes (NYSE:PBI) are both industrials companies, but which is the better business? We will compare the two companies based on the strength of their valuation, risk, earnings, dividends, institutional ownership, profitability and analyst recommendations.

Analyst Ratings

This is a summary of current ratings and price targets for International Monetary Systems and Pitney Bowes, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
International Monetary Systems	0	0	0	0	0.00
Pitney Bowes	0	3	3	1	2.71

Pitney Bowes has a consensus price target of $18.45, indicating a potential upside of 12.50%. Given Pitney Bowes’ stronger consensus rating and higher probable upside, analysts clearly believe Pitney Bowes is more favorable than International Monetary Systems.

Valuation and Earnings

This table compares International Monetary Systems and Pitney Bowes”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
International Monetary Systems	N/A	N/A	N/A	N/A	N/A
Pitney Bowes	$1.89 billion	1.19	$144.70 million	$1.22	13.44

Pitney Bowes has higher revenue and earnings than International Monetary Systems.

Insider & Institutional Ownership

67.9% of Pitney Bowes shares are owned by institutional investors. 71.3% of International Monetary Systems shares are owned by insiders. Comparatively, 6.5% of Pitney Bowes shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk & Volatility

International Monetary Systems has a beta of -0.09, indicating that its share price is 109% less volatile than the S&P 500. Comparatively, Pitney Bowes has a beta of 1.63, indicating that its share price is 63% more volatile than the S&P 500.

Profitability

This table compares International Monetary Systems and Pitney Bowes’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
International Monetary Systems	N/A	N/A	N/A
Pitney Bowes	10.04%	-31.37%	8.02%

Summary

Pitney Bowes beats International Monetary Systems on 9 of the 11 factors compared between the two stocks.

About International Monetary Systems

International Monetary Systems Ltd. operates as a holding company. The firm engages in the management and operation of a barter trade exchange. It offers electronic mail promotions, monthly statements, 24-hour authorization service and internet trading. The company was founded in July 1985 and is headquartered in New Berlin, WI.

About Pitney Bowes

Pitney Bowes Inc., a shipping and mailing company, provides technology, logistics, and financial services to small and medium-sized businesses, large enterprises, retailers, and government clients in the United States and internationally. It operates through Global Ecommerce, Presort Services, and SendTech Solutions segments. The Global Ecommerce segment provides domestic parcel services, cross-border solutions, and digital delivery services. The Presort Services segment offers mail sortation services, which allow clients to qualify volumes of first-class mail, marketing mail, marketing mail flats, and bound printed matter for postal work sharing discounts. The SendTech Solutions segment provides physical and digital mailing and shipping technology solutions, and other applications for sending, tracking and receiving of letters, parcels, and flats as well as financing alternatives to finance equipment and product purchases. It markets its products, solutions, and services through direct and inside sales force, global and regional partner channels, direct mailings, and digital channels. The company was formerly known as Pitney Bowes Postage Meter Company. Pitney Bowes Inc. was incorporated in 1920 and is headquartered in Stamford, Connecticut.