Comparing Inseego (NASDAQ:INSG) & Ituran Location and Control (NASDAQ:ITRN)

Inseego (NASDAQ:INSG) and Ituran Location and Control (NASDAQ:ITRN) are both small-cap technology companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, risk, valuation, earnings, dividends and profitability.

Profitability

This table compares Inseego and Ituran Location and Control’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Inseego	-6.41%	N/A	-8.89%
Ituran Location and Control	16.28%	29.03%	16.29%

Earnings & Valuation

This table compares Inseego and Ituran Location and Control”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Inseego	$166.19 million	0.43	$840,000.00	$0.13	33.62
Ituran Location and Control	$359.02 million	2.84	$57.97 million	$3.24	15.84

Ituran Location and Control has higher revenue and earnings than Inseego. Ituran Location and Control is trading at a lower price-to-earnings ratio than Inseego, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

34.2% of Inseego shares are held by institutional investors. Comparatively, 94.8% of Ituran Location and Control shares are held by institutional investors. 21.7% of Inseego shares are held by company insiders. Comparatively, 0.0% of Ituran Location and Control 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.

Analyst Ratings

This is a summary of recent ratings for Inseego and Ituran Location and Control, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Inseego	2	2	3	1	2.38
Ituran Location and Control	0	1	4	0	2.80

Inseego presently has a consensus price target of $14.60, suggesting a potential upside of 234.10%. Ituran Location and Control has a consensus price target of $60.67, suggesting a potential upside of 18.21%. Given Inseego’s higher probable upside, analysts plainly believe Inseego is more favorable than Ituran Location and Control.

Volatility and Risk

Inseego has a beta of 1.61, meaning that its share price is 61% more volatile than the S&P 500. Comparatively, Ituran Location and Control has a beta of 0.78, meaning that its share price is 22% less volatile than the S&P 500.

Summary

Ituran Location and Control beats Inseego on 10 of the 15 factors compared between the two stocks.

About Inseego

Inseego Corp. engages in the design and development of cloud-managed wireless wide area network (WAN) and intelligent edge solutions for businesses, consumers, and governments worldwide. The company provides 5G and 4G mobile broadband solutions, such as mobile hotspots under the MiFi brand; and 4G VoLTE products and 4G USB modems. It also offers fixed wireless access solutions, including indoor, outdoor, and industrial routers and gateways. In addition, the company provides Inseego Connect solution for device management; and 5G SD EDGE solution for secure networking enabling corporate managed mobile remote workforce. Further, it offers SaaS solutions, including telematic and asset tracking solution that provides live maps and data to improve driver safety and performance; Inseego Subscribe, a wireless subscriber management solution for carrier’s management of their government and complex enterprise customer subscriptions. The company was founded in 1996 and is based in San Diego, California.

About Ituran Location and Control

Ituran Location and Control Ltd., together with its subsidiaries, provides location based telematics services and machine-to-machine telematics products. It operates through two segments, Telematics Services and Telematics Products. The Telematics services segment offers stolen vehicle recovery and tracking services, which enables to locate, track, and recover stolen vehicles for its subscribers; fleet management services that enable corporate and individual customers to track and manage their vehicles in real time; and locator services that allow customers to protect valuable merchandise and equipment. This segment also delivers on-demand navigation guidance, information, and assistance, including the provision of traffic reports and directions, as well as information on the location of gas stations, car repair shops, post offices, hospitals, and other facilities; and Connected Car, a service platform that includes a back-office application, a telematics device installed in the vehicle, mobile apps for IOS and Android users, and interface using the car infotainment screen, as well as usage based insurance and auto financing services. This segment serves insurance companies and agents, car manufacturers, dealers and importers, cooperative sales channels, and private subscribers. The Telematics Products segment offers Base Site, a radio receiver that includes a processor and a data computation unit to collect and send data to and from transponders, and to control centers; Control Center, a center consisting of software used to collect data from various base sites, conduct location calculations, and transmit location data to various customers and law enforcement agencies; navigation and tracking devices installed in vehicles; and SMART, a portable transmitter installed in vehicles that sends a signal to the base site enabling the location of vehicles, equipment, or an individual. The company was incorporated in 1994 and is headquartered in Azor, Israel.