Reviewing Crossroads Systems (CRDS) & Diebold, (DBD)

Crossroads Systems (NASDAQ: CRDS) and Diebold, (NYSE:DBD) are both computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, analyst recommendations, profitability, valuation, institutional ownership, earnings and dividends.

Profitability

This table compares Crossroads Systems and Diebold,’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Crossroads Systems -518.75% -22.99% -7.88%
Diebold, -6.04% 7.25% 1.12%

Earnings & Valuation

This table compares Crossroads Systems and Diebold,’s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Crossroads Systems N/A N/A N/A ($1.07) -1.78
Diebold, $4.46 billion 0.36 $243.00 million ($3.67) -5.76

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

Risk & Volatility

Crossroads Systems has a beta of 2.75, meaning that its stock price is 175% more volatile than the S&P 500. Comparatively, Diebold, has a beta of 2, meaning that its stock price is 100% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings for Crossroads Systems and Diebold,, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Crossroads Systems 0 0 0 0 N/A
Diebold, 0 3 4 0 2.57

Diebold, has a consensus price target of $31.75, indicating a potential upside of 50.12%. Given Diebold,’s higher probable upside, analysts clearly believe Diebold, is more favorable than Crossroads Systems.

Dividends

Diebold, pays an annual dividend of $0.40 per share and has a dividend yield of 1.9%. Crossroads Systems does not pay a dividend. Diebold, pays out -10.9% of its earnings in the form of a dividend.

Insider and Institutional Ownership

7.5% of Crossroads Systems shares are owned by institutional investors. 27.4% of Crossroads Systems shares are owned by company insiders. Comparatively, 1.4% of Diebold, shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

Diebold, beats Crossroads Systems on 8 of the 12 factors compared between the two stocks.

About Crossroads Systems

Crossroads Systems, Inc. is an intellectual property licensing company. The Company’s intellectual property assets are identified in two distinct categories: the first category is known as the 972 patent family and the second category is known as the non-972 patents. As of October 31, 2016, the 972 patent family consisted of 31 patents and pending patents that are primarily concentrated around access controls. As of October 31, 2016, the non-972 patents consisted of 140 patents and pending patents that are primarily directed to five product families: optimizing command processing, enabling interoperability, managing networks, enhancing tape libraries and improving data systems. As of October 31, 2016, approximately 50 companies have licensed 972 patents from the Company. The Company’s subsidiaries include Crossroads Systems (Texas), Inc. and Crossroads Europe GmbH.

About Diebold,

Diebold Nixdorf, Incorporated provides connected commerce services, software and technology. The Company’s geographic segments include North America (NA), Asia Pacific (AP), Europe, Middle East and Africa (EMEA), and Latin America (LA). These segments sell and service financial self-service (FSS), retail solutions and security systems. The Company is engaged in providing connected commerce solutions to financial institutions. These solutions are supported by a field service organization. The Company provides security solutions, which combine a services portfolio and products to help address its customers’ needs. The Company provides services for a portfolio of physical security offerings, in addition to serving as a national locksmith. The Company provides voting machines for official elections and the terminals for the governmental lottery and correspondent bank.

Receive News & Ratings for Crossroads Systems Inc Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Crossroads Systems Inc and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply