Analyzing Aftermaster (OTCMKTS:AFTM) & Sierra Wireless (OTCMKTS:SWIR)

Aftermaster (OTCMKTS:AFTM) and Sierra Wireless (NASDAQ:SWIR) are both small-cap consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their risk, valuation, profitability, analyst recommendations, earnings, institutional ownership and dividends.

Earnings and Valuation

This table compares Aftermaster and Sierra Wireless’ revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Aftermaster $1.65 million 1.71 -$4.25 million N/A N/A
Sierra Wireless $793.60 million 0.52 -$24.61 million $0.13 87.85

Aftermaster has higher earnings, but lower revenue than Sierra Wireless.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Aftermaster and Sierra Wireless, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Aftermaster 0 0 0 0 N/A
Sierra Wireless 2 3 3 0 2.13

Sierra Wireless has a consensus price target of $15.64, suggesting a potential upside of 36.98%. Given Sierra Wireless’ higher probable upside, analysts clearly believe Sierra Wireless is more favorable than Aftermaster.

Volatility and Risk

Aftermaster has a beta of -3.22, indicating that its stock price is 422% less volatile than the S&P 500. Comparatively, Sierra Wireless has a beta of 2, indicating that its stock price is 100% more volatile than the S&P 500.

Institutional and Insider Ownership

0.2% of Aftermaster shares are owned by institutional investors. Comparatively, 41.1% of Sierra Wireless shares are owned by institutional investors. 2.0% of Sierra Wireless shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Aftermaster and Sierra Wireless’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Aftermaster -965.70% N/A -928.07%
Sierra Wireless -5.75% 0.02% 0.01%

Summary

Sierra Wireless beats Aftermaster on 9 of the 11 factors compared between the two stocks.

About Aftermaster

AfterMaster, Inc., together with its subsidiaries, operates as an audio technology company in the United States. It develops and commercializes proprietary audio and video technologies for professional and consumer use. The company offers AfterMaster audio, a mastering, remastering, and audio processing technology that makes various audio source sounds louder, fuller, deeper, and clearer; ProMaster, an online music mastering, streaming, and storage service designed for independent artists; and Aftermaster Pro, a personal audio re-mastering device. It also provides Aftermaster Studio Pro and MyStudio, which are products for use in commercial audio applications. In addition, AfterMaster, Inc. operates six recording and mastering studios that engineer mix and master music for independent and high profile artists. The company was formerly known as Studio One Media, Inc. and changed its name to AfterMaster, Inc. in September 2015. AfterMaster, Inc. was incorporated in 1988 and is based in Scottsdale, Arizona.

About Sierra Wireless

Sierra Wireless, Inc., together with its subsidiaries, manufactures and sells cellular wireless devices, and provide services in the wireless communications and information technology industry in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific. Its Original Equipment Manufacturer (OEM) Solutions segment offers embedded cellular modules, short range wireless modules, global navigation satellite system modules, software, and tools to integrate wireless connectivity into various products and solutions for OEM customers, including the embedded wireless modules product portfolio; cloud-based remote device and data management solutions; and Legato, an open source Linux-based platform. It also offers professional services to OEM customers during their product development and launch process. Its Enterprise Solutions segment provides intelligent routers and gateways, as well as security and device management solutions, and professional services. Its Internet of Things (IoT) Services segment offers cellular connectivity services, which include smart subscriber identity module and core network platforms; a cloud based platform to deploy and manage IoT subscriptions, devices, and applications over the air; managed broadband cellular services, which include a combination of hardware, connectivity services, and cloud services; and specific vertical market IoT solutions that include segments, such as security, asset tracking and asset optimization. The company serves automotive, transportation, enterprise networking, energy, sales and payment, mobile computing, security, industrial monitoring, field services, residential, healthcare, public safety, retail, industrial, manufacturing, and cleantech industries, as well as financial enterprises. It serves through direct channels; and indirect channels, including OEMs, distributors, value-added resellers, and mobile network operators. The company was founded in 1993 and is headquartered in Richmond, Canada.

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