Head to Head Review: NeoMagic (OTCMKTS:NMGC) & Impinj (NASDAQ:PI)

Impinj (NASDAQ:PI) and NeoMagic (OTCMKTS:NMGC) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, dividends, profitability, risk and earnings.

Analyst Recommendations

This is a summary of current recommendations for Impinj and NeoMagic, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Impinj	1	1	6	0	2.63
NeoMagic	0	0	0	0	0.00

Impinj presently has a consensus price target of $167.57, indicating a potential downside of 9.51%. Given Impinj’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Impinj is more favorable than NeoMagic.

Earnings & Valuation

This table compares Impinj and NeoMagic”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Impinj	$358.94 million	15.01	$40.84 million	$0.01	18,519.00
NeoMagic	N/A	N/A	N/A	N/A	N/A

Impinj has higher revenue and earnings than NeoMagic.

Risk & Volatility

Impinj has a beta of 1.83, suggesting that its stock price is 83% more volatile than the S&P 500. Comparatively, NeoMagic has a beta of 0.04, suggesting that its stock price is 96% less volatile than the S&P 500.

Profitability

This table compares Impinj and NeoMagic’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Impinj	0.18%	8.14%	2.64%
NeoMagic	N/A	N/A	N/A

Summary

Impinj beats NeoMagic on 8 of the 8 factors compared between the two stocks.

About Impinj

Impinj, Inc. operates a cloud connectivity platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. Its platform wirelessly connects items and delivers data about the connected items to business and consumer applications. The company’s platform comprises endpoint ICs, a miniature radios-on-a-chip that attaches to a host item and includes a number to identify the item. Its platform also consists of systems products that consists of reader ICs, readers, and gateways to wirelessly provide power to and communicate bidirectionally with endpoint ICs on host items, as well as to read, write, authenticate, and engage the endpoint ICs on those items; and software and algorithms that enable its partners to solve enterprise business problems, such as retail self-checkout and loss prevention. The company primarily serves retail, supply chain and logistics, automotive, aviation, banking, datacenters, food, healthcare, industrial and manufacturing, linen and uniform tracking, sports, and travel industries through original equipment and device manufacturers, tag service bureaus, systems integrators, value-added resellers, independent software vendors, and other solution partners. Impinj, Inc. was incorporated in 2000 and is headquartered in Seattle, Washington.

About NeoMagic

NeoMagic Corporation designs and delivers semiconductors and software solutions for video, television, imaging, graphic, and audio devices. It offers microcontrollers; horizon digital picture frame and digital mobile TV solutions; and SOC processors, such as application processors and Neomobile TV solutions. The company, through its MercadoMagico.com division, operates an e-Commerce platform that allows user to buy and sell products from one another or buy premium electronic products. It sells its applications processors under the MiMagic brand name. The company was founded in 1993 and is based in Milpitas, California.