Head-To-Head Review: AltiGen Communications (OTCMKTS:ATGN) versus Corning (NYSE:GLW)

Corning (NYSE:GLW) and AltiGen Communications (OTCMKTS:ATGN) are both computer and technology companies, but which is the better stock? We will contrast the two companies based on the strength of their earnings, institutional ownership, profitability, analyst recommendations, risk, valuation and dividends.

Valuation and Earnings

This table compares Corning and AltiGen Communications”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Corning	$14.92 billion	4.91	$506.00 million	$1.58	54.05
AltiGen Communications	$13.62 million	1.07	$1.56 million	$0.09	6.28

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

Analyst Ratings

This is a summary of current recommendations for Corning and AltiGen Communications, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Corning	0	2	11	1	2.93
AltiGen Communications	0	0	0	0	0.00

Corning currently has a consensus target price of $90.82, indicating a potential upside of 6.34%. Given Corning’s stronger consensus rating and higher possible upside, equities analysts clearly believe Corning is more favorable than AltiGen Communications.

Profitability

This table compares Corning and AltiGen Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Corning	9.16%	18.12%	7.28%
AltiGen Communications	18.15%	8.98%	7.47%

Risk and Volatility

Corning has a beta of 1.15, indicating that its stock price is 15% more volatile than the S&P 500. Comparatively, AltiGen Communications has a beta of 1.03, indicating that its stock price is 3% more volatile than the S&P 500.

Insider and Institutional Ownership

69.8% of Corning shares are owned by institutional investors. 0.4% of Corning shares are owned by company insiders. Comparatively, 14.0% of AltiGen Communications shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

Corning beats AltiGen Communications on 12 of the 15 factors compared between the two stocks.

About Corning

Corning Incorporated engages in the display technologies, optical communications, environmental technologies, specialty materials, and life sciences businesses in the United States and internationally. The company's Display Technologies segment offers glass substrates for flat panel displays, including liquid crystal displays and organic light-emitting diodes that are used in televisions, notebook computers, desktop monitors, tablets, and handheld devices. Its Optical Communications segment provides optical fibers and cables; and hardware and equipment products, such as cable assemblies, fiber optic hardware and connectors, optical components and couplers, closures, network interface devices, and other accessories for the telecommunications industry, businesses, governments, and individuals. The company's Specialty Materials segment manufactures products that offer material formulations for glass, glass ceramics, crystals, precision metrology instruments, and software, as well as glass wafers and substrates, tinted sunglasses, and radiation shielding products for various markets comprising mobile consumer electronics, semiconductor equipment optics and consumables, aerospace and defense optics, radiation shielding products, sunglasses, and telecommunications components. Its Environmental Technologies segment provides ceramic substrates and filter products for emissions control in mobile, gasoline, and diesel applications. The company's Life Sciences segment offers laboratory products, including consumables, such as plastic vessels, liquid handling plastics, specialty surfaces, cell culture media, and serum, as well as general labware, and glassware and equipment under the Corning, Pyrex, Falcon, and Axygen brands. The company was formerly known as Corning Glass Works and changed its name to Corning Incorporated in April 1989. Corning Incorporated was founded in 1851 and is headquartered in Corning, New York.

About AltiGen Communications

Altigen Communications, Inc. designs, develops, markets, and supports integrated communications solutions worldwide. It provides MaxCS IP-PBX, a software-based phone system that provides customers with business communications solutions; MaxACD Voice Over Internet Protocol (VoIP) Contact Center, a software-based automatic call distribution engine, which offers call routing and call distribution options; MaxMobile that extends a set of business PBX functionality to smart phone devices; and MaxCommunicator, a Windows-based desktop application, which provides call control and visual voice mail management to the desktop. The company offers MaxAgent, a Windows-based desktop application to bring call control and workgroup information to call center agents; MaxSupervisor, a Windows-based desktop application for call center supervisors; and MaxACD for Skype, a call center solution. In addition, it provides hosted services, which include hosted IP PBX, Skype for Business, session initiation protocol trunk, call center solution, voice and video calling, conference calling, and various long-distance services; and software assurance services, which offer customers with software updates, patches, new releases, and technical support for the applications they are licensed to use. The company serves financial services, healthcare, retail, and business services industries through a channel of distributors and resellers. Altigen Communications, Inc. was incorporated in 1994 and is based in Milpitas, California.