Smith Micro Software (NASDAQ:SMSI – Get Free Report) and OptimizeRx (NASDAQ:OPRX – Get Free Report) are both small-cap computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, risk, profitability, analyst recommendations and institutional ownership.
Analyst Recommendations
This is a breakdown of recent ratings and recommmendations for Smith Micro Software and OptimizeRx, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Smith Micro Software | 1 | 0 | 1 | 0 | 2.00 |
| OptimizeRx | 1 | 2 | 6 | 0 | 2.56 |
Smith Micro Software presently has a consensus price target of $12.50, indicating a potential upside of 344.84%. OptimizeRx has a consensus price target of $13.43, indicating a potential upside of 162.28%. Given Smith Micro Software’s higher possible upside, analysts clearly believe Smith Micro Software is more favorable than OptimizeRx.
Valuation and Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Smith Micro Software | $17.36 million | 0.83 | -$29.33 million | ($6.90) | -0.41 |
| OptimizeRx | $109.43 million | 0.88 | $5.13 million | $0.35 | 14.63 |
OptimizeRx has higher revenue and earnings than Smith Micro Software. Smith Micro Software is trading at a lower price-to-earnings ratio than OptimizeRx, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Smith Micro Software and OptimizeRx’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Smith Micro Software | -165.35% | -55.78% | -41.02% |
| OptimizeRx | 6.37% | 10.86% | 7.93% |
Institutional & Insider Ownership
20.8% of Smith Micro Software shares are held by institutional investors. Comparatively, 76.5% of OptimizeRx shares are held by institutional investors. 34.7% of Smith Micro Software shares are held by company insiders. Comparatively, 7.5% of OptimizeRx shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Risk & Volatility
Smith Micro Software has a beta of 0.65, meaning that its share price is 35% less volatile than the S&P 500. Comparatively, OptimizeRx has a beta of 1.13, meaning that its share price is 13% more volatile than the S&P 500.
Summary
OptimizeRx beats Smith Micro Software on 12 of the 14 factors compared between the two stocks.
About Smith Micro Software
Smith Micro Software, Inc. engages in the development and sale of software to enhance the mobile experience to wireless and cable service providers in the Americas, Europe, the Middle East, and Africa. The company offers SafePath Family, SafePath IoT, SafePath Home, and SafePath Premium product suite, which provides tools to protect digital lifestyles and manage connected devices inside and outside the home; and CommSuite, a messaging platform that helps mobile service provides deliver a next-generation voicemail experience to mobile subscribers, as well as enables multi-language voice-to-text (VTT) transcription messaging. It also offers ViewSpot, a retail display management platform that provides on-screen and interactive demos to wireless carriers and other smartphone retailers; and technical support and customer services. Smith Micro Software, Inc. was founded in 1982 and is headquartered in Pittsburgh, Pennsylvania.
About OptimizeRx
OptimizeRx Corporation, a digital health technology company, enables care-focused engagement between life sciences organizations, healthcare providers, and patients at critical junctures throughout the patient care journey. It offers various tech-enabled marketing solutions through its Artificial Intelligence-generated Dynamic Audience and Activation Platform, which enables customers to execute traditional marketing campaigns on its proprietary digital point-of-care network, as well as dynamic marketing campaigns that optimize audiences in real time to increase the value of treatment information for healthcare professionals and patients in response to clinical care events. The company was founded in 2006 and is based in Waltham, Massachusetts.
Receive News & Ratings for Smith Micro Software Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Smith Micro Software and related companies with MarketBeat.com's FREE daily email newsletter.
