Inno (NASDAQ:INHD – Get Free Report) and CTS (NYSE:CTS – Get Free Report) are both small-cap technology companies, but which is the better stock? We will compare the two businesses based on the strength of their dividends, earnings, profitability, institutional ownership, risk, valuation and analyst recommendations.
Insider and Institutional Ownership
0.2% of Inno shares are held by institutional investors. Comparatively, 96.9% of CTS shares are held by institutional investors. 0.1% of Inno shares are held by company insiders. Comparatively, 2.4% of CTS shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Profitability
This table compares Inno and CTS’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Inno | -72.63% | -9.47% | -9.36% |
| CTS | 12.37% | 13.48% | 9.62% |
Volatility & Risk
Valuation and Earnings
This table compares Inno and CTS”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Inno | $2.85 million | 3.50 | -$7.08 million | ($5.90) | -0.67 |
| CTS | $541.32 million | 3.05 | $65.32 million | $2.38 | 24.25 |
CTS has higher revenue and earnings than Inno. Inno is trading at a lower price-to-earnings ratio than CTS, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a breakdown of recent ratings and target prices for Inno and CTS, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Inno | 1 | 0 | 0 | 0 | 1.00 |
| CTS | 0 | 2 | 2 | 0 | 2.50 |
CTS has a consensus target price of $73.50, indicating a potential upside of 27.33%. Given CTS’s stronger consensus rating and higher probable upside, analysts clearly believe CTS is more favorable than Inno.
Summary
CTS beats Inno on 13 of the 14 factors compared between the two stocks.
About Inno
Inno Holdings Inc. manufactures and sells cold-formed-steel members, castor cubes, mobile factories, and prefabricated homes in the United States. The company provides cold-formed steel framing and a mobile factory for off-site equipment rental, sales, service, and support. It serves in residential, commercial, industrial, and infrastructure projects. Inno Holdings Inc. was founded in 2019 and is headquartered in Brookshire, Texas.
About CTS
CTS Corporation manufactures and sells sensors, actuators, and connectivity components in North America, Europe, and Asia. The company provides encoders, rotary position sensors, slide potentiometers, industrial and commercial rotary potentiometers. It also provides non-contacting, and contacting pedals; and eBrake pedals. In addition, the company offers flow meters, hydrophones, non-destructive testing, sonar, ultrasonic imaging, piezoelectric materials, piezoelectric sense products, and bulk products. Further, it provides eMobility, chassis, current sensors, clutch, brake, position sensors, stroke sensor, seating, speed, throttle, transmission, turbo, temperature sensors, and technical related products. Additionally, the company offers DIP, rotary selector, tactile, rotary DIP, and toggle switches, as well as provides transducer related products. Furthermore, it provides EMI, RFI, and RFI products; specialty and resistors; and frequency control products. The company sells and markets its products through its sales engineers, independent manufacturer representatives, and distributors. CTS Corporation was founded in 1896 and is based in Lisle, Illinois.
Receive News & Ratings for Inno Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Inno and related companies with MarketBeat.com's FREE daily email newsletter.
