Comparing Allin (OTCMKTS:ALLN) and Digimarc (NASDAQ:DMRC)

Allin (OTCMKTS:ALLN) and Digimarc (NASDAQ:DMRC) are both small-cap computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, earnings, institutional ownership, profitability, risk, dividends and analyst recommendations.

Valuation & Earnings

This table compares Allin and Digimarc’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Allin	N/A	N/A	N/A	N/A	N/A
Digimarc	$34.85 million	18.86	-$45.96 million	($2.08)	-14.78

Allin has higher earnings, but lower revenue than Digimarc.

Volatility & Risk

Allin has a beta of 0.36, suggesting that its share price is 64% less volatile than the S&P 500. Comparatively, Digimarc has a beta of 1.73, suggesting that its share price is 73% more volatile than the S&P 500.

Insider and Institutional Ownership

66.9% of Digimarc shares are held by institutional investors. 14.7% of Allin shares are held by insiders. Comparatively, 19.3% of Digimarc shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Allin and Digimarc, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Allin	0	0	0	0	N/A
Digimarc	0	1	1	0	2.50

Digimarc has a consensus target price of $34.00, suggesting a potential upside of 10.57%. Given Digimarc’s higher possible upside, analysts clearly believe Digimarc is more favorable than Allin.

Profitability

This table compares Allin and Digimarc’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Allin	N/A	N/A	N/A
Digimarc	-114.38%	-46.01%	-36.78%

Summary

Digimarc beats Allin on 6 of the 9 factors compared between the two stocks.

About Allin

Allin Corporation engages in designing, developing, and deploying interactive software platforms for the hospitality industry. It offers DIGIMANAGER, a browser-based content management system portal by which authorized staff can insert and edit interactive content, select options, schedule modules and content, and run system health checks, as well as run reports on system usage, guest responses, and transactions. The company also provides DigiHD, a high-definition ITV solution for distribution on IP network infrastructures; DIGIMOBILE, a solution to offer interactive smart phone/pad applications that can be integrated with existing ITV offerings; DIGICASINO, which deliver high-definition slots and video poker on room televisions; DIGIHD-(COAX), a solution that enables to deliver high-definition ITV services over RF broadcast network; and DIGIPUBLIC, a signage technology that enables cruise lines and land-based destination resorts to control various interactive public displays from DIGIMANAGER. It serves hotel and cruise industries. Allin Corporation was formerly known as Allin Communications Corp and changed its name to Allin Corporation in August 1996. The company was founded in 1994 and is based in Pittsburgh, Pennsylvania.

About Digimarc

Digimarc Corporation, together with its subsidiaries, provides automatic identification solutions to commercial and government customers in the United States and internationally. The company offers Digimarc Validate protects, a cloud-based record of product authentication information; Digimarc Engage, an interactive communications channel connecting brands and consumers; and Digimarc Recycle. Its solutions are used in various application solutions, such as sorting of consumer-packaged goods in recycling streams. The company offers its solutions through its sales personnel and business partners. Digimarc Corporation was incorporated in 2008 and is based in Beaverton, Oregon.