Head to Head Analysis: NetSol Technologies (NASDAQ:NTWK) versus Taoping (NASDAQ:TAOP)

NetSol Technologies (NASDAQ:NTWK) and Taoping (NASDAQ:TAOP) are both small-cap computer and technology companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, dividends, valuation, risk, institutional ownership, analyst recommendations and earnings.

Risk and Volatility

NetSol Technologies has a beta of 1.07, suggesting that its stock price is 7% more volatile than the S&P 500. Comparatively, Taoping has a beta of 0.63, suggesting that its stock price is 37% less volatile than the S&P 500.

Valuation & Earnings

This table compares NetSol Technologies and Taoping”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NetSol Technologies	$58.73 million	0.55	-$5.24 million	($0.38)	-7.47
Taoping	$42.64 million	0.04	-$700,000.00	N/A	N/A

Taoping has lower revenue, but higher earnings than NetSol Technologies.

Profitability

This table compares NetSol Technologies and Taoping’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NetSol Technologies	-7.33%	-11.38%	-7.33%
Taoping	N/A	N/A	N/A

Institutional and Insider Ownership

16.0% of NetSol Technologies shares are held by institutional investors. Comparatively, 4.0% of Taoping shares are held by institutional investors. 13.2% of NetSol Technologies shares are held by insiders. Comparatively, 45.4% of Taoping shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings and price targets for NetSol Technologies and Taoping, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NetSol Technologies	0	0	0	0	N/A
Taoping	0	0	0	0	N/A

Summary

Taoping beats NetSol Technologies on 5 of the 9 factors compared between the two stocks.

About NetSol Technologies

NetSol Technologies, Inc. designs, develops, markets, and exports enterprise software solutions to the automobile financing and leasing, banking, and financial services industries worldwide. The company offers NFS Ascent, a suite of financial applications for businesses in the finance and leasing industry. Its NFS Ascent constituent applications include Omni Point of Sale, a web-based application; Contract Management System (CMS), an application for managing and maintaining credit contracts; Wholesale Finance System (WFS), a system for automating and managing the lifecycle of wholesale finance; Dealer Auditor Access System, a web-based solution that could be used in conjunction with WFS or any third-party wholesale finance system; NFS Ascent deployed on The Cloud, a cloud-version of NFS Ascent; and NFS Digital, that includes Self Point of Sale, Mobile Account, Mobile Point of Sale, Mobile Dealer, Mobile Auditor, Mobile Collector, and Mobile Field Investigator. The company also provides Otoz Digital Auto-Retail and mobility orchestration, a white-label SaaS platform; Otoz Ecosystem, an API-based architecture; and Otoz Platform, a white label platform, which includes Dealer/Admin Tool and Customer Portals. In addition, it offers system integration, consulting, and information technology products and services. It serves blue chip organizations, Dow-Jones 30 Industrials, Fortune 500 manufacturers and financial institutions, and vehicle manufacturers. The company was incorporated in 1997 and is headquartered in Encino, California.

About Taoping

Taoping Inc. provides cloud-based platform, resource sharing, and big data solutions to the Chinese new media, education residential community management, and elevator Internet of Things (IoT) industries in the People's Republic of China. It operates through Cloud-Based Technology and Traditional Information Technology segments. The company offers cloud-based software as a service to automate the interactive workflows between advertising agencies and their customers, including establishing new advertising projects, submitting advertisement proposals, revising and approving advertising proposals, processing payment online, remotely uploading advertisement content, and tracking and analyzing performance data. It also provides project-based technology products and services for the public sector; and software and hardware with integrated solutions, such as information technology infrastructure, internet-enabled display technologies, and IoT platforms to customers in government, education, residential community management, media, transportation, and other private sectors, as well as related maintenance and support services. In addition, the company offers cloud-application-terminal, IoT technology based digital advertising distribution network, and media resource sharing platform in the out-of-home advertising markets. Further, it operates Taoping Net, an advertising-resources trading service platform, which connect screen owners, advertisers, and consumers; and Taoping App that enable customers to distribute and manage ads from mobile terminals. The company was formerly known as China Information Technology, Inc. and changed its name to Taoping Inc. in June 2018. Taoping Inc. was founded in 1993 and is headquartered in Shenzhen, the People's Republic of China.