Code Rebel (OTCMKTS:CDRBQ) versus Red Cat (NASDAQ:RCAT) Financial Contrast

Code Rebel (OTCMKTS:CDRBQ) and Red Cat (NASDAQ:RCAT) are both computer and technology companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, valuation, institutional ownership, risk, profitability, dividends and earnings.

Profitability

This table compares Code Rebel and Red Cat’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Code Rebel	N/A	N/A	N/A
Red Cat	-162.50%	-66.19%	-58.99%

Insider & Institutional Ownership

38.0% of Red Cat shares are owned by institutional investors. 30.5% of Red Cat shares are owned 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.

Valuation & Earnings

This table compares Code Rebel and Red Cat”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Code Rebel	N/A	N/A	N/A	N/A	N/A
Red Cat	$18.86 million	13.78	-$24.05 million	($0.52)	-6.73

Code Rebel has higher earnings, but lower revenue than Red Cat.

Analyst Ratings

This is a breakdown of current ratings and price targets for Code Rebel and Red Cat, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Code Rebel	0	0	0	0	N/A
Red Cat	0	0	1	0	3.00

Red Cat has a consensus target price of $4.00, indicating a potential upside of 14.29%. Given Red Cat’s higher possible upside, analysts clearly believe Red Cat is more favorable than Code Rebel.

Volatility & Risk

Code Rebel has a beta of -16.58, meaning that its stock price is 1,758% less volatile than the S&P 500. Comparatively, Red Cat has a beta of -0.03, meaning that its stock price is 103% less volatile than the S&P 500.

Summary

Red Cat beats Code Rebel on 6 of the 9 factors compared between the two stocks.

About Code Rebel

Code Rebel Corporation operates as a software and information technology (IT) services company. It operates in two segments, Software and IT Services. The Software segment develops, markets, and licenses interactive remote application terminal services solution (iRAPP). The iRAPP allows personal computers users to use applications on a single Mac remote desktop simultaneously via the iRAPP client or any standard compliant remote desktop protocol client. This segment offers iRAPP client-side products for Mac OS X and Windows applications; iRAPP terminal server products, including iRAPP-single-user remote desktop and iRAPP-TS multiple-user terminal server for Mac OS X applications; and iRAPP access products, such as iRAPP Load Balancer and iRAPP Gateway. The IT Services segment provides Independent Software Vendor relationships (ISVs)/channel partner platforms, which provide project management, application, and technical consulting, as well as database administration for implementing projects and managed-services engagements; and professional services consulting that implements, upgrades, and maintains software packages those ISVs offer to their clients. Code Rebel Corporation was founded in 2007 and is based in Kahului, Hawaii.

About Red Cat

Red Cat Holdings, Inc. engages in the provision of various products, services, and solutions to the drone industry. The company operates through two segments: Enterprise and Consumer. It built infrastructure to manages drone fleets and fly, and provide services remotely, navigate confined industrial interior spaces and dangerous military environment. Red Cat Holdings, Inc. is based in San Juan, Puerto Rico.