Smith Micro Software (NASDAQ: SMSI) is one of 118 publicly-traded companies in the “Software” industry, but how does it weigh in compared to its competitors? We will compare Smith Micro Software to similar businesses based on the strength of its profitability, valuation, analyst recommendations, dividends, institutional ownership, risk and earnings.

Risk and Volatility

Smith Micro Software has a beta of 0.05, indicating that its share price is 95% less volatile than the S&P 500. Comparatively, Smith Micro Software’s competitors have a beta of 0.98, indicating that their average share price is 2% less volatile than the S&P 500.

Profitability

This table compares Smith Micro Software and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Smith Micro Software -49.33% -339.18% -49.92%
Smith Micro Software Competitors -42.00% -25.21% -9.86%

Institutional and Insider Ownership

14.0% of Smith Micro Software shares are owned by institutional investors. Comparatively, 58.4% of shares of all “Software” companies are owned by institutional investors. 22.0% of Smith Micro Software shares are owned by insiders. Comparatively, 20.0% of shares of all “Software” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Smith Micro Software and its competitors gross revenue, earnings per share and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
Smith Micro Software $25.00 million -$9.65 million -1.23
Smith Micro Software Competitors $1.51 billion $446.17 million 42.06

Smith Micro Software’s competitors have higher revenue and earnings than Smith Micro Software. Smith Micro Software is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Smith Micro Software and its competitors, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Smith Micro Software 0 0 0 0 N/A
Smith Micro Software Competitors 259 1983 4245 84 2.63

As a group, “Software” companies have a potential upside of 7.45%. Given Smith Micro Software’s competitors higher possible upside, analysts plainly believe Smith Micro Software has less favorable growth aspects than its competitors.

Summary

Smith Micro Software competitors beat Smith Micro Software on 8 of the 9 factors compared.

Smith Micro Software Company Profile

Smith Micro Software, Inc. is a provider of software solutions. The Company operates through two segments: Wireless and Graphics. The Company offers multi-platform, modular solutions organized into three product families, including NetWise, CommSuite and QuickLink. For mobile network operators, NetWise helps reduce cellular congestion and optimize data traffic across third-generation (3G), fourth-generation (4G) and wireless fidelity (Wi-Fi) networks. Graphics segment includes its consumer-based products, such as Poser, Anime Studio, Manga Studio, MotionArtist and StuffIt. The Graphics segment develops a range of software, including graphic design and animation, compression and personal computer (PC)/Mac utilities, for consumers, professional artists and educators. The Company also offers Family Safety platform for family locator and parental controls.

Receive News & Ratings for Smith Micro Software Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Smith Micro Software Inc. and related companies with MarketBeat.com's FREE daily email newsletter.