Analyzing ICTS International (OTCMKTS:ICTSF) and SuperCom (NASDAQ:SPCB)

ICTS International (OTCMKTS:ICTSF) and SuperCom (NASDAQ:SPCB) are both small-cap industrials companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, dividends, analyst recommendations, profitability, risk, institutional ownership and valuation.

Earnings & Valuation

This table compares ICTS International and SuperCom”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ICTS International	$483.31 million	0.31	-$4.23 million	N/A	N/A
SuperCom	$27.64 million	1.10	$660,000.00	$1.38	7.55

SuperCom has lower revenue, but higher earnings than ICTS International.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for ICTS International and SuperCom, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ICTS International	0	0	0	0	0.00
SuperCom	0	0	1	0	3.00

SuperCom has a consensus target price of $18.00, indicating a potential upside of 72.74%. Given SuperCom’s stronger consensus rating and higher probable upside, analysts plainly believe SuperCom is more favorable than ICTS International.

Volatility and Risk

ICTS International has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500. Comparatively, SuperCom has a beta of 1.08, indicating that its stock price is 8% more volatile than the S&P 500.

Profitability

This table compares ICTS International and SuperCom’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ICTS International	N/A	N/A	N/A
SuperCom	14.77%	54.93%	19.45%

Insider and Institutional Ownership

47.8% of SuperCom shares are held by institutional investors. 62.4% of ICTS International shares are held by company insiders. Comparatively, 18.3% of SuperCom shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

SuperCom beats ICTS International on 10 of the 12 factors compared between the two stocks.

About ICTS International

ICTS International N.V. provides airport security and other aviation services, and authentication technology services in the Netherlands, Germany, the United States, Spain, and internationally. It offers aviation security services, including security screening, behavior detection on crowds and queues, perimeter guarding/ patrolling, CCTV surveillance and/or alarm resolution, and vehicle marshalling. It also provides above wing security services, such as security interviewing, behavior detection, and escort of valuables and weapons; and handling services. In addition, it offers below wing services, comprising ramp and door guarding, interior and exterior searches, catering and bag room guarding, and selectee search; cargo security services, which include cargo screening, explosives detection dogs, access control, and vehicle marshalling services; private charter flight and cargo security screening, catering and aircraft Security Screening, aircraft search, and employee screening services; general security services, which comprise security search and screening, access control, perimeter guarding/patrolling, security host and reception, and CCTV surveillance and/or alarm resolution services; and training/consulting/auditing services. Further, it offers aviation security technology, including New Advanced Passenger Screening, an IT-system that enables pre-departure analysis of passenger information, and X-Check and I-Check that supports airline staff, security or filtering agents with customer processing; SaaS for identity verification and fraud prevention from physical and digital ID documents; and non-security services, such as agent services, guard services, queue monitors, aircraft cleaning, janitorial, skycap passengers luggage, wheelchair attendant, baggage handling, cruise line baggage transfer, VIP meet and greet services, equipment for passengers, and shuttle services to airline crews. The company was founded in 1982 and is based in Schiphol, the Netherlands.

About SuperCom

SuperCom Ltd. provides digital identity, Internet of Things and connectivity, and cyber security products and solutions to governments, and private and public organizations worldwide. The company operates in three segments: e-Gov, IoT and Connectivity, and Cyber Security. It offers MAGNA, a platform for national ID registries, e-passports, biometric visas, automated fingerprint identification systems, digitized driver's licenses, and electronic voter registration and election management. The company also provides PureRF, a solution based on RFID tag technology to identify, locate, track, monitor, count, and protect people and objects. Its PureRF suite includes PureRF Tags, Hands-Free Long-Range RFID Asset and Vehicle Tags, PureRF Readers, PureRF Activators, PureRF Initializer, House Arrest Monitoring System, PureRF RF Bracelet, PureCom RF Base Station, GOS Offender Tracking System, PureTrack, PureBeacon, PureMonitor Offender Electronic Monitoring Software, Inmate Monitoring System, DoorGuard, and Personnel Tag. In addition, the company offers domestic violence victim protection systems. Further, it provides connectivity products and solutions comprising AVIDITY WBSac, BOLSTER WBSn, BreezeULTRA P6000, Arena controller, and BreezeNET B; cyber security strategic business unit products and solutions, which include Safend Encryptor, Safend Protector, Safend Inspector, Safend Discoverer, and SafeMobile; and wireless and RFID products include solutions for carrier Wi-Fi, enterprise connectivity, smart city, smart hospitality, connected campuses, and connected events. It sells its systems and products through local representatives, subsidiaries, and distribution channels, as well as independent representatives, resellers, and distributors. The company was formerly known as Vuance Ltd. and changed its name to SuperCom Ltd. in January 2013. SuperCom Ltd. was incorporated in 1988 and is headquartered in Tel Aviv, Israel.