Analyzing Advantest (OTCMKTS:ATEYY) & Geospace Technologies (NASDAQ:GEOS)

Advantest (OTCMKTS:ATEYY) and Geospace Technologies (NASDAQ:GEOS) are both computer and technology companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, dividends, analyst recommendations, profitability, earnings, valuation and risk.

Institutional & Insider Ownership

0.0% of Advantest shares are held by institutional investors. Comparatively, 57.2% of Geospace Technologies shares are held by institutional investors. 7.6% of Geospace Technologies shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares Advantest and Geospace Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Advantest	19.95%	29.15%	18.39%
Geospace Technologies	-14.03%	0.69%	0.62%

Analyst Recommendations

This is a summary of current ratings for Advantest and Geospace Technologies, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Advantest	0	1	0	0	2.00
Geospace Technologies	0	0	0	0	0.00

Volatility & Risk

Advantest has a beta of 1.5, suggesting that its share price is 50% more volatile than the S&P 500. Comparatively, Geospace Technologies has a beta of 0.17, suggesting that its share price is 83% less volatile than the S&P 500.

Valuation & Earnings

This table compares Advantest and Geospace Technologies”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Advantest	$5.12 billion	10.26	$1.06 billion	$1.22	58.33
Geospace Technologies	$135.60 million	1.48	-$6.58 million	($1.28)	-12.27

Advantest has higher revenue and earnings than Geospace Technologies. Geospace Technologies is trading at a lower price-to-earnings ratio than Advantest, indicating that it is currently the more affordable of the two stocks.

Summary

Advantest beats Geospace Technologies on 10 of the 12 factors compared between the two stocks.

About Advantest

Advantest Corporation manufactures and sells semiconductors, component test system products, and mechatronics related products in Japan, the Americas, Europe, and Asia. The company operates through three segments: Semiconductor and Component Test System; Mechatronics Related Business; and Services, Support and Others. The Semiconductor and Component Test System segment provides customers with test system products for the semiconductor industry and the electronic parts industry, as well as offers test systems for SoC semiconductor devices, and test systems for memory semiconductors devices. The Mechatronics Related Business segment provides test handlers; mechatronic-applied products for handling semiconductor devices; and device interfaces, which serve as interfaces with the devices that are measured, as well as nano-technology related products. The Services, Support and Others segment provides test solutions of system level testing customer solutions for the semiconductor and modules, and support services. This segment is also involved in the sale of consumables and used products, and equipment lease and other businesses. It also engages in the research and development activities and provides maintenance and support services. The company was incorporated in 1946 and is headquartered in Tokyo, Japan.

About Geospace Technologies

Geospace Technologies Corporation designs and manufactures instruments and equipment used in the oil and gas industry to acquire seismic data in order to locate, characterize, and monitor hydrocarbon producing reservoirs. The company operates through three segments: Oil and Gas Markets, Adjacent Markets, and Emerging Markets. The Oil and Gas Markets segment offers wireless seismic data acquisition systems and reservoir characterization products and services, as well as traditional seismic exploration products, such as geophones, hydrophones, leader wires, connectors, cables, marine streamer retrieval and steering devices, and other seismic products. The Adjacent Markets segment provides industrial products, including imaging equipment, water meter products, remote shut-off valves, and Internet of Things platform, as well as seismic sensors for vibration monitoring and geotechnical applications, such as mine safety and earthquake detection applications; and electronic pre-press products that employ direct thermal imaging, direct-to-screen printing systems, and digital inkjet printing technologies targeted at the commercial and industrial graphics, textile, and flexographic printing industries. The Emerging Markets segment designs and sells products used for border and perimeter security surveillance, cross-border tunneling detection, and other products targeted at movement monitoring, intrusion detection, and situational awareness. This segment serves various agencies of the United States government, including the Department of Defense, Department of Energy, Department of Homeland Security, and other agencies. The company operates in Asia, Canada, Europe, South America, the United States, and internationally. Geospace Technologies Corporation was founded in 1980 and is headquartered in Houston, Texas.