Comparing ReposiTrak (NYSE:TRAK) and Radware (NASDAQ:RDWR)

Radware (NASDAQ:RDWR) and ReposiTrak (NYSE:TRAK) are both small-cap computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, risk, institutional ownership, profitability and dividends.

Analyst Ratings

This is a summary of current ratings and recommmendations for Radware and ReposiTrak, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Radware	1	2	2	0	2.20
ReposiTrak	0	1	0	0	2.00

Radware presently has a consensus target price of $30.00, suggesting a potential upside of 24.22%. Given Radware’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Radware is more favorable than ReposiTrak.

Earnings & Valuation

This table compares Radware and ReposiTrak”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Radware	$274.88 million	3.75	$6.04 million	$0.38	63.55
ReposiTrak	$22.61 million	8.61	$6.98 million	$0.36	29.56

ReposiTrak has lower revenue, but higher earnings than Radware. ReposiTrak is trading at a lower price-to-earnings ratio than Radware, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Radware has a beta of 0.94, meaning that its share price is 6% less volatile than the S&P 500. Comparatively, ReposiTrak has a beta of 0.41, meaning that its share price is 59% less volatile than the S&P 500.

Profitability

This table compares Radware and ReposiTrak’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Radware	5.66%	6.73%	3.89%
ReposiTrak	30.52%	14.37%	12.81%

Institutional and Insider Ownership

73.1% of Radware shares are held by institutional investors. Comparatively, 27.4% of ReposiTrak shares are held by institutional investors. 21.6% of Radware shares are held by company insiders. Comparatively, 41.0% of ReposiTrak shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Summary

Radware beats ReposiTrak on 8 of the 14 factors compared between the two stocks.

About Radware

Radware Ltd., together with its subsidiaries, develops, manufactures, and markets cyber security and application delivery solutions for cloud, on-premises, and software defined data centers worldwide. The company operates in two segments, Radware’s Core Business and The Hawks’ Business. It offers DefensePro provides automated DDoS protection; Radware Kubernetes, a web application firewall solution; and Cyber Controller, a unified solution for management, configuration, and attack lifecycle. The company also provides Alteon, an application delivery and security solution that manages application traffic across cloud and data center locations for optimizing availability and performance; and LinkProof NG, a multi-homing and enterprise gateway solution. In addition, it offers ERT Security Updates Subscription that provides protection from network elements, hosts, and applications; ERT Active Attackers Feed, a threat intelligence feed to protect against DDoS threats; ERT Protection Packages; Alteon Global Elastic License, a purchasing and deployment subscription; MSSP Portal, a DDoS detection and mitigation service portal; Location-based Mitigation that enables network traffic based on the geolocation mapping of IP subnets; and Cloud DDoS Protection Service, which offers a range of enterprise-grade DDoS protection services in the cloud. Further, the company provides Cloud Web DDoS Protection, Cloud WAF Service, Bot Manager, Cloud-Native Protector, and Cloud Application Protection Services, as well as technical support, professional, managed, and training and certification services. It sells its products primarily to independent distributors, including value added resellers, original equipment manufacturers, and system integrators. The company was founded in 1996 and is headquartered in Tel Aviv, Israel.

About ReposiTrak

Park City Group, Inc., a software-as-a-service provider, designs, develops, and markets proprietary software products in North America. The company offers ReposiTrak MarketPlace, a supplier discovery and B2B e-commerce solution; ReposiTrak Compliance and Food Safety solutions, which reduces potential regulatory and legal risk from their supply chain partners; and ReposiTrak Supply Chain solutions that enables customers to manage relationships with suppliers. It also provides ScoreTracker, Vendor Managed Inventory, Store Level Ordering and Replenishment, Enterprise Supply Chain Planning, Fresh Market Manager, and ActionManager supply chain solutions to manage inventory, product mix, and labor. In addition, the company offers business-consulting services to suppliers and retailers in the grocery, convenience store, and specialty retail industries, as well as professional consulting services. It primarily serves multi-store retail chains, wholesalers and distributors, and their suppliers. The company is headquartered in Murray, Utah.