Analyzing GigaMedia (NASDAQ:GIGM) & Wanderport (OTCMKTS:WDRP)

GigaMedia (NASDAQ:GIGM) and Wanderport (OTCMKTS:WDRP) are both small-cap computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, earnings, analyst recommendations, dividends, institutional ownership and profitability.

Insider & Institutional Ownership

13.5% of GigaMedia shares are held by institutional investors. 1.0% of GigaMedia shares are held by insiders. Comparatively, 46.9% of Wanderport shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Risk and Volatility

GigaMedia has a beta of 0.48, meaning that its share price is 52% less volatile than the S&P 500. Comparatively, Wanderport has a beta of -2.17, meaning that its share price is 317% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and target prices for GigaMedia and Wanderport, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GigaMedia	1	0	0	0	1.00
Wanderport	0	0	0	0	0.00

Profitability

This table compares GigaMedia and Wanderport’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GigaMedia	-50.86%	-4.52%	-4.24%
Wanderport	10.26%	N/A	N/A

Earnings & Valuation

This table compares GigaMedia and Wanderport”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GigaMedia	$3.47 million	4.59	-$1.55 million	($0.15)	-9.60
Wanderport	$40,000.00	12.57	N/A	N/A	N/A

Wanderport has lower revenue, but higher earnings than GigaMedia.

Summary

Wanderport beats GigaMedia on 5 of the 9 factors compared between the two stocks.

About GigaMedia

GigaMedia Limited, together with its subsidiaries, provides digital entertainment services in Taiwan, Hong Kong, and Macau. The company owns and operates FunTown, a digital entertainment portal that offers mobile and browser-based casual games, as well as provides services such as player clubs, tournaments, avatars, friends and family messenger and online chatting systems, customer service, mobile platform, and customer platform. It also offers MahJong, a traditional Chinese tile-based game; casual card and table games; online card games; and chance-based games, including bingo, lotto, horse racing, Sic-Bo, slots, and other casual games. In addition, the company provides role-playing and sports games, such as Tales Runner, a multi-player online obstacle running game; Yume 100, a story-based game that targets female players; Akaseka, a female-oriented game; and Shinobi Master New Link, a male-oriented game. GigaMedia Limited was founded in 1998 and is headquartered in Taipei, Taiwan.

About Wanderport

Wanderport Corporation distributes hemp-based food, beverages, and consumer products. It offers food and beverage products, such as hemp coffees, proteins, and seeds; dietary supplements, and body and skincare products, as well as accessories. The company sells its products online through its wanderbrands.com website. The company was formerly known as Temtex Industries Inc. and changed its name to Wanderport Corporation in January 2007. Wanderport Corporation was founded in 2006 and is based in Santa Monica, California.