Reviewing Solarwindow Technologies (OTCMKTS:WNDW) and FTC Solar (NASDAQ:FTCI)

Solarwindow Technologies (OTCMKTS:WNDW) and FTC Solar (NASDAQ:FTCI) are both small-cap energy companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, profitability, analyst recommendations, risk, valuation, institutional ownership and earnings.

Insider & Institutional Ownership

45.4% of FTC Solar shares are owned by institutional investors. 67.3% of Solarwindow Technologies shares are owned by insiders. Comparatively, 21.0% of FTC Solar shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Volatility & Risk

Solarwindow Technologies has a beta of -8.1, suggesting that its share price is 910% less volatile than the S&P 500. Comparatively, FTC Solar has a beta of 1.81, suggesting that its share price is 81% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations for Solarwindow Technologies and FTC Solar, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Solarwindow Technologies	0	0	0	0	0.00
FTC Solar	1	2	3	0	2.33

FTC Solar has a consensus price target of $12.50, suggesting a potential upside of 127.27%. Given FTC Solar’s stronger consensus rating and higher possible upside, analysts clearly believe FTC Solar is more favorable than Solarwindow Technologies.

Earnings & Valuation

This table compares Solarwindow Technologies and FTC Solar”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Solarwindow Technologies	N/A	N/A	-$2.26 million	($0.03)	-9.33
FTC Solar	$99.69 million	0.88	-$79.58 million	($5.74)	-0.96

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

Profitability

This table compares Solarwindow Technologies and FTC Solar’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Solarwindow Technologies	N/A	-42.41%	-40.25%
FTC Solar	-42.12%	-549.96%	-37.17%

Summary

FTC Solar beats Solarwindow Technologies on 8 of the 13 factors compared between the two stocks.

About Solarwindow Technologies

SolarWindow Technologies, Inc. engages in the development of transparent electricity-generating coatings and methods under LiquidElectricity Coatings brand. The company's coatings generate electricity by harvesting light energy from natural sun, artificial light, and low, shaded, or reflected light conditions, which is applied to rigid and flexible glass, and plastic surfaces to transform ordinary surfaces into organic photovoltaic devices. The company was incorporated in 1998 and is based in Scottsdale, Arizona.

About FTC Solar

FTC Solar, Inc. engages in the provision of solar tracker systems, software, and engineering services in the United States, Asia, Europe, the Middle East, North Africa, South Africa, and Australia. The company offers a self-powered, two-panel in-portrait, and single-axis tracker solution under the Voyager brand name; and a one module-in-portrait solar tracker solution under the Pioneer brand name. Its customers include project developers and solar asset owners, as well as engineering, procurement, and construction contractors that design and build solar energy projects. The company was incorporated in 2017 and is headquartered in Austin, Texas.