Financial Contrast: Koss (NASDAQ:KOSS) versus Aftermaster (OTCMKTS:AFTM)

Koss (NASDAQ:KOSS) and Aftermaster (OTCMKTS:AFTM) are both consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, valuation, institutional ownership, risk, profitability, dividends and earnings.

Insider & Institutional Ownership

6.2% of Koss shares are owned by institutional investors. 44.3% of Koss shares are owned by company insiders. Comparatively, 10.2% of Aftermaster shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares Koss and Aftermaster”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Koss	$13.49 million	3.46	-$880,000.00	($0.01)	-494.00
Aftermaster	N/A	N/A	N/A	N/A	N/A

Aftermaster has lower revenue, but higher earnings than Koss.

Volatility & Risk

Koss has a beta of -1.99, meaning that its stock price is 299% less volatile than the S&P 500. Comparatively, Aftermaster has a beta of -1.51, meaning that its stock price is 251% less volatile than the S&P 500.

Profitability

This table compares Koss and Aftermaster’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Koss	-1.57%	-0.69%	-0.57%
Aftermaster	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings and price targets for Koss and Aftermaster, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Koss	1	0	0	0	1.00
Aftermaster	0	0	0	0	0.00

Given Aftermaster’s higher possible upside, analysts clearly believe Aftermaster is more favorable than Koss.

Summary

Aftermaster beats Koss on 5 of the 9 factors compared between the two stocks.

About Koss

Koss Corporation, together with its subsidiaries, engages in the design, manufacture, and sale of stereo headphones and related accessories in the United States, the Czech Republic, Sweden, Canada, Korea, Republic of Belgium, Malaysia, and internationally. It offers high-fidelity headphones, wireless bluetooth headphones, wireless bluetooth speakers, computer headsets, telecommunications headsets, and active noise canceling headphones. The company sells its products through distributors, international distributors, audio specialty stores, the internet, national retailers, grocery stores, electronics retailers, and prisons under the Koss name, as well as private label. It sells its products to distributors for resale to school systems, as well as directly to other manufacturers. The company markets through domestic retail outlets and numerous retailers. It exports its products. Koss Corporation was founded in 1953 and is headquartered in Milwaukee, Wisconsin.

About Aftermaster

AfterMaster, Inc., together with its subsidiaries, operates as an audio technology company in the United States. It develops and commercializes proprietary audio and video technologies for professional and consumer use. The company offers AfterMaster audio, a mastering, remastering, and audio processing technology that makes various audio source sounds louder, fuller, deeper, and clearer; ProMaster, an online music mastering, streaming, and storage service designed for independent artists; and Aftermaster Pro, a personal audio re-mastering device. It also provides Aftermaster Studio Pro products for use in commercial audio applications; and MyStudio products. In addition, AfterMaster, Inc. operates six recording and mastering studios. The company was formerly known as Studio One Media, Inc. and changed its name to AfterMaster, Inc. in September 2015. AfterMaster, Inc. was incorporated in 1988 and is based in Scottsdale, Arizona.