Head-To-Head Contrast: Motorola Solutions (NYSE:MSI) versus Genasys (NASDAQ:GNSS)

Genasys (NASDAQ:GNSS) and Motorola Solutions (NYSE:MSI) are both technology companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, risk, analyst recommendations, earnings, valuation, dividends and institutional ownership.

Volatility and Risk

Genasys has a beta of 0.73, suggesting that its share price is 27% less volatile than the S&P 500. Comparatively, Motorola Solutions has a beta of 0.87, suggesting that its share price is 13% less volatile than the S&P 500.

Profitability

This table compares Genasys and Motorola Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Genasys	-10.86%	-435.06%	-9.83%
Motorola Solutions	17.44%	98.22%	12.87%

Institutional & Insider Ownership

40.0% of Genasys shares are held by institutional investors. Comparatively, 84.2% of Motorola Solutions shares are held by institutional investors. 8.3% of Genasys shares are held by company insiders. Comparatively, 1.3% of Motorola Solutions shares are held by company 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.

Valuation & Earnings

This table compares Genasys and Motorola Solutions”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Genasys	$56.89 million	1.34	-$18.11 million	($0.13)	-12.92
Motorola Solutions	$11.68 billion	6.82	$2.15 billion	$12.70	37.92

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

Analyst Recommendations

This is a summary of current ratings and target prices for Genasys and Motorola Solutions, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Genasys	1	0	2	0	2.33
Motorola Solutions	0	2	10	1	2.92

Genasys currently has a consensus target price of $4.20, suggesting a potential upside of 150.00%. Motorola Solutions has a consensus target price of $516.67, suggesting a potential upside of 7.29%. Given Genasys’ higher possible upside, equities analysts plainly believe Genasys is more favorable than Motorola Solutions.

Summary

Motorola Solutions beats Genasys on 13 of the 15 factors compared between the two stocks.

About Genasys

Genasys Inc. engages in the design, development, and commercialization of critical communications hardware and software solutions to alert, inform, and protect people principally in North and South America, Europe, the Middle East, Asia, and internationally. The company operates through two segments, Hardware and Software. It provides Genasys Protect ALERT, an interactive, cloud-based SaaS solution that is designed to enable SLED and enterprise customers to send critical information to at-risk individuals or groups when an emergency occurs using emails, voice calls, text messages, panic buttons, desktop alerts, TV, social media, and other; and Genasys Protect EVAC that enables responding agencies to determine and communicate the proper scope of a response or evacuation by replacing guesswork with data-driven intelligence; and Genasys Protect CONNECT, an instant communication platform that enables first responders and public safety personnel to collaborate and share information in a single space with text, videos, images, and audio from any location. The company also offers Genasys Protect ACOUSTICS, a mass notification speaker system with Genasys protect command-and-control software; and long range acoustic devices, such as acoustic hailing devices which are used to project alert tones and audible voice messages. It sells its products directly to governments, militaries, end-users, and commercial companies. The company was formerly known as LRAD Corporation. Genasys Inc. was incorporated in 1992 and is based in San Diego, California.

About Motorola Solutions

Motorola Solutions, Inc. provides public safety and enterprise security solutions in the United States, the United Kingdom, Canada, and internationally. The company operates in two segments, Products and Systems Integration, and Software and Services. The Products and Systems Integration segment offers a portfolio of infrastructure, devices, accessories, and video security devices and infrastructure, as well as the implementation and integration of systems, devices, software, and applications for government, public safety, and commercial customers who operate private communications networks and video security solutions, as well as manage a mobile workforce. Its land mobile radio communications, and video security and access control devices include two-way portable and vehicle-mounted radios, fixed video cameras, and accessories; communications network core and central processing software, base stations, consoles, and repeaters; and video analytics, network video management hardware and software, and access control solutions. The Software and Services segment provides public safety and enterprise command center, unified communications applications, mobile video equipment, and video software solutions; repair, technical support, and maintenance services; and monitoring, software updates, and cybersecurity services to government, public safety, and commercial communications networks. It serves hospitality; manufacturing; military and defence; public safety; mining; oil and gas; transportation and logistics; utilities industries. The company was formerly known as Motorola, Inc. and changed its name to Motorola Solutions, Inc. in January 2011. Motorola Solutions, Inc. was founded in 1928 and is headquartered in Chicago, Illinois.