Reviewing BlackSky Technology (NYSE:BKSY) and Aeries Technology (NASDAQ:AERT)

BlackSky Technology (NYSE:BKSY) and Aeries Technology (NASDAQ:AERT) are both small-cap industrials companies, but which is the better investment? We will contrast the two companies based on the strength of their earnings, risk, institutional ownership, dividends, profitability, valuation and analyst recommendations.

Profitability

This table compares BlackSky Technology and Aeries Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BlackSky Technology	-61.24%	-51.24%	-14.80%
Aeries Technology	3.68%	-114.69%	6.81%

Earnings & Valuation

This table compares BlackSky Technology and Aeries Technology”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BlackSky Technology	$106.57 million	7.92	-$70.26 million	($1.82)	-11.33
Aeries Technology	$70.01 million	0.51	$2.55 million	$0.43	15.93

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

Insider and Institutional Ownership

27.1% of BlackSky Technology shares are owned by institutional investors. Comparatively, 99.2% of Aeries Technology shares are owned by institutional investors. 5.2% of BlackSky Technology shares are owned by insiders. Comparatively, 63.6% of Aeries Technology shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for BlackSky Technology and Aeries Technology, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BlackSky Technology	1	1	2	1	2.60
Aeries Technology	0	1	0	0	2.00

BlackSky Technology currently has a consensus price target of $39.33, indicating a potential upside of 90.70%. Given BlackSky Technology’s stronger consensus rating and higher probable upside, equities research analysts clearly believe BlackSky Technology is more favorable than Aeries Technology.

Volatility and Risk

BlackSky Technology has a beta of 2.61, indicating that its stock price is 161% more volatile than the S&P 500. Comparatively, Aeries Technology has a beta of 0.65, indicating that its stock price is 35% less volatile than the S&P 500.

Summary

BlackSky Technology beats Aeries Technology on 8 of the 15 factors compared between the two stocks.

About BlackSky Technology

BlackSky Technology Inc. provides geospatial intelligence, imagery and related data analytic products and services, and mission systems that include the development, integration, and operation of satellite and ground systems for government and commercial customers in North America, the Middle East, the Asia Pacific, and internationally. The company's Spectra software platform processes a range of observations from its satellite constellation and various external data sources, including imaging, radar and radio frequency satellites, environmental sensors, asset tracking sensors, Internet-of-Things (IoT) connected devices, internet-enabled narrative sources, and a variety of geotemporal data feeds. It offers a range of services related to object, change and anomaly detection, site monitoring, and enhanced analytics, which helps to detect key pattern of life changes in critical locations, including strategic locations and infrastructure comprising ports, airports, and construction sites; retail activity; commodities stockpiles; and other sites that contain critical commodities and supply chain inventory. In addition, the company develops and delivers satellites and payload systems; and provides professional and engineering services. Its products and services are used in national security, supply chain intelligence, crisis management, critical infrastructure monitoring, economic intelligence, and other applications. BlackSky Technology Inc. was incorporated in 2018 and is headquartered in Herndon, Virginia.

About Aeries Technology

Aeries Technology, Inc. operates as a professional services and consulting partner in the North America, Asia Pacific, and internationally. The company offers management consultancy services for private equity sponsors and their portfolio companies, including software solutions, product management, IT infrastructure, information and cyber security, ERP and CRM platform management, business process management, and digital transformation services. The company was founded in 2012 and is headquartered in Singapore.