Financial Survey: SiTime (NASDAQ:SITM) and One Stop Systems (NASDAQ:OSS)

One Stop Systems (NASDAQ:OSS) and SiTime (NASDAQ:SITM) are both computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, analyst recommendations, valuation and risk.

Analyst Recommendations

This is a breakdown of current ratings and price targets for One Stop Systems and SiTime, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
One Stop Systems	1	0	3	0	2.50
SiTime	2	0	6	0	2.50

One Stop Systems currently has a consensus price target of $7.50, suggesting a potential upside of 26.05%. SiTime has a consensus price target of $332.14, suggesting a potential upside of 14.81%. Given One Stop Systems’ higher possible upside, research analysts plainly believe One Stop Systems is more favorable than SiTime.

Insider & Institutional Ownership

32.7% of One Stop Systems shares are held by institutional investors. Comparatively, 84.3% of SiTime shares are held by institutional investors. 10.8% of One Stop Systems shares are held by insiders. Comparatively, 2.1% of SiTime shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Volatility and Risk

One Stop Systems has a beta of 1.17, indicating that its share price is 17% more volatile than the S&P 500. Comparatively, SiTime has a beta of 2.36, indicating that its share price is 136% more volatile than the S&P 500.

Profitability

This table compares One Stop Systems and SiTime’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
One Stop Systems	-11.47%	-26.14%	-17.67%
SiTime	-25.18%	-5.69%	-4.76%

Valuation and Earnings

This table compares One Stop Systems and SiTime”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
One Stop Systems	$54.69 million	2.67	-$13.63 million	($0.32)	-18.59
SiTime	$202.70 million	37.25	-$93.60 million	($2.96)	-97.73

One Stop Systems has higher earnings, but lower revenue than SiTime. SiTime is trading at a lower price-to-earnings ratio than One Stop Systems, indicating that it is currently the more affordable of the two stocks.

Summary

SiTime beats One Stop Systems on 7 of the 13 factors compared between the two stocks.

About One Stop Systems

One Stop Systems, Inc. engages in the design, manufacture, and marketing of high-performance compute, high speed storage hardware and software, switch fabrics, and systems for edge deployments in the United States and internationally. The company's systems are built using the central processing unit, graphical processing unit, high-speed switch fabrics, and flash storage technologies. It provides custom servers, data acquisition platforms, compute accelerators, solid-state storage arrays, and system I/O expansion systems, as well as edge optimized industrial and panel PCs, tablets, and handheld compute devices. The company also offers ruggedized mobile tablets and handhelds that meet the specialized requirement for devices deployed at the edge in a diverse set of environmental conditions. It sells its products to multinational companies, governmental agencies, military contractors, military services, and technology providers through its website, web store, direct sales team, and original equipment manufacturer focused sales, as well as through a network of resellers and distributors. The company was founded in 1998 and is headquartered in Escondido, California.

About SiTime

SiTime Corporation designs, develops, and sells silicon timing systems solutions in Taiwan, Hong Kong, the United States, Singapore, and internationally. The company provides resonators and clock integrated circuits, and various types of oscillators. It serves various markets, including communications, datacenter, enterprise, automotive, industrial, internet of things, mobile, consumer, and aerospace and defense. The company sells its products directly to customers, distributors, and resellers. SiTime Corporation was incorporated in 2003 and is based in Santa Clara, California.