Head to Head Comparison: Westell Technologies (OTCMKTS:WSTL) vs. Airgain (NASDAQ:AIRG)

Westell Technologies (OTCMKTS:WSTL) and Airgain (NASDAQ:AIRG) are both small-cap technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, risk, dividends, profitability, institutional ownership and valuation.

Volatility & Risk

Westell Technologies has a beta of 0.97, meaning that its share price is 3% less volatile than the S&P 500. Comparatively, Airgain has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500.

Institutional & Insider Ownership

10.9% of Westell Technologies shares are held by institutional investors. Comparatively, 52.8% of Airgain shares are held by institutional investors. 24.6% of Westell Technologies shares are held by insiders. Comparatively, 17.5% of Airgain shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Westell Technologies and Airgain’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Westell Technologies	-30.99%	-18.79%	-15.09%
Airgain	-13.65%	-13.72%	-8.74%

Analyst Ratings

This is a summary of recent ratings and recommmendations for Westell Technologies and Airgain, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Westell Technologies	0	0	0	0	0.00
Airgain	1	0	4	0	2.60

Airgain has a consensus price target of $7.70, suggesting a potential upside of 38.49%. Given Airgain’s stronger consensus rating and higher possible upside, analysts plainly believe Airgain is more favorable than Westell Technologies.

Earnings and Valuation

This table compares Westell Technologies and Airgain”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Westell Technologies	$29.96 million	3.11	-$10.10 million	($0.56)	-10.54
Airgain	$51.78 million	1.41	-$6.43 million	($0.56)	-9.93

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

Summary

Airgain beats Westell Technologies on 10 of the 13 factors compared between the two stocks.

About Westell Technologies

Westell Technologies, Inc., through its subsidiary, Westell, Inc., designs and distributes telecommunications products to telephone companies in the United States. The company operates through three segments: In-Building Wireless (IBW), Intelligent Site Management (ISM), and Communications Network Solutions (CNS). The IBW segment offers distributed antenna system conditioners; digital repeaters; battery backup units; and system components and antennas, including couplers, duplexers, splitters, filters, and tappers for commercial and public safety in-building wireless systems. The ISM segment provides a suite of remote units, which provide machine-to-machine communications that enable operators to remotely monitor, manage, and control site infrastructure and support systems. The CNS segment provides a range of indoor and outdoor network infrastructure, such as integrated cabinets, power distribution products, copper and fiber connectivity products, and T1 network interface units. The company serves wireless and wireline service providers, multiple systems operators, Internet service providers, systems integrators, neutral host operators, and distributors through field sales organization, distributors, and partners. Westell Technologies, Inc. was founded in 1980 and is headquartered in Aurora, Illinois.

About Airgain

Airgain, Inc. provides wireless connectivity solutions that creates and delivers embedded components, external antennas, and integrated systems worldwide. The company's products include MaxBeam embedded antennas; profile embedded antennas; profile contour embedded antennas; profile ceramic embedded antenna; ultra embedded antennas; and SmartMax embedded antennas. It offers embedded and NimbeLink embedded moderms; custom cellular solutions; cellular IoT development; cellular IoT development kits; and IoT data plans. In addition, the company provides 5G connectivity, smart repeaters, and fixed wireless access; asset tracking solutions, devices, and partners; and external antennas, fleet antennas, IoT antennas, network antennas, vehicle networking, partner solutions, and accessories. It offers its products under the Antenna Plus brand. It serves industrial, consumer, automotive fleet, enterprise, energy, medical, transportation, agriculture, services, and public safety markets. The company was formerly known as AM Group and changed its name to Airgain, Inc. in 2004. Airgain, Inc. was incorporated in 1995 and is headquartered in San Diego, California.