Both Xcerra Corporation (NASDAQ:$XCRA) and Nanometrics Incorporated (NASDAQ:$NANO) are small-cap companies operating in the computer and technology industry. So how do these companies stack up against one another? Let’s take a look at the numbers.

Profitability

Xcerra currently has a Net Margin of 5.77%. Their Return on Equity is 9.08% and their Return on Assets is 6.71%. Nanometrics has a Net Margin of 19.94%, with an ROE of 11.95% and a ROA of 10.01%.

Valuation & Earnings

Xcerra currently has Gross Revenue of $390.77 million and an EBITDA of $34.79 million. They also have a Price/Sales Ratio of 1.37, Earnings Per Share of $0.42, and a Price/Earnings Ratio of 23.38. Comparatively, Nanometrics has a Gross Revenue of $241.61 million, an EBITDA of $41.73 million, a Price/Sales Ratio of 2.98, Earnings Per Share of $1.88, and a Price/Earnings Ratio of 15.04.

Xcerra has higher earnings, but a lower overall revenue. However, Nanometrics is trading at the lower Price-to-Earnings ratio, indicating its the more affordable stock.

What Are Analysts Saying?

Xcerra currently has 5 ‘Hold’ ratings from analysts, giving them a flat 2.00 Rating Score, whereas Nanometrics has 3 ‘Buy’ ratings, giving them a 3.00 Rating Score.

On the other hand, Xcerra currently has a price consensus of $10.25, indicating a possible upside of 4.38%. Nanometrics, comparatively, has a consensus target price of $31.67, suggesting a potential upside of 11.98%. Therefore, analysts clearly believe that Nanometrics is the more favorable, based on higher upside predictions.

Insider and Institutional Ownership

Institutional ownership can be a sign that hedge fund and other institutions believe the stock is trending upward or otherwise healthy. Though, insider ownership does not hold the same gravity since insiders can be basing decisions to buy and sell on personal financial matters, insider ownership can also clue keen investors into the direction the company may take in the near future.

Xcerra stock is currently 86.1% owned by institutions and 2.6% owned by insiders. Nanometrics, on the other hand, is 81.3% owned by institutions and 6.7% owned by insiders.

What Are The Risks?

Xcerra currently has a beta of 1.61, indicating it is 61% more volatile than the industry standard, whereas Nanometrics sports a beta of 1.8, indicating it is 80% more volatile than the standard.

The Bottom Line

Xcerra loses to Nanometrics in 11 of the 14 categories we analyzed.

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