Financial Contrast: NeoMagic (OTCMKTS:NMGC) vs. WiSA Technologies (NASDAQ:WISA)

WiSA Technologies (NASDAQ:WISA) and NeoMagic (OTCMKTS:NMGC) are both computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, dividends, risk, institutional ownership, valuation, profitability and analyst recommendations.

Insider and Institutional Ownership

0.7% of WiSA Technologies shares are held by institutional investors. 0.1% of WiSA Technologies shares are held by company insiders. Comparatively, 12.7% of NeoMagic shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk & Volatility

WiSA Technologies has a beta of -0.38, suggesting that its stock price is 138% less volatile than the S&P 500. Comparatively, NeoMagic has a beta of 0.39, suggesting that its stock price is 61% less volatile than the S&P 500.

Valuation & Earnings

This table compares WiSA Technologies and NeoMagic”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
WiSA Technologies	$1.79 million	5.84	-$18.72 million	N/A	N/A
NeoMagic	N/A	N/A	N/A	N/A	N/A

NeoMagic has lower revenue, but higher earnings than WiSA Technologies.

Profitability

This table compares WiSA Technologies and NeoMagic’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
WiSA Technologies	-2,930.80%	N/A	-217.45%
NeoMagic	N/A	N/A	N/A

Analyst Recommendations

This is a summary of current ratings for WiSA Technologies and NeoMagic, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WiSA Technologies	0	1	1	0	2.50
NeoMagic	0	0	0	0	0.00

WiSA Technologies presently has a consensus target price of $14.00, suggesting a potential upside of 652.69%. Given WiSA Technologies’ stronger consensus rating and higher probable upside, research analysts plainly believe WiSA Technologies is more favorable than NeoMagic.

Summary

WiSA Technologies beats NeoMagic on 5 of the 9 factors compared between the two stocks.

About WiSA Technologies

WiSA Technologies, Inc. develops, manufactures, and sells audio wireless technology for smart devices and next-generation home entertainment systems in the United States and Europe. The company offers wireless modules. It serves primarily to consumer electronics companies. The company was formerly known as Summit Wireless Technologies, Inc. and changed its name to WiSA Technologies Inc. in March 2022. WiSA Technologies, Inc. was incorporated in 2010 and is headquartered in Beaverton, Oregon.

About NeoMagic

NeoMagic Corporation designs and delivers semiconductors and software solutions for video, television, imaging, graphic, and audio devices. It offers microcontrollers; horizon digital picture frame and digital mobile TV solutions; and SOC processors, such as application processors and Neomobile TV solutions. The company, through its MercadoMagico.com division, operates an e-Commerce platform that allows user to buy and sell products from one another or buy premium electronic products. It sells its applications processors under the MiMagic brand name. The company was founded in 1993 and is based in Milpitas, California.