Head-To-Head Review: Digimarc (NASDAQ:DMRC) and Veea (NASDAQ:VEEA)

Veea (NASDAQ:VEEA) and Digimarc (NASDAQ:DMRC) are both small-cap computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, earnings, institutional ownership, risk, dividends, valuation and profitability.

Analyst Ratings

This is a summary of recent ratings and target prices for Veea and Digimarc, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Veea	0	0	0	0	0.00
Digimarc	0	1	1	0	2.50

Digimarc has a consensus price target of $34.00, indicating a potential downside of 27.37%. Given Digimarc’s stronger consensus rating and higher probable upside, analysts clearly believe Digimarc is more favorable than Veea.

Profitability

This table compares Veea and Digimarc’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Veea	N/A	N/A	-20.86%
Digimarc	-104.84%	-41.67%	-34.11%

Risk and Volatility

Veea has a beta of -0.08, meaning that its share price is 108% less volatile than the S&P 500. Comparatively, Digimarc has a beta of 1.67, meaning that its share price is 67% more volatile than the S&P 500.

Valuation & Earnings

This table compares Veea and Digimarc”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Veea	N/A	N/A	-$30,000.00	N/A	N/A
Digimarc	$39.04 million	25.68	-$45.96 million	($1.95)	-24.01

Veea has higher earnings, but lower revenue than Digimarc.

Institutional & Insider Ownership

25.9% of Veea shares are owned by institutional investors. Comparatively, 66.8% of Digimarc shares are owned by institutional investors. 71.0% of Veea shares are owned by insiders. Comparatively, 19.3% of Digimarc shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Digimarc beats Veea on 6 of the 11 factors compared between the two stocks.

About Veea

Veea Inc. provides computing, multiaccess multiprotocol communications, edge storage, and cybersecurity solutions. The company offers multiaccess edge computing (MEC) platform that redefines connectivity and computing at the edge by integrating functions of servers, network attached storage (NAS), routers, firewalls, Wi-Fi Access Points, IoT gateways, and 4G and 5G connections; and Veea Edge Platform enables direct connections from the optical fiber, cellular, and satellite networks. It also provides VeeaHub STAX, an edge computing product integrated with wireless access, including Wi-Fi 6; VeeaHub that offers connectivity options for pro indoor smart edge applications; and VeeaHub Outdoor that integrates with wireless connectivity for smart edge applications in outdoor and industrial environments. The company also offers TROLLEE, a smart shopping cart platform; the VeeaHub toolkit; and Veea AdEdge, an advertising platform. Veea Inc. was founded in 2014 and is headquartered in New York, New York.

About Digimarc

Digimarc Corporation, together with its subsidiaries, provides automatic identification solutions to commercial and government customers in the United States and internationally. The company offers Digimarc Validate protects, a cloud-based record of product authentication information; Digimarc Engage, an interactive communications channel connecting brands and consumers; and Digimarc Recycle. Its solutions are used in various application solutions, such as sorting of consumer-packaged goods in recycling streams. The company offers its solutions through its sales personnel and business partners. Digimarc Corporation was incorporated in 2008 and is based in Beaverton, Oregon.