Reviewing MobileIron (MOBL) and Smith Micro Software (SMSI)

Smith Micro Software (NASDAQ: SMSI) and MobileIron (NASDAQ:MOBL) are both small-cap computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, earnings, profitability, institutional ownership, analyst recommendations, valuation and risk.

Valuation and Earnings

This table compares Smith Micro Software and MobileIron’s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Smith Micro Software $25.00 million 0.66 -$9.65 million ($0.99) -1.16
MobileIron $171.98 million 2.00 -$50.14 million ($0.63) -5.79

Smith Micro Software has higher revenue, but lower earnings than MobileIron. MobileIron is trading at a lower price-to-earnings ratio than Smith Micro Software, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Smith Micro Software has a beta of 0.04, indicating that its stock price is 96% less volatile than the S&P 500. Comparatively, MobileIron has a beta of 2.68, indicating that its stock price is 168% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Smith Micro Software and MobileIron, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Smith Micro Software 0 0 0 0 N/A
MobileIron 1 2 4 0 2.43

MobileIron has a consensus target price of $5.25, indicating a potential upside of 43.84%. Given MobileIron’s higher possible upside, analysts clearly believe MobileIron is more favorable than Smith Micro Software.

Profitability

This table compares Smith Micro Software and MobileIron’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Smith Micro Software -49.33% -339.18% -49.92%
MobileIron -32.67% -136.81% -35.21%

Insider and Institutional Ownership

14.0% of Smith Micro Software shares are held by institutional investors. Comparatively, 54.9% of MobileIron shares are held by institutional investors. 22.0% of Smith Micro Software shares are held by company insiders. Comparatively, 31.7% of MobileIron shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

MobileIron beats Smith Micro Software on 11 of the 12 factors compared between the two stocks.

Smith Micro Software Company Profile

Smith Micro Software, Inc. is a provider of software solutions. The Company operates through two segments: Wireless and Graphics. The Company offers multi-platform, modular solutions organized into three product families, including NetWise, CommSuite and QuickLink. For mobile network operators, NetWise helps reduce cellular congestion and optimize data traffic across third-generation (3G), fourth-generation (4G) and wireless fidelity (Wi-Fi) networks. Graphics segment includes its consumer-based products, such as Poser, Anime Studio, Manga Studio, MotionArtist and StuffIt. The Graphics segment develops a range of software, including graphic design and animation, compression and personal computer (PC)/Mac utilities, for consumers, professional artists and educators. The Company also offers Family Safety platform for family locator and parental controls.

MobileIron Company Profile

MobileIron, Inc. (MobileIron) provides a mobile information technology (IT) platform for enterprises to manage and secure mobile applications, content and devices. The Company’s solution provides enterprise security. The MobileIron Platform combines security and enterprise mobility management (EMM) tools, including mobile device management (MDM), mobile application management (MAM), and mobile content management (MCM) capabilities. The Company offers EMM tools, including EMM platform, cloud security with MobileIron Access, Windows security with MobileIron Bridge and applications. MobileIron offers its customers the flexibility to deploy its solution as a cloud service or as on-premises software. Its applications include [email protected], [email protected], [email protected], [email protected], MobileIron Tunnel, MobileIron Rooms, MobileIron AppConnect and AppConnect Ecosystem. The Company serves a range of industries, such as financial services, government, healthcare and legal.

Receive News & Ratings for Smith Micro Software Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Smith Micro Software Inc. and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply