Head to Head Comparison: RYTHM (NASDAQ:RYM) & CEA Industries (NASDAQ:CEAD)

RYTHM (NASDAQ:RYM) and CEA Industries (NASDAQ:CEAD) are both small-cap agriculture, forestry, and fishing companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, analyst recommendations, earnings, risk, valuation, profitability and institutional ownership.

Volatility and Risk

RYTHM has a beta of 9.83, indicating that its stock price is 883% more volatile than the S&P 500. Comparatively, CEA Industries has a beta of 0.54, indicating that its stock price is 46% less volatile than the S&P 500.

Earnings and Valuation

This table compares RYTHM and CEA Industries”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RYTHM	$9.68 million	9.68	-$41.75 million	N/A	N/A
CEA Industries	$3.28 million	2.35	-$2.91 million	($4.23)	-2.28

CEA Industries has lower revenue, but higher earnings than RYTHM.

Insider & Institutional Ownership

6.0% of RYTHM shares are owned by institutional investors. Comparatively, 21.6% of CEA Industries shares are owned by institutional investors. 2.2% of RYTHM shares are owned by insiders. Comparatively, 4.8% of CEA Industries shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current recommendations for RYTHM and CEA Industries, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RYTHM	1	0	0	0	1.00
CEA Industries	0	0	0	0	0.00

Profitability

This table compares RYTHM and CEA Industries’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RYTHM	-424.11%	-185.90%	-72.67%
CEA Industries	-118.08%	-27.79%	-24.75%

Summary

CEA Industries beats RYTHM on 6 of the 10 factors compared between the two stocks.

About RYTHM

Agrify Corporation develops precision hardware and software cultivation and extraction solutions for the cannabis and hemp industry in the United States. The company offers vertical farming units and Agrify Insights Software-as-a-Service software; integrated grow racks and LED grow lights; and non-proprietary products designed, engineered, and manufactured by third parties, such as air cleaning systems and pesticide-free surface protection products. It also provides associated services comprising consulting, engineering, and construction. The company was formerly known as Agrinamics, Inc. and changed its name to Agrify Corporation in September 2019. Agrify Corporation was incorporated in 2016 and is headquartered in Billerica, Massachusetts.

About CEA Industries

CEA Industries Inc. provides environmental control, and other technologies and services to the controlled environment agriculture (CEA) industry worldwide. It offers floor plans and architectural design for cultivation facilities; licensed mechanical, electrical, and plumbing engineering services for commercial scale environmental control systems that are specific to cultivation facilities; and process cooling systems and other climate control systems. The company also provides air handling equipment and systems; LED lighting; benching and racking solutions for indoor cultivation; automation and control devices, systems, and technologies for environmental, lighting, and climate control applications; and preventive maintenance services for CEA facilities. It serves commercial, as well as state- and provincial-regulated CEA growers. The company was formerly known as Surna Inc. and changed its name to CEA Industries Inc. in November 2021. CEA Industries Inc. was founded in 2006 and is headquartered in Louisville, Colorado.