Financial Analysis: Amber International (NASDAQ:AMBR) & Fatpipe Inc/UT (NASDAQ:FATN)

Fatpipe Inc/UT (NASDAQ:FATN) and Amber International (NASDAQ:AMBR) are both small-cap services companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Analyst Recommendations

This is a summary of current ratings for Fatpipe Inc/UT and Amber International, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fatpipe Inc/UT	1	0	1	0	2.00
Amber International	1	0	1	0	2.00

Fatpipe Inc/UT currently has a consensus target price of $8.00, indicating a potential upside of 156.41%. Given Fatpipe Inc/UT’s higher possible upside, equities analysts clearly believe Fatpipe Inc/UT is more favorable than Amber International.

Profitability

This table compares Fatpipe Inc/UT and Amber International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fatpipe Inc/UT	N/A	5.28%	3.27%
Amber International	N/A	N/A	N/A

Valuation and Earnings

This table compares Fatpipe Inc/UT and Amber International”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fatpipe Inc/UT	$17.86 million	2.43	$974,400.00	$0.07	44.57
Amber International	$66.09 million	0.31	-$29.15 million	$0.05	45.60

Fatpipe Inc/UT has higher earnings, but lower revenue than Amber International. Fatpipe Inc/UT is trading at a lower price-to-earnings ratio than Amber International, indicating that it is currently the more affordable of the two stocks.

Summary

Fatpipe Inc/UT beats Amber International on 6 of the 8 factors compared between the two stocks.

About Fatpipe Inc/UT

FatPipe is a pioneer in enterprise-class, application-aware, secure software-defined wide area network (“SD-WAN”) solutions for organizations, including enterprises, communication service providers, security service providers, government organizations, and middle-market companies. Organizations, large and small, have become increasingly dependent on their information technology (“IT”) network infrastructure for data access and communications, and the critical importance of network reliability, extensibility, and durability has continued to grow as the volume of traffic across those networks expands. The management, monitoring, and security of an organization’s network has become increasingly complicated in an era of growing demands from remote work, increasing connectivity points, and disparate operations, while network integrity is challenged by ever more sophisticated cyber threats. These factors are conspiring to increase an organization’s reliance on its computer networks while simultaneously making the management and maintenance of those networks more costly and complex. We are dedicated to continually improving the way organizations connect, ensuring their networks are secure, reliable, and support their continued success. Our commitment lies in empowering our customers with a seamless and dependable connectivity infrastructure that safeguards their critical data and fosters business continuity. We further aim to ensure our customers have unparalleled insights into their network operations. Through our integrated suite of software solutions, we offer our customers a reliable and secure platform to support mission-critical applications running on cloud, hybrid cloud and on-premise networks. Our core offerings include SD-WAN, secure access service edge (“SASE”), and network monitoring service (“NMS”) software solutions, each of which is typically offered to our customers as a subscription service. These solutions address a broad set of network management needs and include an integrated set of capabilities to automate the complex requirements of network optimization. The market for these network services is large, global in nature and growing at attractive rates. The total global market for SD-WAN solutions and services, our core offering, was estimated by the Maia Research Report to grow from $4.5 billion in 2022 to over $17.6 billion in 2030. The Maia Research Report also projects the total market size for SASE software and platforms to expand from $6.4 billion in 2022 to $27.2 billion in 2030, and the total market for NMS to grow from $2.0 billion to $4.4 billion over the same period. Each of these individual markets are expected to grow at a compounded rate of between 10% and 20% through 2030, with SD-WAN’s projected growth rate to be approximately 18.5% through 2030. Our principal executive office is located in Salt Lake City, UT.

About Amber International

iClick Interactive Asia Group Limited, together with its subsidiaries, provides online marketing services in the People’s Republic of China and internationally. It offers iAudience, an audience identification solution that allows marketers to search, identify, and customize their targeted audience to generate or enhance brand awareness; iAccess and iActivation, an audience engagement and activation solution tailored for brand awareness-driven and performance-driven campaigns; iExpress, the lite version of iAccess solution for small and medium-sized enterprises; iNsights, an online campaign results monitoring and measurement solution; and iExperience, a content creation solution. The company also provides mobile marketing solutions, which are non-search engine marketing solutions to identify, engage, and activate audience on mobile apps, as well as monitor and measure the results of online marketing activities on such channels; and other solutions that focuses on identifying, engaging, and activating audience on non-mobile app content distribution channels comprising PC banner displays, PC video advertisements, and search engine marketing. In addition, it offers enterprise solutions that help clients collate information from various consumer touchpoints and integrate them into a single data management platform to drive sales and marketing decisions to new retail, online education, real estate, and other sectors. The company sells its solutions by entering into sales contracts with entities or marketing agencies, including marketing campaign contracts. It has a strategic collaboration with Tencent International Business Group to co-develop Smart Retail and Smart Travel SaaS solutions. The company was formerly known as Optimix Media Asia Limited and changed its name to iClick Interactive Asia Group Limited in March 2017. iClick Interactive Asia Group Limited was founded in 2009 and is headquartered in Quarry Bay, Hong Kong.