Evercel (OTCMKTS:EVRC) versus Data I/O (NASDAQ:DAIO) Critical Comparison

Evercel (OTCMKTS:EVRC) and Data I/O (NASDAQ:DAIO) are both small-cap computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their dividends, risk, institutional ownership, earnings, analyst recommendations, profitability and valuation.

Insider & Institutional Ownership

37.0% of Data I/O shares are owned by institutional investors. 2.6% of Data I/O shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Volatility & Risk

Evercel has a beta of -0.22, indicating that its share price is 122% less volatile than the S&P 500. Comparatively, Data I/O has a beta of 1.09, indicating that its share price is 9% more volatile than the S&P 500.

Profitability

This table compares Evercel and Data I/O’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Evercel	N/A	N/A	N/A
Data I/O	-41.85%	-54.33%	-36.75%

Analyst Ratings

This is a summary of recent recommendations and price targets for Evercel and Data I/O, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Evercel	0	0	0	0	0.00
Data I/O	1	1	1	2	2.80

Data I/O has a consensus price target of $5.11, indicating a potential upside of 60.69%. Given Data I/O’s stronger consensus rating and higher possible upside, analysts clearly believe Data I/O is more favorable than Evercel.

Valuation and Earnings

This table compares Evercel and Data I/O”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Evercel	N/A	N/A	N/A	N/A	N/A
Data I/O	$18.57 million	1.61	-$5.24 million	($0.84)	-3.79

Evercel has higher earnings, but lower revenue than Data I/O.

Summary

Data I/O beats Evercel on 8 of the 11 factors compared between the two stocks.

About Evercel

Evercel, Inc., through its interest in Printronix Holding Corporation, designs and manufactures printers and related consumables for various industrial printing applications worldwide. The company provides multi-technology supply chain printing solutions for various industries, including manufacturing, transportation and logistics, retail distribution, food and beverages distribution, and pharmaceutical distribution. Its line matrix printers are used in various applications, such as labeling and inventory management, build sheets, invoicing, manifests and bills of lading, and reporting. The company offers its products directly to end-users, as well as through channel partners, such as dealers and distributors. Evercel, Inc. was incorporated in 1998 and is based in Miami, Florida.

About Data I/O

Data I/O Corporation, together with its subsidiaries, engages in the design, manufacture, and sale of programming and security deployment systems and services for electronic device manufacturers in the United States, Europe, and internationally. Its programming system products are used to program integrated circuits (ICs) with the specific data for the ICs. The company offers PSV handlers off-line automated programming systems, such as PSV2800 automated programming system which focuses on high-volume manufacturing in a lower cost platform; PSV7000 automated programming system for security deployment upgrades; PSV5000 automated programming system that combines mid-range capacity and supports security deployment; and PSV3500 automated programming system which provides basic programming needs. It also provides SentriX security deployment system; and LumenX and non-automated FlashPAK III programming systems. In addition, the company offers hardware support, system installation and repair, and device programming services. It markets and sells its products to original equipment manufacturers in automotive and consumer electronics, internet of things, and industrial, as well as electronic manufacturing service contract manufacturers through direct sales, and indirect sales representatives and distributors. Data I/O Corporation was incorporated in 1969 and is headquartered in Redmond, Washington.