Head-To-Head Contrast: ADTRAN (NASDAQ:ADTN) vs. Vivakor (OTCMKTS:VIVKD)

Vivakor (OTCMKTS:VIVKD) and ADTRAN (NASDAQ:ADTN) are both small-cap business services companies, but which is the better investment? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, earnings, profitability, valuation, dividends and risk.

Risk and Volatility

Vivakor has a beta of 0.73, suggesting that its share price is 27% less volatile than the S&P 500. Comparatively, ADTRAN has a beta of 1.44, suggesting that its share price is 44% more volatile than the S&P 500.

Earnings and Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vivakor	$104.42 million	0.01	-$110.23 million	($624.00)	-0.00
ADTRAN	$1.08 billion	0.95	-$45.66 million	($0.39)	-32.59

ADTRAN has higher revenue and earnings than Vivakor. ADTRAN is trading at a lower price-to-earnings ratio than Vivakor, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Vivakor and ADTRAN’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Vivakor	-105.57%	-141.06%	-56.70%
ADTRAN	-3.18%	10.94%	1.35%

Analyst Recommendations

This is a summary of current ratings and target prices for Vivakor and ADTRAN, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vivakor	1	0	0	0	1.00
ADTRAN	1	2	4	0	2.43

ADTRAN has a consensus target price of $18.00, suggesting a potential upside of 41.62%. Given ADTRAN’s stronger consensus rating and higher possible upside, analysts clearly believe ADTRAN is more favorable than Vivakor.

Insider and Institutional Ownership

12.3% of Vivakor shares are held by institutional investors. Comparatively, 80.6% of ADTRAN shares are held by institutional investors. 12.2% of Vivakor shares are held by insiders. Comparatively, 2.2% of ADTRAN shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

ADTRAN beats Vivakor on 12 of the 14 factors compared between the two stocks.

About Vivakor

Vivakor, Inc. operates, acquires, and develops technologies and assets in the oil and gas industry and related environmental solutions in the United States and Kuwait. The company owns and operates a crude oil gathering, storage, and transportation facility in Delhi, Louisiana. It also owns a crude oil storage tank located near Colorado City, Texas. In addition, the company offers remediation of soil and the extraction of hydrocarbons, such as oil from properties contaminated by or laden with heavy crude oil and other hydrocarbon-based substances. The company was formerly known as NGI Holdings, LLC and changed its name to Vivakor, Inc. in April 2008. The company was incorporated in 2006 and is based in Dallas, Texas.

About ADTRAN

ADTRAN Holdings, Inc., through its subsidiaries, provides networking and communications platforms, software, systems, and services in the United States, Germany, the United Kingdom, and internationally. It operates through two segments, Network Solutions, and Services & Support. It offers residential gateways; ethernet passive optical network ONUs; gigabit passive optical network/XGS-PON ONTs; traditional SSE, routers, and switches; edge cloud; carrier ethernet network interface devices; Optical Line Terminals; Packet Aggregation, Copper Access, and Oscilloquartz; optical transport and engine solutions; infrastructure monitoring solution; and training, professional, software, and managed services. The company also provides various software, such as Mosaic One SaaS, n-Command, Procloud, MCP, AOE and ACI-E, and Ensemble Controller. It serves large, medium, and small service providers; alternative service providers, such as utilities, municipalities and fiber overbuilders; cable/MSOs; and SMBs and distributed enterprises. ADTRAN Holdings, Inc. was incorporated in 1985 and is headquartered in Huntsville, Alabama.