Comparing NEC (OTCMKTS:NIPNF) & Allbirds (NASDAQ:BIRD)

Allbirds (NASDAQ:BIRD) and NEC (OTCMKTS:NIPNF) are both technology companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, profitability, earnings, institutional ownership and dividends.

Risk & Volatility

Allbirds has a beta of 2.6, indicating that its share price is 160% more volatile than the S&P 500. Comparatively, NEC has a beta of -0.47, indicating that its share price is 147% less volatile than the S&P 500.

Insider & Institutional Ownership

44.1% of Allbirds shares are owned by institutional investors. 18.8% of Allbirds shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Allbirds and NEC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Allbirds	-72.82%	-231.86%	-81.53%
NEC	N/A	N/A	N/A

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Allbirds	$152.47 million	0.17	-$77.28 million	($8.99)	-0.33
NEC	$25.69 billion	0.33	$412.83 million	$1.64	19.57

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

Analyst Ratings

This is a summary of current ratings and price targets for Allbirds and NEC, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Allbirds	1	1	0	0	1.50
NEC	0	0	1	0	3.00

Summary

NEC beats Allbirds on 10 of the 13 factors compared between the two stocks.

About Allbirds

Allbirds, Inc. manufactures and sells footwear and apparel products for men and women in the United States and internationally. The company offers a range of lifestyle and performance shoes; and apparel, including classic tees and sweats, socks, and underwear. It sells its products through its retail stores, as well as online. The company was formerly known as Bozz, Inc. and changed its name to Allbirds, Inc. in December 2015. Allbirds, Inc. was incorporated in 2015 and is headquartered in San Francisco, California.

About NEC

NEC Corporation provides information and communication technology solutions in Japan and internationally. It operates through five segments: Public Solutions Business, Public Infrastructure Business, Enterprise Business, Network Services Business, and Global Business. It provides systems integration services, including systems implementation and consulting; maintenance and support services; outsourcing and cloud services; and system equipment. The company also offers network infrastructure products comprising core network equipment, mobile phone base stations, optical transmission systems, and routers and switches; and services and management solutions, such as operation support system (OSS), business support system (BSS), and services. In addition, it provides digital government and digital finance solutions; software services for service providers, including OSS/BSS; and network infrastructure comprising submarine systems and wireless backhaul. Further, the company offers business computers, servers, NEC HPC solutions, and thin client solutions; data storage solutions; embedded systems; fiber optic devices; CONNEXIVE, an IoT platform software; PASOLINK, a mobile backhaul; optical fiber sensing products; submarine systems; and open optical transport products. Additionally, it provides EXPRESSCLUSTER X, a BC/DR solutions; NIAS, a solution for file server management; ERP solutions; MasterScope, an integrated administration software suite; Obbligato, a product lifecycle management; SaaS Solutions; WebOTX, a service execution platform; and unified communications and collaboration solutions. It serves aerospace, agriculture, aviation, broadcasting, finance, government, healthcare, hospitality, logistics, manufacturing, retail, telecom, and transportation industries. The company was formerly known as Nippon Electric Company, Limited and changed its name to NEC Corporation in April 1983. NEC Corporation was incorporated in 1899 and is headquartered in Tokyo, Japan.