Head-To-Head Contrast: TSS (NASDAQ:TSSI) versus CI&T (NYSE:CINT)

TSS (NASDAQ:TSSI) and CI&T (NYSE:CINT) are both small-cap technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, analyst recommendations, earnings, dividends, risk, institutional ownership and valuation.

Insider and Institutional Ownership

92.4% of CI&T shares are owned by institutional investors. 16.0% of TSS shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares TSS and CI&T”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TSS	$193.28 million	1.00	$15.12 million	$0.48	14.29
CI&T	$489.65 million	0.82	$40.62 million	$0.29	10.34

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

Profitability

This table compares TSS and CI&T’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TSS	7.44%	19.22%	8.46%
CI&T	6.79%	11.69%	6.51%

Analyst Recommendations

This is a breakdown of recent recommendations for TSS and CI&T, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TSS	0	2	1	0	2.33
CI&T	2	2	7	0	2.45

TSS presently has a consensus price target of $14.00, indicating a potential upside of 104.08%. CI&T has a consensus price target of $6.08, indicating a potential upside of 102.59%. Given TSS’s higher probable upside, research analysts clearly believe TSS is more favorable than CI&T.

Risk and Volatility

TSS has a beta of 1.98, indicating that its share price is 98% more volatile than the S&P 500. Comparatively, CI&T has a beta of 0.83, indicating that its share price is 17% less volatile than the S&P 500.

Summary

TSS beats CI&T on 9 of the 14 factors compared between the two stocks.

About TSS

TSS, Inc. offers planning, design, engineering, construction management, commissioning and maintenance services. It provides these services primarily for specialized facilities such as data centers, communications rooms, call centers, laboratories, trading floors, network operations centers, medical facilities and similar environments. TSS Inc., formerly known as Fortress International Group, Inc., is based in Columbia, United States.

About CI&T

CI&T, Inc. provides strategy, design and software engineering services to enable digital transformation. The firm’s solutions and services include Digital Strategy, Customer-Centric Design and Top-of-the-Line Software Engineering. The company was founded by Cesar Nivaldo Gon, Bruno Guiçardi Neto and Fernando Matt Borges Martins on June 7, 2021 and is headquartered in Sao Paulo, Brazil.