Contrasting Microwave Filter (OTCMKTS:MFCO) and Eltek (NASDAQ:ELTK)

Microwave Filter (OTCMKTS:MFCO) and Eltek (NASDAQ:ELTK) are both small-cap computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, dividends, risk, earnings, profitability and valuation.

Insider & Institutional Ownership

64.6% of Eltek shares are held by institutional investors. 6.9% of Microwave Filter shares are held by company insiders. Comparatively, 72.0% of Eltek shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Microwave Filter and Eltek’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Microwave Filter	N/A	N/A	N/A
Eltek	1.59%	1.85%	1.29%

Valuation and Earnings

This table compares Microwave Filter and Eltek”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Microwave Filter	$2.18 million	0.86	-$260,000.00	N/A	N/A
Eltek	$51.79 million	1.05	$830,000.00	$0.12	67.25

Eltek has higher revenue and earnings than Microwave Filter.

Risk & Volatility

Microwave Filter has a beta of 0.22, indicating that its stock price is 78% less volatile than the S&P 500. Comparatively, Eltek has a beta of 0.75, indicating that its stock price is 25% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and price targets for Microwave Filter and Eltek, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Microwave Filter	0	0	0	0	0.00
Eltek	1	0	0	0	1.00

Summary

Eltek beats Microwave Filter on 10 of the 10 factors compared between the two stocks.

About Microwave Filter

Microwave Filter Company, Inc. designs, develops, manufactures, and sells electronic filters for radio and microwave frequencies primarily in the United States. It manufactures RF filters and related components for eliminating interference and facilitating signal processing for cable television, broadcast, commercial and military communications, avionics, radar, navigation, and defense markets. The company also designs waveguide, stripline/microstrip, transmission line, miniature/subminiature, and lumped constant filters. Its configurations include bandpass, highpass, lowpass, bandstop, multiplexers, tunable notch, tunable bandpass, high power filters, amplitude equalized, delay equalized, and filter networks. The company serves 5G, cable television, television and radio broadcast, satellite broadcast, mobile radio, commercial, and aerospace and defense electronics markets. Microwave Filter Company, Inc. was incorporated in 1967 and is based in East Syracuse, New York.

About Eltek

Eltek Ltd. manufactures, markets, and sells printed circuit boards (PCBs) in Israel, Europe, North America, India, the Netherlands, and internationally. It offers a range of custom designed PCBs, including rigid, double-sided and multi-layer PCBs, and flexible circuitry boards. The company also provides high density interconnect, flex-rigid, and multi-layered boards. It primarily serves medical technology, defense and aerospace, industrial, telecom, and networking equipment industries, as well as contract electronic manufacturers. The company markets and sells its products primarily through direct sales personnel, sales representatives, and PCB trading and manufacturing companies. Eltek Ltd. was incorporated in 1970 and is headquartered in Petah Tikva, Israel. Eltek Ltd. operates as a subsidiary of Nistec Golan Ltd.