Corsair Gaming (NASDAQ:CRSR) vs. One Stop Systems (NASDAQ:OSS) Critical Contrast

Corsair Gaming (NASDAQ:CRSR) and One Stop Systems (NASDAQ:OSS) are both small-cap technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, profitability, risk, analyst recommendations, institutional ownership, dividends and earnings.

Institutional and Insider Ownership

25.7% of Corsair Gaming shares are owned by institutional investors. Comparatively, 32.7% of One Stop Systems shares are owned by institutional investors. 54.5% of Corsair Gaming shares are owned by insiders. Comparatively, 3.9% of One Stop Systems shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Corsair Gaming and One Stop Systems’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Corsair Gaming	2.36%	13.10%	6.88%
One Stop Systems	2.67%	2.22%	1.71%

Volatility and Risk

Corsair Gaming has a beta of 1.86, indicating that its stock price is 86% more volatile than the S&P 500. Comparatively, One Stop Systems has a beta of 1.45, indicating that its stock price is 45% more volatile than the S&P 500.

Valuation and Earnings

This table compares Corsair Gaming and One Stop Systems”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Corsair Gaming	$1.47 billion	1.05	-$12.47 million	$0.30	47.73
One Stop Systems	$32.22 million	5.46	$5.09 million	$0.05	141.20

One Stop Systems has lower revenue, but higher earnings than Corsair Gaming. Corsair Gaming is trading at a lower price-to-earnings ratio than One Stop Systems, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Corsair Gaming and One Stop Systems, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Corsair Gaming	1	4	4	0	2.33
One Stop Systems	1	1	3	1	2.67

Corsair Gaming presently has a consensus target price of $12.00, indicating a potential downside of 16.20%. One Stop Systems has a consensus target price of $16.00, indicating a potential upside of 126.63%. Given One Stop Systems’ stronger consensus rating and higher probable upside, analysts plainly believe One Stop Systems is more favorable than Corsair Gaming.

Summary

One Stop Systems beats Corsair Gaming on 8 of the 15 factors compared between the two stocks.

About Corsair Gaming

Corsair Gaming, Inc., together with its subsidiaries, designs, develops, markets, and sells gaming and streaming peripherals, components and systems in the Americas, Europe, the Middle East, and the Asia Pacific. It offers gamer and creator peripherals, including gaming keyboards, mice, headsets, controllers, and streaming products, such as capture cards, stream decks, microphones and audio interfaces, facecam streaming cameras, studio accessories, gaming furniture, and other related products. The company also provides gaming components and systems comprising power supply units, cooling solutions, computer cases, and DRAM modules, as well as prebuilt and custom-built gaming PCs and laptops, gaming monitors, and others; and PC gaming software comprising iCUE for gamers and Elgato streaming suite for content creators, as well as digital services. It sells its products through e-retail, retail, and direct-to-consumer channels and distributors. Corsair Gaming, Inc. was formerly known as Corsair Components (Cayman) Ltd and changed its name to Corsair Gaming, Inc in August 2017. The company was incorporated in 1994 and is headquartered in Milpitas, California.

About One Stop Systems

One Stop Systems, Inc. engages in the design, manufacture, and marketing of high-performance compute, high speed storage hardware and software, switch fabrics, and systems for edge deployments in the United States and internationally. The company's systems are built using the central processing unit, graphical processing unit, high-speed switch fabrics, and flash storage technologies. It provides custom servers, data acquisition platforms, compute accelerators, solid-state storage arrays, and system I/O expansion systems, as well as edge optimized industrial and panel PCs, tablets, and handheld compute devices. The company also offers ruggedized mobile tablets and handhelds that meet the specialized requirement for devices deployed at the edge in a diverse set of environmental conditions. It sells its products to multinational companies, governmental agencies, military contractors, military services, and technology providers through its website, web store, direct sales team, and original equipment manufacturer focused sales, as well as through a network of resellers and distributors. The company was founded in 1998 and is headquartered in Escondido, California.