Analyzing nLight (NASDAQ:LASR) & Acorn Energy (NASDAQ:ACFN)

by · The Markets Daily

nLight (NASDAQ:LASR – Get Free Report) and Acorn Energy (NASDAQ:ACFN – Get Free Report) are both technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, profitability, analyst recommendations, dividends, risk, valuation and institutional ownership.

Analyst Recommendations

This is a breakdown of recent recommendations for nLight and Acorn Energy, as provided by MarketBeat.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
nLight11812.82
Acorn Energy01002.00

nLight presently has a consensus price target of $87.94, suggesting a potential upside of 116.57%. Given nLight’s stronger consensus rating and higher possible upside, research analysts plainly believe nLight is more favorable than Acorn Energy.

Valuation & Earnings

This table compares nLight and Acorn Energy”s revenue, earnings per share and valuation.

Gross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
nLight$261.33 million8.96-$23.47 million($0.25)-162.42
Acorn Energy$11.48 million4.25$2.51 million$0.6131.89

Acorn Energy has lower revenue, but higher earnings than nLight. nLight is trading at a lower price-to-earnings ratio than Acorn Energy, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares nLight and Acorn Energy’s net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
nLight-4.02%-2.83%-2.26%
Acorn Energy16.12%10.06%6.32%

Insider and Institutional Ownership

83.9% of nLight shares are held by institutional investors. 3.1% of nLight shares are held by insiders. Comparatively, 35.6% of Acorn Energy shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Risk and Volatility

nLight has a beta of 2.37, indicating that its share price is 137% more volatile than the S&P 500. Comparatively, Acorn Energy has a beta of 0.31, indicating that its share price is 69% less volatile than the S&P 500.

Summary

nLight beats Acorn Energy on 8 of the 15 factors compared between the two stocks.

About nLight

(Get Free Report)

nLIGHT, Inc. designs, develops, manufactures, and sells semiconductor and fiber lasers for industrial, microfabrication, and aerospace and defense applications. The company operates in two segments, Laser Products and Advanced Development. It offers semiconductor lasers with various ranges of power levels, wavelengths, and output fiber sizes; and programmable and serviceable fiber lasers for use in industrial and aerospace and defense applications. The company also provides laser sensors, including light detection and ranging technologies for intelligence, surveillance, and reconnaissance applications; and fiber amplifiers, beam combination, and control systems for use in high-energy laser systems in directed energy applications. It sells its products through direct sales force in the United States, China, South Korea, and European countries, as well as through independent sales representatives and distributors in Asia, Australia, Europe, the Middle East, and South America. The company was formerly known as nLight Photonics Corporation and changed its name to nLIGHT, Inc. in January 2016. nLIGHT, Inc. was incorporated in 2000 and is headquartered in Camas, Washington.

About Acorn Energy

(Get Free Report)

Acorn Energy, Inc., through its subsidiaries, develops and markets wireless remote monitoring and control systems for various markets in the United States and internationally. It operates through two segments, Power Generation (PG) Monitoring and Cathodic Protection (CP) Monitoring. The PG segment provides wireless remote monitoring and control systems, and services for critical assets, which include stand-by power generators, compressors, pumps, pumpjacks, light towers, turbines, and other industrial equipment; and Internet of Things applications. The CP segment offers remote monitoring of cathodic protection systems on gas pipelines for gas utilities and pipeline companies. The company was incorporated in 1986 and is based in Wilmington, Delaware.