Kaltura (NASDAQ:KLTR) versus Rekor Systems (NASDAQ:REKR) Critical Survey
by Mitch Edgeman · The Markets DailyRekor Systems (NASDAQ:REKR – Get Free Report) and Kaltura (NASDAQ:KLTR – Get Free Report) are both small-cap technology companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, profitability, risk, dividends, earnings and valuation.
Profitability
This table compares Rekor Systems and Kaltura’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Rekor Systems | -43.84% | -59.05% | -27.37% |
| Kaltura | -6.92% | -51.05% | -2.33% |
Analyst Recommendations
This is a summary of recent ratings and target prices for Rekor Systems and Kaltura, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Rekor Systems | 1 | 0 | 0 | 0 | 1.00 |
| Kaltura | 1 | 0 | 1 | 0 | 2.00 |
Kaltura has a consensus target price of $3.00, suggesting a potential upside of 108.33%. Given Kaltura’s stronger consensus rating and higher probable upside, analysts plainly believe Kaltura is more favorable than Rekor Systems.
Institutional and Insider Ownership
45.7% of Rekor Systems shares are owned by institutional investors. Comparatively, 30.8% of Kaltura shares are owned by institutional investors. 3.2% of Rekor Systems shares are owned by company insiders. Comparatively, 16.3% of Kaltura shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.
Earnings & Valuation
This table compares Rekor Systems and Kaltura”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Rekor Systems | $48.45 million | 0.86 | -$31.46 million | ($0.16) | -1.89 |
| Kaltura | $180.93 million | 1.21 | -$12.07 million | ($0.09) | -16.00 |
Kaltura has higher revenue and earnings than Rekor Systems. Kaltura is trading at a lower price-to-earnings ratio than Rekor Systems, indicating that it is currently the more affordable of the two stocks.
Volatility and Risk
Rekor Systems has a beta of 1.91, suggesting that its share price is 91% more volatile than the S&P 500. Comparatively, Kaltura has a beta of 1.2, suggesting that its share price is 20% more volatile than the S&P 500.
Summary
Kaltura beats Rekor Systems on 11 of the 14 factors compared between the two stocks.
About Rekor Systems
Rekor Systems, Inc., a technology company, provides infrastructure solutions for transportation, public safety, and urban mobility markets in the United States and internationally. The company's platforms include Rekor One, an AI-powered roadway intelligence platform; Rekor Command, a comprehensive cross-agency platform that offers various applications for traffic management centers, freeway service patrol, first responders, and maintenance crews; Rekor Discover, a platform that ingests data from its hardware and automates comprehensive analytics and actionable insights about the movement of objects across the roadway; and Rekor Scout platform, which automates previously manual processes with collaborative solutions that keep all stakeholders apprised of developing situations and accelerate reaction times to incidents and offenders. It also offers Rekor AutoNotice, a cloud-based financial management application that delivers a turnkey information and citation management solution for cities, states, and municipalities for primary and secondary offenses; and Rekor CarCheck, which allows its AI based vehicle and license plate recognition technology to be accessed for a range of commercial applications. In addition, the company offers Rekor Edge Max System, a fixed traffic data collection system that captures and transforms roadway data into holistic traffic insights; Rekor Edge Pro, a vehicle recognition solution that is used on a standalone basis or integrated into a network; and Rekor Edge Flex, a portable data collection system. Further, it provides traffic services, including traditional traffic studies, which delivers data and insights for planning and management of roadway infrastructure and commercial initiatives; innovative AI-driven traffic studies for traffic management; and traffic engineering services. The company was incorporated in 2017 and is headquartered in Columbia, Maryland.
About Kaltura
Kaltura, Inc. provides various software-as-a-service (SaaS) products and solutions and a platform-as-a-service (PaaS) in the United States, Europe, the Middle East, Africa, and internationally. The company operates through two segments, Enterprise, Education, and Technology (EE&T); and Media and Telecom (M&T). It offers video products, such as virtual and hybrid events, webinars, video portals, online learning, and content portals for training, marketing, virtual and hybrid events, communication, collaboration, sales, and customer care; and education solutions, such as learning management system video and lecture capture solutions. The company also provides online video experiences, including for over-the-top (OTT) television, cloud TV, web video publishing, video-based teaching, learning, training, video-based marketing, and video-based collaboration. In addition, it offers application programming interfaces (APIs), software development kits, and experience components, including live, real-time and on-demand video, ingestion, transcoding, enrichment, management, distribution, engagement, monetization, and deep viewer analytics, as well as video player, video editor, video capture tool, and chat and networking widgets. The company serves a range of industries, including financial services, high technology, healthcare and pharmaceuticals, education, public sector, media, telecommunications, information technology (IT) and professional services, retail, and manufacturing. Kaltura, Inc. was incorporated in 2006 and is headquartered in New York, New York.