Financial Comparison: Tapinator (OTCMKTS:TAPM) versus DoubleVerify (NYSE:DV)

DoubleVerify (NYSE:DV) and Tapinator (OTCMKTS:TAPM) are both small-cap computer and technology companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, risk, analyst recommendations and valuation.

Institutional & Insider Ownership

97.3% of DoubleVerify shares are owned by institutional investors. 3.6% of DoubleVerify shares are owned by company insiders. Comparatively, 25.8% of Tapinator shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares DoubleVerify and Tapinator’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
DoubleVerify	6.77%	7.50%	6.25%
Tapinator	N/A	N/A	N/A

Valuation & Earnings

This table compares DoubleVerify and Tapinator”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
DoubleVerify	$748.29 million	2.12	$50.65 million	$0.30	32.65
Tapinator	$4.66 million	0.14	-$299,750.00	($0.11)	-2.25

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

Risk and Volatility

DoubleVerify has a beta of 0.99, suggesting that its share price is 1% less volatile than the S&P 500. Comparatively, Tapinator has a beta of 1.33, suggesting that its share price is 33% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and target prices for DoubleVerify and Tapinator, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
DoubleVerify	2	4	11	0	2.53
Tapinator	0	0	0	0	0.00

DoubleVerify currently has a consensus target price of $16.00, suggesting a potential upside of 63.35%. Given DoubleVerify’s stronger consensus rating and higher probable upside, equities analysts clearly believe DoubleVerify is more favorable than Tapinator.

Summary

DoubleVerify beats Tapinator on 12 of the 14 factors compared between the two stocks.

About DoubleVerify

DoubleVerify Holdings, Inc. provides a software platform for digital media measurement, and data analytics in the United States and internationally. The company provides solutions to advertisers that enable advertisers to increase the effectiveness and quality and return on their digital advertising investments. It offers DV Authentic Ad, a metric of digital media quality, which evaluates the existence of fraud-free, brand-suitable, viewability, and geography for each digital ad; DV Authentic Attention that provides actionable, and comprehensive data to drive campaign performance; and Custom Contextual solution, which allows advertisers to match their ads to relevant content to maximize user engagement and drive campaign performance. In addition, the company provides DV Publisher suite, a solution for digital publishers to manage revenue and increase inventory yield by improving video delivery, identifying lost or unfilled sales, and aggregate data across all inventory sources; and DV Pinnacle, a service and analytics platform user interface that allows its customers to adjust and deploy controls for their media plan and track campaign performance metrics across channels, formats, and devices. Further, it offers software solutions are integrated in the digital advertising ecosystem, including programmatic platforms, social media channels, and digital publishers. It serves brands, publishers, and other supply-side customers covering various industry verticals, including consumer packaged goods, financial services, telecommunications, technology, automotive, and healthcare. The company was founded in 2008 and is headquartered in New York, New York.

About Tapinator

Tapinator, Inc. develops and publishes mobile games and applications on the iOS, Google Play, and Amazon platforms in North America and Europe. The company’s library includes approximately 300 titles, such as Video Poker Classic and Crypto Trillionaire. It also provides in-app purchase and subscription services. The company was founded in 2013 and is headquartered in New York, New York.