Reviewing Peraso (NASDAQ:PRSO) and Blaize (NASDAQ:BZAI)

Peraso (NASDAQ:PRSO) and Blaize (NASDAQ:BZAI) are both small-cap technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, earnings, valuation, profitability, risk and dividends.

Analyst Ratings

This is a summary of current ratings and price targets for Peraso and Blaize, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Peraso	1	0	2	0	2.33
Blaize	1	4	2	0	2.14

Peraso currently has a consensus target price of $3.08, indicating a potential upside of 600.92%. Blaize has a consensus target price of $1.98, indicating a potential upside of 801.83%. Given Blaize’s higher probable upside, analysts plainly believe Blaize is more favorable than Peraso.

Earnings & Valuation

This table compares Peraso and Blaize”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Peraso	$8.37 million	0.79	-$4.75 million	($0.68)	-0.65
Blaize	$50.37 million	0.63	-$206.90 million	($0.68)	-0.32

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

Profitability

This table compares Peraso and Blaize’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Peraso	-85.63%	-223.38%	-153.27%
Blaize	-160.85%	-306.51%	-106.16%

Risk and Volatility

Peraso has a beta of 0.96, meaning that its stock price is 4% less volatile than the S&P 500. Comparatively, Blaize has a beta of 0.08, meaning that its stock price is 92% less volatile than the S&P 500.

Institutional & Insider Ownership

77.6% of Peraso shares are held by institutional investors. Comparatively, 97.1% of Blaize shares are held by institutional investors. 1.7% of Peraso shares are held by company insiders. Comparatively, 17.4% of Blaize shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

About Peraso

Peraso Inc., a fabless semiconductor company, develops, markets, and sells semiconductor devices and modules. The company's products include millimeter wavelength (mmWave) ICs, including baseband IC, various mmWave radio frequency, integrated circuits, as well as associated antenna technology; and mmWave antenna modules. It also provides accelerator engine products, comprising bandwidth engine for high-performance applications where throughput is critical; and quad partition rate, which allows for parallel accesses to multiple partitions of the memory simultaneously. Its mmWave products are used for various applications, such as multi-gigabit point-to-point (PtMP) wireless links; and fixed wireless access in the 5G operating bands, as well as consumer applications, such as wireless video streaming, and untethered augmented reality and virtual reality. The company also licenses intellectual property, as well as offers non-recurring engineering services. It markets its products through direct sales personnel, as well as sells representatives and distributors. The company was formerly knowns as MoSys, Inc. and changed its name to Peraso Inc. in December 2021. Peraso Inc. was incorporated in 1991 and is based in San Jose, California.

About Blaize

Blaize® has created a transformative new compute solution that unites silicon and software to optimize AI from the edge to the core. We’re partnering with customers to transform their products so they can deliver better experiences and better lives.