Reviewing Kopin (NASDAQ:KOPN) & Ouster (NASDAQ:OUST)

Kopin (NASDAQ:KOPN) and Ouster (NASDAQ:OUST) are both technology companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, risk, profitability, dividends, valuation and earnings.

Volatility and Risk

Kopin has a beta of 3.57, meaning that its share price is 257% more volatile than the S&P 500. Comparatively, Ouster has a beta of 3.25, meaning that its share price is 225% more volatile than the S&P 500.

Valuation & Earnings

This table compares Kopin and Ouster”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kopin	$39.32 million	21.56	$2.61 million	$0.04	114.00
Ouster	$204.91 million	12.43	-$60.38 million	($0.86)	-41.08

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

Analyst Recommendations

This is a summary of recent ratings for Kopin and Ouster, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kopin	1	1	5	0	2.57
Ouster	1	2	6	0	2.56

Kopin presently has a consensus target price of $7.20, suggesting a potential upside of 57.89%. Ouster has a consensus target price of $54.67, suggesting a potential upside of 54.73%. Given Kopin’s stronger consensus rating and higher possible upside, analysts plainly believe Kopin is more favorable than Ouster.

Profitability

This table compares Kopin and Ouster’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kopin	18.26%	14.79%	8.42%
Ouster	-26.02%	-17.49%	-12.97%

Insider & Institutional Ownership

31.0% of Kopin shares are held by institutional investors. Comparatively, 31.5% of Ouster shares are held by institutional investors. 2.6% of Kopin shares are held by company insiders. Comparatively, 5.7% of Ouster shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Kopin beats Ouster on 10 of the 14 factors compared between the two stocks.

About Kopin

Kopin Corporation, together with its subsidiaries, invents, develops, manufactures, and sells microdisplays, subassemblies, and related components for defense, enterprise, industrial, and consumer products in the United States, the Asia-Pacific, Europe, and internationally. It offers miniature active-matrix liquid crystal displays, liquid crystal on silicon displays/spatial light modulators, organic light emitting diode displays, microLED display technologies, application specific integrated circuits, backlights, and optical lenses; and head-mounted and hand-held VR products. The company’s products are used for soldier thermal weapon rifle sights, avionic fixed and rotary wing pilot helmets, armored vehicle targeting systems, and training and simulation headsets; industrial and medical headsets; 3D optical inspection systems; and consumer augmented reality and virtual reality wearable headsets systems. Kopin Corporation was incorporated in 1984 and is headquartered in Westborough, Massachusetts.

About Ouster

Ouster, Inc. provides lidar sensors for the automotive, industrial, robotics, and smart infrastructure industries in Americas, the Asia-Pacific, Europe, the Middle East, and Africa. Its products include high-resolution scanning and solid-state digital lidar sensors, analog lidar sensors, and software solutions. The company offers Ouster Sensor, a scanning sensor; and Digital Flash, a solid-state flash sensor. It also provides surround-view lidar sensors, which include Ouster Gemini, a perception platform for smart infrastructure deployments; and Blue City, a Gemini-powered solution for traffic operations, planning, and safety. The company is headquartered in San Francisco, California.