Head-To-Head Review: Powerfleet (AIOT) and Its Competitors

Powerfleet (NASDAQ:AIOT) is one of 40 publicly-traded companies in the “Communications equipment, not elsewhere classified” industry, but how does it compare to its competitors? We will compare Powerfleet to related companies based on the strength of its analyst recommendations, institutional ownership, earnings, dividends, valuation, risk and profitability.

Institutional & Insider Ownership

73.4% of Powerfleet shares are owned by institutional investors. Comparatively, 36.1% of shares of all “Communications equipment, not elsewhere classified” companies are owned by institutional investors. 3.8% of Powerfleet shares are owned by company insiders. Comparatively, 13.8% of shares of all “Communications equipment, not elsewhere classified” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and price targets for Powerfleet and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Powerfleet	0	0	1	0	3.00
Powerfleet Competitors	164	450	924	48	2.54

Powerfleet currently has a consensus target price of $10.00, suggesting a potential upside of 111.42%. As a group, “Communications equipment, not elsewhere classified” companies have a potential upside of 26.60%. Given Powerfleet’s stronger consensus rating and higher probable upside, equities analysts plainly believe Powerfleet is more favorable than its competitors.

Volatility and Risk

Powerfleet has a beta of 1.69, indicating that its share price is 69% more volatile than the S&P 500. Comparatively, Powerfleet’s competitors have a beta of -7.02, indicating that their average share price is 802% less volatile than the S&P 500.

Valuation & Earnings

This table compares Powerfleet and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Powerfleet	$133.74 million	-$5.68 million	-15.26
Powerfleet Competitors	$382.76 million	-$78.13 million	13.31

Powerfleet’s competitors have higher revenue, but lower earnings than Powerfleet. Powerfleet is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Powerfleet and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Powerfleet	-3.86%	-6.61%	-2.36%
Powerfleet Competitors	-28.75%	-229.27%	-6.42%

Summary

Powerfleet beats its competitors on 9 of the 13 factors compared.

Powerfleet Company Profile

PowerFleet, Inc. provides wireless Internet-of-Things asset management solutions in the United States, Israel, and internationally. The company offers real-time intelligence for organizations to capture IoT data from various types of assets with devices and sensors to increase efficiencies, and improve safety and security, as well as increase their profitability in easy-to-understand reports, dashboards, and real-time alerts; and application programming interfaces for additional integrations and development to boost other enterprise management systems and third-party applications. It also provides hosting, maintenance, and support and consulting services; and Software as a Service, including system monitoring, help desk technical support, escalation procedure development, routine diagnostic data analysis, and software updates services. The company offers its products under the PowerFleet, Pointer, and Cellocator brands. It sells its products to commercial and government sectors in manufacturing, automotive manufacturing, wholesale and retail, food and grocery distribution, pharmaceutical and medical distribution, construction, mining, utilities, heavy industry, aerospace and defense, homeland security, and vehicle rental, logistics, shipping, and freight transportation markets, as well as through indirect sales channels, such as original equipment manufacturers, vehicle importers, distributors, and industrial equipment dealers. The company was formerly known as I.D. Systems, Inc. PowerFleet, Inc. was incorporated in 1993 and is headquartered in Woodcliff Lake, New Jersey.