Where Food Comes From (NASDAQ:WFCF) versus T Stamp (NASDAQ:IDAI) Critical Analysis

T Stamp (NASDAQ:IDAI) and Where Food Comes From (NASDAQ:WFCF) are both small-cap computer and technology companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, institutional ownership, risk, valuation, dividends, earnings and analyst recommendations.

Volatility & Risk

T Stamp has a beta of -0.67, indicating that its stock price is 167% less volatile than the S&P 500. Comparatively, Where Food Comes From has a beta of 0.51, indicating that its stock price is 49% less volatile than the S&P 500.

Profitability

This table compares T Stamp and Where Food Comes From’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
T Stamp	-166.15%	-236.03%	-102.67%
Where Food Comes From	8.68%	20.76%	13.18%

Earnings & Valuation

This table compares T Stamp and Where Food Comes From’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
T Stamp	$4.68 million	1.01	-$7.64 million	($0.94)	-0.48
Where Food Comes From	$25.45 million	2.23	$2.15 million	$0.39	27.08

Where Food Comes From has higher revenue and earnings than T Stamp. T Stamp is trading at a lower price-to-earnings ratio than Where Food Comes From, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current recommendations and price targets for T Stamp and Where Food Comes From, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
T Stamp	0	0	0	0	N/A
Where Food Comes From	0	0	0	0	N/A

Institutional & Insider Ownership

16.3% of T Stamp shares are owned by institutional investors. Comparatively, 18.8% of Where Food Comes From shares are owned by institutional investors. 3.5% of T Stamp shares are owned by company insiders. Comparatively, 49.2% of Where Food Comes From shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

Where Food Comes From beats T Stamp on 11 of the 11 factors compared between the two stocks.

About T Stamp

T Stamp Inc. develops and markets identity authentication software solutions for government and enterprise partners, and peer-to-peer markets worldwide. It develops proprietary artificial intelligence-powered solutions, researching and leveraging machine learning, artificial intelligence, biometric science, cryptography, and data mining to deliver insightful identity and trust predictions that identify and defend against fraudulent identity attacks, protect sensitive user information, and extend the reach of digital services through global accessibility. It uses the Irreversibly Transformed Identity Token technology combined with a data architecture that can use one or multiple sources of biometric or other identifying data. The company also offers solutions for privacy and data protection, biometric multi-factor authentication, document validation, identity verification, geolocation, duplicate detection, age estimation, and biometric capture, as well as crypto security and compliance, and trusted message. It serves banking/fintech; humanitarian and development services; cryptocurrency and digital assets; biometrically secured email and digital communication; KYC/AML compliance; government and law enforcement; P2P transactions, social media, and sharing economy; and real estate, travel, and healthcare industries. T Stamp Inc. was incorporated in 2016 and is headquartered in Atlanta, Georgia.

About Where Food Comes From

Where Food Comes From, Inc., together with its subsidiaries, operates as a third-party food verification company in North America. The company operates through Verification and Certification, and Professional Services segments. It conducts on-site and desk audits to verify that claims being made about livestock, food, other specialty crops, and agricultural and aquaculture products are accurate, as well as offers Where Food Comes From Source Verified retail and restaurant labeling program, which connects consumers directly to the source of the food they purchase through product labeling, and web-based information sharing and education. It also offers professional services and technology solutions; verification solutions; and consulting services, as well as sells hardware. The company serves beef and pork packers, organic producers and processors, and specialty retail chains. The company was formerly known as Integrated Management Information, Inc. and changed its name to Where Food Comes From, Inc. in December 2012. Where Food Comes From, Inc. was founded in 1996 and is based in Castle Rock, Colorado.