Head-To-Head Contrast: Powerfleet (AIOT) versus Its Competitors

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

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	-28.40%	-229.37%	-6.28%

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 -7.03, indicating that their average share price is 803% 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	-15.42
Powerfleet Competitors	$383.25 million	-$78.03 million	15.02

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.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Powerfleet and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Powerfleet	0	0	1	0	3.00
Powerfleet Competitors	166	453	928	48	2.54

Powerfleet currently has a consensus price target of $10.00, indicating a potential upside of 109.21%. As a group, “Communications equipment, not elsewhere classified” companies have a potential upside of 21.85%. Given Powerfleet’s stronger consensus rating and higher possible upside, equities analysts clearly believe Powerfleet is more favorable than its competitors.

Insider and Institutional Ownership

73.4% of Powerfleet shares are held by institutional investors. Comparatively, 36.1% of shares of all “Communications equipment, not elsewhere classified” companies are held by institutional investors. 3.8% of Powerfleet shares are held by company insiders. Comparatively, 13.8% of shares of all “Communications equipment, not elsewhere classified” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

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.