Head-To-Head Analysis: Impinj (NASDAQ:PI) vs. Sequans Communications (NYSE:SQNS)

Impinj (NASDAQ:PI) and Sequans Communications (NYSE:SQNS) are both computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, profitability, analyst recommendations, valuation, institutional ownership, risk and dividends.

Profitability

This table compares Impinj and Sequans Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Impinj	0.18%	8.14%	2.64%
Sequans Communications	142.92%	119.94%	47.45%

Volatility & Risk

Impinj has a beta of 1.83, suggesting that its share price is 83% more volatile than the S&P 500. Comparatively, Sequans Communications has a beta of 0.46, suggesting that its share price is 54% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Impinj and Sequans Communications, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Impinj	1	1	6	0	2.63
Sequans Communications	1	0	1	1	2.67

Impinj currently has a consensus target price of $167.57, indicating a potential downside of 9.51%. Sequans Communications has a consensus target price of $3.50, indicating a potential downside of 64.13%. Given Impinj’s higher probable upside, analysts plainly believe Impinj is more favorable than Sequans Communications.

Institutional & Insider Ownership

63.3% of Sequans Communications shares are held by institutional investors. 12.4% of Impinj shares are held by insiders. Comparatively, 9.4% of Sequans Communications shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Impinj and Sequans Communications”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Impinj	$366.09 million	14.72	$40.84 million	$0.01	18,519.00
Sequans Communications	$36.76 million	3.80	$57.57 million	$18.50	0.53

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

Summary

Sequans Communications beats Impinj on 8 of the 15 factors compared between the two stocks.

About Impinj

Impinj, Inc. operates a cloud connectivity platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. Its platform wirelessly connects items and delivers data about the connected items to business and consumer applications. The company’s platform comprises endpoint ICs, a miniature radios-on-a-chip that attaches to a host item and includes a number to identify the item. Its platform also consists of systems products that consists of reader ICs, readers, and gateways to wirelessly provide power to and communicate bidirectionally with endpoint ICs on host items, as well as to read, write, authenticate, and engage the endpoint ICs on those items; and software and algorithms that enable its partners to solve enterprise business problems, such as retail self-checkout and loss prevention. The company primarily serves retail, supply chain and logistics, automotive, aviation, banking, datacenters, food, healthcare, industrial and manufacturing, linen and uniform tracking, sports, and travel industries through original equipment and device manufacturers, tag service bureaus, systems integrators, value-added resellers, independent software vendors, and other solution partners. Impinj, Inc. was incorporated in 2000 and is headquartered in Seattle, Washington.

About Sequans Communications

Sequans Communications S.A. engages in the fabless designing, developing, and supplying of cellular semiconductor solutions for massive and broadband Internet of Things (IoT) markets in Taiwan, Korea, China, rest of Asia, Germany, the United States, and internationally. It offers baseband solutions for use in encoding and decoding data based on 4G and 5G protocols for wireless processing platform for a cellular device; RF transceivers used to transmit and receive wireless transmissions; highly integrated SoC solutions that combine various functions into a single die or package; and LTE modules. The company also provides software, including source code and tools to enable manufacturers to integrate their solutions into their devices; and design support services. The company serves OEMs and ODMs Customers, as well as 4G and 5G wireless carriers. Sequans Communications S.A. was incorporated in 2003 and is based in Paris, France.