Contrasting Interlink Electronics (NASDAQ:LINK) and Inno (NASDAQ:INHD)

Interlink Electronics (NASDAQ:LINK) and Inno (NASDAQ:INHD) are both small-cap technology companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, risk, institutional ownership, earnings, analyst recommendations, valuation and dividends.

Profitability

This table compares Interlink Electronics and Inno’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Interlink Electronics	-8.95%	-12.38%	-9.81%
Inno	-72.63%	-9.47%	-9.36%

Analyst Recommendations

This is a summary of current ratings for Interlink Electronics and Inno, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Interlink Electronics	1	0	0	0	1.00
Inno	1	0	0	0	1.00

Institutional and Insider Ownership

0.2% of Inno shares are held by institutional investors. 77.5% of Interlink Electronics shares are held by company insiders. Comparatively, 0.1% of Inno shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Interlink Electronics and Inno”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Interlink Electronics	$11.89 million	7.88	-$1.62 million	($0.07)	-85.00
Inno	$2.85 million	2.81	-$7.08 million	($5.90)	-0.54

Interlink Electronics has higher revenue and earnings than Inno. Interlink Electronics is trading at a lower price-to-earnings ratio than Inno, indicating that it is currently the more affordable of the two stocks.

Summary

Interlink Electronics beats Inno on 6 of the 10 factors compared between the two stocks.

About Interlink Electronics

Interlink Electronics, Inc., together with its subsidiaries, designs, develops, manufactures, and sells force-sensing technologies that incorporate proprietary materials technology, firmware, and software into sensor-based products and custom sensor system solutions in the United States, Asia, the Middle East, Europe, and internationally. The company's products include sensor components, subassemblies, modules, and products that support cursor control and novel three-dimensional user inputs. It also provides simple force and piezo sensors to multi-finger capable rugged trackpads; Force-Sensing Resistor sensors; force sensing linear potentiometers for menu navigation and control; and integrated mouse modules and pointing solutions to various electronic devices. In addition, the company offers human machine interface technology platforms for various applications, including vehicle entry, vehicle multi-media control interface, rugged touch controls, presence detection, collision detection, speed and torque controls, pressure mapping, biological monitoring, and others; and embedded firmware development and integration support services. It serves multi-national and start-up companies, technology design houses, original design manufacturers, original equipment manufacturers, and universities in various markets, such as consumer electronics, automotive, industrial, and medical through direct sales employees, as well as outside sales representatives and distributors. Interlink Electronics, Inc. was incorporated in 1985 and is headquartered in Irvine, California.

About Inno

Inno Holdings Inc. manufactures and sells cold-formed-steel members, castor cubes, mobile factories, and prefabricated homes in the United States. The company provides cold-formed steel framing and a mobile factory for off-site equipment rental, sales, service, and support. It serves in residential, commercial, industrial, and infrastructure projects. Inno Holdings Inc. was founded in 2019 and is headquartered in Brookshire, Texas.