Critical Comparison: CLEAR Secure (NYSE:YOU) & zSpace (NASDAQ:ZSPC)

zSpace (NASDAQ:ZSPC) and CLEAR Secure (NYSE:YOU) are both technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, institutional ownership, valuation, dividends, risk and profitability.

Volatility & Risk

zSpace has a beta of -1.41, suggesting that its stock price is 241% less volatile than the S&P 500. Comparatively, CLEAR Secure has a beta of 1.04, suggesting that its stock price is 4% more volatile than the S&P 500.

Profitability

This table compares zSpace and CLEAR Secure’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
zSpace	-91.13%	N/A	-236.00%
CLEAR Secure	14.78%	71.51%	10.90%

Analyst Recommendations

This is a breakdown of current recommendations for zSpace and CLEAR Secure, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
zSpace	1	2	0	0	1.67
CLEAR Secure	1	4	4	0	2.33

zSpace currently has a consensus price target of $75.00, suggesting a potential upside of 53,471.43%. CLEAR Secure has a consensus price target of $58.29, suggesting a potential upside of 47.25%. Given zSpace’s higher probable upside, analysts clearly believe zSpace is more favorable than CLEAR Secure.

Earnings & Valuation

This table compares zSpace and CLEAR Secure”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
zSpace	$27.86 million	0.19	-$25.39 million	($16.94)	-0.01
CLEAR Secure	$900.78 million	5.94	$109.17 million	$1.47	26.93

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

Institutional and Insider Ownership

73.8% of CLEAR Secure shares are held by institutional investors. 8.7% of zSpace shares are held by company insiders. Comparatively, 29.7% of CLEAR Secure shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

CLEAR Secure beats zSpace on 13 of the 14 factors compared between the two stocks.

About zSpace

zSpace Technologies, Inc. is a provider of commercial augmented reality and virtual reality technology principally in the education market. The Company offers differentiated hardware along with learning software modules for K-12 science, technology, engineering, game design and mathematics applications, as well as workforce-oriented career and technical education applications. zSpace Technologies Inc. is based in SAN JOSE, Calif.

About CLEAR Secure

Clear Secure, Inc. operates a secure identity platform under the CLEAR brand name primarily in the United States. Its secure identity platform is a multi-layered infrastructure consisting of front-end, including enrollment, verification, and linking, as well as back-end. The company also offers CLEAR Plus, a consumer aviation subscription service, which enables access to predictable entry lanes in airport security checkpoints, as well as access to broader network; and CLEAR mobile app, which is used to enroll new members and improve the experience for existing members. In addition, it provides RESERVE powered by CLEAR, a virtual queuing technology that provides users with the ability to book a dedicated time slot to go through security at the airport; CLEAR Verified, a B2B offering that extends secure identity platform to partners to create friction-free experiences for their customers; TSA PreCheck Enrollment Provided by CLEAR, as well as online renewal services; Atlas Certified, an automated solution to verify professional licenses and certification data across industries; and Sora ID that enables adding know your customer services to platform offerings, as well as virtual queuing technology that enables customers to manage lines. The company was founded in 2010 and is headquartered in New York, New York. Clear Secure, Inc. is a subsidiary of Alclear Investments, Llc.