Veritone (NASDAQ:VERI) and Xperi (NYSE:XPER) Head to Head Analysis

Veritone (NASDAQ:VERI) and Xperi (NYSE:XPER) are both small-cap technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, profitability, earnings, risk, analyst recommendations, institutional ownership and dividends.

Institutional and Insider Ownership

39.2% of Veritone shares are owned by institutional investors. Comparatively, 94.3% of Xperi shares are owned by institutional investors. 7.4% of Veritone shares are owned by insiders. Comparatively, 3.2% of Xperi shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Veritone and Xperi, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Veritone	1	1	3	0	2.40
Xperi	1	1	2	0	2.25

Veritone currently has a consensus price target of $6.12, indicating a potential upside of 1,256.29%. Xperi has a consensus price target of $11.00, indicating a potential upside of 81.07%. Given Veritone’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Veritone is more favorable than Xperi.

Risk and Volatility

Veritone has a beta of 2.33, meaning that its share price is 133% more volatile than the S&P 500. Comparatively, Xperi has a beta of 1.4, meaning that its share price is 40% more volatile than the S&P 500.

Profitability

This table compares Veritone and Xperi’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Veritone	-111.90%	-159.15%	-39.63%
Xperi	-6.89%	4.43%	2.97%

Earnings and Valuation

This table compares Veritone and Xperi”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Veritone	$92.19 million	0.50	-$111.73 million	($0.38)	-1.19
Xperi	$448.11 million	0.66	-$56.34 million	($0.68)	-8.93

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

About Veritone

Veritone, Inc. develops artificial intelligence software and services for businesses and public-sector organizations. Its aiWARE platform is designed to help customers process and analyze large volumes of data by coordinating AI models for tasks such as speech recognition, image and video analysis, and language processing. The company’s products and services support uses including media monitoring and advertising, digital content management, public safety and investigations, legal workflows, and talent acquisition.

About Xperi

Xperi develops technology for entertainment and connected devices, serving markets that include television, consumer electronics and automotive. Its products and platforms help manufacturers and media companies deliver content, audio and interactive experiences across connected screens and vehicles. The company’s brands and offerings include TiVo, whose products support television discovery and streaming, and DTS, which provides audio technologies. Xperi also develops HD Radio and automotive solutions such as DTS AutoStage, as well as services for smart TVs and other consumer devices.