Head to Head Review: Ixia (XXIA) & Harmonic (NASDAQ:HLIT)

Harmonic (NASDAQ: HLIT) and Ixia (NASDAQ:XXIA) are both computer and technology companies, but which is the better investment? We will compare the two businesses based on the strength of their analyst recommendations, earnings, risk, dividends, profitabiliy, institutional ownership and valuation.

Profitability

This table compares Harmonic and Ixia’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Harmonic -17.50% -7.29% -3.55%
Ixia -29.28% -28.71% -19.71%

Volatility and Risk

Harmonic has a beta of 0.98, suggesting that its stock price is 2% less volatile than the S&P 500. Comparatively, Ixia has a beta of 0.75, suggesting that its stock price is 25% less volatile than the S&P 500.

Earnings and Valuation

This table compares Harmonic and Ixia’s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Harmonic $407.02 million 0.82 -$1.02 million ($0.91) -4.56
Ixia N/A N/A N/A $0.12 163.76

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

Institutional & Insider Ownership

98.2% of Harmonic shares are held by institutional investors. Comparatively, 63.6% of Ixia shares are held by institutional investors. 5.5% of Harmonic shares are held by insiders. Comparatively, 24.4% of Ixia shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and target prices for Harmonic and Ixia, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Harmonic 0 2 1 0 2.33
Ixia 0 3 1 0 2.25

Harmonic currently has a consensus target price of $5.67, indicating a potential upside of 36.55%. Ixia has a consensus target price of $19.65, indicating a potential upside of 0.00%. Given Harmonic’s stronger consensus rating and higher possible upside, research analysts clearly believe Harmonic is more favorable than Ixia.

Summary

Harmonic beats Ixia on 8 of the 10 factors compared between the two stocks.

About Harmonic

Harmonic Inc. (Harmonic) designs, manufactures and sells video infrastructure products, and system solutions. The Company has two segments: Video and Cable Edge. Harmonic provides technical support and professional services to its customers around the world. The Video segment sells video processing and production, and playout solutions and services to broadcast and media companies, streaming media companies, cable operators, and satellite and telecommunications (telco), and pay television (TV) service providers. Its Cable Edge business sells cable edge solutions and related services to cable operators around the world. The Video segment offers a range of products and solutions, as well as software-based media processing platforms. The Company’s Narrowcast Services Gateway (NSG) products are integrated edge gateway products that integrate routing, multiplexing, scrambling and modulation into a single package for the delivery of narrowcast services to subscribers over cable networks.

About Ixia

Ixia is a provider of physical and virtual network application performance and security resilience solutions. The Company’s product solutions consist of its hardware platforms, software applications and services, including warranty and maintenance offerings. The Company helps its customers to validate the performance and security resilience of their applications and networks. The Company offers network test hardware platforms with interchangeable interfaces, using a common set of applications and Application Programing Interfaces (APIs). The Company provides its solutions to network equipment manufacturers (NEMs), service providers, and enterprise and government organizations. The Company’s product solutions consist of its hardware platforms, such as chassis, interface cards and appliances, software application tools, and services, including its warranty and maintenance offerings and professional services.

Receive News & Ratings for Harmonic Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Harmonic Inc. and related companies with our FREE daily email newsletter.

 


Latest News

Eduardo Nunez Traded by Giants to Red Sox
Eduardo Nunez Traded by Giants to Red Sox
Giancarlo Stanton Continues Record Pace for July
Giancarlo Stanton Continues Record Pace for July
Los Angeles Dodgers Ace Clayton Kershaw to Go on DL
Los Angeles Dodgers Ace Clayton Kershaw to Go on DL
Colin Moran Fouls Ball Off Eye, Taken to Hospital
Colin Moran Fouls Ball Off Eye, Taken to Hospital
Chris Sale Reaches 200 Strikeouts in Record Time
Chris Sale Reaches 200 Strikeouts in Record Time
Veteran Pitcher Bartolo Colon Considering Retirement
Veteran Pitcher Bartolo Colon Considering Retirement


Leave a Reply

 
© 2006-2017 BBNS.