Kornit Digital (NASDAQ: KRNT) and The ExOne (NASDAQ:XONE) are both small-cap industrial products companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, profitabiliy, valuation, analyst recommendations, dividends, earnings and institutional ownership.
Insider and Institutional Ownership
58.5% of Kornit Digital shares are owned by institutional investors. Comparatively, 52.2% of The ExOne shares are owned by institutional investors. 36.4% of The ExOne shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.
Risk & Volatility
Kornit Digital has a beta of 0.04, indicating that its stock price is 96% less volatile than the S&P 500. Comparatively, The ExOne has a beta of 3.29, indicating that its stock price is 229% more volatile than the S&P 500.
Profitability
This table compares Kornit Digital and The ExOne’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Kornit Digital | -0.60% | 5.95% | 4.74% |
| The ExOne | -31.67% | -17.71% | -14.67% |
Analyst Recommendations
This is a breakdown of recent recommendations and price targets for Kornit Digital and The ExOne, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Kornit Digital | 0 | 0 | 6 | 0 | 3.00 |
| The ExOne | 0 | 2 | 1 | 0 | 2.33 |
Kornit Digital presently has a consensus target price of $22.00, suggesting a potential upside of 2.09%. The ExOne has a consensus target price of $14.50, suggesting a potential upside of 25.76%. Given The ExOne’s higher possible upside, analysts plainly believe The ExOne is more favorable than Kornit Digital.
Valuation & Earnings
This table compares Kornit Digital and The ExOne’s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | EBITDA | Earnings Per Share | Price/Earnings Ratio | |
| Kornit Digital | $113.96 million | 6.18 | $6.97 million | ($0.01) | -2,152.85 |
| The ExOne | $50.24 million | 3.70 | -$8.85 million | ($0.99) | -11.65 |
Kornit Digital has higher revenue and earnings than The ExOne. Kornit Digital is trading at a lower price-to-earnings ratio than The ExOne, indicating that it is currently the more affordable of the two stocks.
Summary
Kornit Digital beats The ExOne on 10 of the 13 factors compared between the two stocks.
Kornit Digital Company Profile
Kornit Digital Ltd. develops, designs and markets digital printing solutions for the global printed textile industry. The Company’s solutions include its digital printing systems, ink and other consumables, associated software and value added services. Its customers include custom decorators, online businesses, brand owners and contract printers. The Company categorizes its Direct to Garment (DTG) systems into two groups: entry level and high throughput. The Company’s entry-level systems consist of its Breeze and Thunder systems. Its high throughput systems consist of its Avalanche family of systems, Storm II and Paradigm II. Allegro is its Roll to Roll (R2R) printing system. Its ink and other consumables consist of NeoPigment PURE ink, binding agent, priming fluid, wiping fluid and flushing fluid. Its pigment-based inks are available in over seven colors and are formulated for use in its systems.
The ExOne Company Profile
The ExOne Company is a provider of three dimensional (3D) printing machines and 3D printed and other products, materials and services to industrial customers. The Company’s business primarily consists of manufacturing and selling 3D printing machines and printing products to specification for its customers using its installed base of 3D printing machines. Its machines serve direct and indirect applications. It offers pre-production collaboration and print products for customers through over nine production service centers (PSCs), which are located in the United States, Germany, Italy, Sweden and Japan. It also supplies the associated materials, including consumables and replacement parts, and other services, including training and technical support. It produces a range of machines in order to enable designers and engineers to design and produce industrial prototypes and production parts. The models include Exerial, S-Max/S-Max+, S-Print/M-Print, M-Flex, Innovent and MWT Microwave.
Receive News & Ratings for Kornit Digital Ltd. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Kornit Digital Ltd. and related companies with MarketBeat.com's FREE daily email newsletter.
