Contrasting GSI Technology (NASDAQ:GSIT) and Digitiliti (OTCMKTS:DIGI)

Digitiliti (OTCMKTS:DIGI) and GSI Technology (NASDAQ:GSIT) are both computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their institutional ownership, risk, valuation, dividends, analyst recommendations, profitability and earnings.

Volatility and Risk

Digitiliti has a beta of -0.43, indicating that its stock price is 143% less volatile than the S&P 500. Comparatively, GSI Technology has a beta of 1.34, indicating that its stock price is 34% more volatile than the S&P 500.

Valuation & Earnings

This table compares Digitiliti and GSI Technology”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Digitiliti	N/A	N/A	N/A	N/A	N/A
GSI Technology	$24.02 million	11.05	-$10.64 million	($0.44)	-17.11

Digitiliti has higher earnings, but lower revenue than GSI Technology.

Profitability

This table compares Digitiliti and GSI Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Digitiliti	N/A	N/A	N/A
GSI Technology	-62.96%	-43.27%	-30.07%

Institutional & Insider Ownership

33.2% of GSI Technology shares are owned by institutional investors. 3.7% of Digitiliti shares are owned by insiders. Comparatively, 25.4% of GSI Technology shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and price targets for Digitiliti and GSI Technology, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Digitiliti	0	0	0	0	0.00
GSI Technology	1	0	0	0	1.00

Given Digitiliti’s higher possible upside, research analysts plainly believe Digitiliti is more favorable than GSI Technology.

Summary

GSI Technology beats Digitiliti on 5 of the 9 factors compared between the two stocks.

About Digitiliti

Digitiliti, Inc. provides online data protection solutions to the small and medium business and small to medium enterprise markets in the United States. It offers DigiBAK, an online data backup and recovery service for various machines in a network, including desktops, laptops, and file and print servers. The company also provides DigiLIBE, an information management software that moves and manages information objects, which are human recognized content, such as a word document or an excel spreadsheet. It serves various data intensive industries, including financial services, engineering and scientific, construction, health care, education, and legal services. The company sells and supports its solutions and services through direct sales, value-added remarketers, and third-party integrators. Digitiliti, Inc. was incorporated in 2006 and is based in Breezy Point, Minnesota.

About GSI Technology

GSI Technology, Inc. designs, develops, and markets semiconductor memory solutions to networking, industrial, medical, aerospace, and military customers in the United States, China, Singapore, Germany, the Netherlands, and internationally. It offers associative processing unit products, which are focuses on applications using similarity search in visual search queries for ecommerce, computer vision, drug discovery, cyber security, and service markets. The company also provides static random access memory (SRAM) products, such as SyncBurst for microprocessor cache and other applications; No Bus Turnaround SRAMs to address the needs of networking and telecom applications; SigmaQuad and SigmaDDR products for density and random transaction rate requirements of networking and telecom applications; Low Latency DRAMs, a solution for advanced data networking applications; Asynchronous, a main memory for small cache-less embedded processors for industrial electronics, measurement systems and cost-sensitive networking equipment, and other applications; and specialty SRAMs. In addition, it offers radiation-hardened and radiation-tolerant SRAMs for military/defense and aerospace applications, such as networking satellites and missiles. The company's products are used as components in its original equipment manufacturer customers' products, including routers, switches, and other networking and telecommunications products; military and aerospace applications, such as radar and guidance systems and satellites; test and measurement applications consisting of high-speed testers; automotive applications comprising smart cruise control; medical applications, including ultrasound and CAT scan equipment; and audio/video processing. It markets its products through a network of independent sales representatives and distributors. GSI Technology, Inc. was incorporated in 1995 and is headquartered in Sunnyvale, California.