Comparing MicroCloud Hologram (NASDAQ:HOLO) & ADTRAN (NASDAQ:ADTN)

MicroCloud Hologram (NASDAQ:HOLO) and ADTRAN (NASDAQ:ADTN) are both small-cap business services companies, but which is the better stock? We will compare the two companies based on the strength of their dividends, earnings, analyst recommendations, risk, profitability, valuation and institutional ownership.

Analyst Recommendations

This is a summary of recent recommendations and price targets for MicroCloud Hologram and ADTRAN, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MicroCloud Hologram	1	0	0	0	1.00
ADTRAN	1	1	3	0	2.40

ADTRAN has a consensus target price of $13.00, suggesting a potential upside of 31.85%. Given ADTRAN’s stronger consensus rating and higher possible upside, analysts clearly believe ADTRAN is more favorable than MicroCloud Hologram.

Earnings and Valuation

This table compares MicroCloud Hologram and ADTRAN”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MicroCloud Hologram	$40.76 million	0.79	-$8.89 million	($1,680.00)	0.00
ADTRAN	$922.72 million	0.86	-$459.89 million	($1.07)	-9.21

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

Risk and Volatility

MicroCloud Hologram has a beta of 3.27, suggesting that its stock price is 227% more volatile than the S&P 500. Comparatively, ADTRAN has a beta of 1.39, suggesting that its stock price is 39% more volatile than the S&P 500.

Profitability

This table compares MicroCloud Hologram and ADTRAN’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MicroCloud Hologram	N/A	N/A	N/A
ADTRAN	-8.44%	-4.63%	-0.56%

Institutional & Insider Ownership

2.1% of MicroCloud Hologram shares are owned by institutional investors. Comparatively, 80.6% of ADTRAN shares are owned by institutional investors. 1.5% of ADTRAN shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

ADTRAN beats MicroCloud Hologram on 8 of the 14 factors compared between the two stocks.

About MicroCloud Hologram

MicroCloud Hologram Inc. provides holographic technology services worldwide. It operates in two segments, Holographic Solutions and Holographic Technology Service. Its services include holographic light detection and ranging (LiDAR) solutions based on holographic technology, holographic LiDAR point cloud algorithms architecture design, technical holographic imaging solutions, holographic LiDAR sensor chip design, and holographic vehicle intelligent vision technology to service customers that provide holographic advanced driver assistance systems. The company also provides holographic digital twin technology services and has a proprietary holographic digital twin technology resource library, which captures shapes and objects in 3D holographic form by utilizing a combination of holographic digital twin software, digital content, spatial data-driven data science, holographic digital cloud algorithm, and holographic 3D capture technology. In addition, it distributes holographic hardware. The company is headquartered in Shenzhen, China.

About ADTRAN

ADTRAN Holdings, Inc., through its subsidiaries, provides networking and communications platforms, software, systems, and services in the United States, Germany, the United Kingdom, and internationally. It operates through two segments, Network Solutions, and Services & Support. It offers residential gateways; ethernet passive optical network ONUs; gigabit passive optical network/XGS-PON ONTs; traditional SSE, routers, and switches; edge cloud; carrier ethernet network interface devices; Optical Line Terminals; Packet Aggregation, Copper Access, and Oscilloquartz; optical transport and engine solutions; infrastructure monitoring solution; and training, professional, software, and managed services. The company also provides various software, such as Mosaic One SaaS, n-Command, Procloud, MCP, AOE and ACI-E, and Ensemble Controller. It serves large, medium, and small service providers; alternative service providers, such as utilities, municipalities and fiber overbuilders; cable/MSOs; and SMBs and distributed enterprises. ADTRAN Holdings, Inc. was incorporated in 1985 and is headquartered in Huntsville, Alabama.