Infinite Group (OTCMKTS:IMCI) vs. N-able (NYSE:NABL) Critical Analysis

Infinite Group (OTCMKTS:IMCI) and N-able (NYSE:NABL) are both computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, dividends, earnings, valuation, risk, analyst recommendations and institutional ownership.

Earnings and Valuation

This table compares Infinite Group and N-able’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Infinite Group	$7.00 million	0.00	-$3.56 million	($5.03)	0.00
N-able	$421.88 million	6.20	$23.41 million	$0.14	101.14

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

Analyst Recommendations

This is a breakdown of current ratings and target prices for Infinite Group and N-able, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Infinite Group	0	0	0	0	N/A
N-able	0	2	2	0	2.50

N-able has a consensus price target of $15.50, indicating a potential upside of 9.46%. Given N-able’s higher possible upside, analysts clearly believe N-able is more favorable than Infinite Group.

Insider & Institutional Ownership

96.4% of N-able shares are owned by institutional investors. 35.0% of Infinite Group shares are owned by insiders. Comparatively, 1.4% of N-able shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Volatility and Risk

Infinite Group has a beta of -0.14, suggesting that its stock price is 114% less volatile than the S&P 500. Comparatively, N-able has a beta of 0.47, suggesting that its stock price is 53% less volatile than the S&P 500.

Profitability

This table compares Infinite Group and N-able’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Infinite Group	N/A	N/A	N/A
N-able	6.27%	4.38%	2.66%

Summary

N-able beats Infinite Group on 12 of the 13 factors compared between the two stocks.

About Infinite Group

Infinite Group, Inc. develops cybersecurity software in the United States. The company offers Nodeware, a patented software-as-a-service solution that automates network asset identification, and cybersecurity vulnerability management and monitoring; and distributes Webroot, a cloud-based endpoint security platform solution. It also provides cybersecurity consulting services that include incident response, security awareness training, risk management, IT governance and compliance, security assessment, and penetration testing offerings to channel partners and direct customers for various vertical markets, such as banking, manufacturing, supply chain, and technology. In addition, the company offers managed support services related to information security, including troubleshooting, backend analysis, and technical and security support for mission critical technical infrastructure; and sells third party software licenses. The company was formerly known as Infinite Machines Corp. and changed its name to Infinite Group, Inc. in January 1998. Infinite Group, Inc. was incorporated in 1986 and is headquartered in Pittsford, New York.

About N-able

N-able, Inc. provides cloud-based software solutions for managed service providers in the United States, the United Kingdom, and internationally. The company's solutions enable MSPs to support digital transformation and growth within small and medium-sized enterprises. It provides software platform designed to be an integrated, enterprise-grade solution that serves as an operating system for its MSP partners and scales as their businesses grow. In addition, the company offers remote monitoring and management solutions provide MSP partners with visibility and insights into the availability and performance of their customers' networks, infrastructure, devices and applications through a centralized dashboard; data protection as-a-service solutions, such as backup and disaster recovery for servers, virtual machines, workstations, files, data, and key cloud-based applications, as well as multi-tenant platform and secure remote delivery architecture. Further, it offers security services through patch management, endpoint security, managed detection and response, web protection, e-mail security, and archiving and vulnerability assessment solutions. Additionally, the company engages in professional services automation, automation and scripting management, password management policies and reporting, and analytics. N-able, Inc. was incorporated in 2020 and is headquartered in Burlington, Massachusetts.