WISeKey International (NASDAQ:WKEY) versus Clarivate (NYSE:CLVT) Financial Review

WISeKey International (NASDAQ:WKEY) and Clarivate (NYSE:CLVT) are both industrial products companies, but which is the better stock? We will contrast the two businesses based on the strength of their risk, analyst recommendations, profitability, institutional ownership, earnings, valuation and dividends.

Analyst Recommendations

This is a summary of current ratings and recommmendations for WISeKey International and Clarivate, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WISeKey International	0	0	1	0	3.00
Clarivate	2	2	3	0	2.14

WISeKey International presently has a consensus target price of $4.00, suggesting a potential upside of 89.57%. Clarivate has a consensus target price of $7.71, suggesting a potential upside of 13.95%. Given WISeKey International’s stronger consensus rating and higher possible upside, equities research analysts clearly believe WISeKey International is more favorable than Clarivate.

Insider and Institutional Ownership

0.3% of WISeKey International shares are owned by institutional investors. Comparatively, 85.7% of Clarivate shares are owned by institutional investors. 33.5% of WISeKey International shares are owned by insiders. Comparatively, 22.8% of Clarivate shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Risk and Volatility

WISeKey International has a beta of 2.04, suggesting that its stock price is 104% more volatile than the S&P 500. Comparatively, Clarivate has a beta of 1.17, suggesting that its stock price is 17% more volatile than the S&P 500.

Earnings and Valuation

This table compares WISeKey International and Clarivate”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
WISeKey International	$30.92 million	0.46	-$15.36 million	N/A	N/A
Clarivate	$2.63 billion	1.86	-$911.20 million	($1.91)	-3.54

WISeKey International has higher earnings, but lower revenue than Clarivate.

Profitability

This table compares WISeKey International and Clarivate’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
WISeKey International	N/A	N/A	N/A
Clarivate	-46.53%	10.01%	3.94%

About WISeKey International

WISeKey International Holding AG, a cybersecurity company, provides integrated security solutions in Switzerland, rest of Europe, the Middle East, Africa, North America, the Asia Pacific, and Latin America. The company operates in two segments, IoT and Managed Public Key Infrastructure (mPKI). It offers microcontrollers that provides identity to various connected devices; and mPKI, which include digital identity, certificate management and signing solutions, and trust services, as well as offers digital certificates; software as a service, including cloud-based certificate life-cycle-management and signing and authentication solutions; software licenses; post-contract customer support for cybersecurity applications; and infrastructure hosting and monitoring services. The company also develops, markets, hosts, and supports a range of solutions that enable secure digital identification of people, content, and objects by generating digital identities through its products and services in cybersecurity services, IoT, digital brand management, and mobile security, which enable clients to monetize their existing user bases, as well as expand its eco-system. In addition, it engages in financing, sales, and distribution activities; and sells semiconductors secure chips. The company was founded in 1999 and is headquartered in Zug, Switzerland.

About Clarivate

Clarivate Plc operates as an information services provider in the Americas, the Middle East, Africa, Europe, and the Asia Pacific. It operates through three segments: Academia & Government, Life Sciences & Healthcare, and Intellectual Property. The company offers Web of Science and InCites, that analyzes and explores the academic research landscape and manages research information; ProQuest One and Ebook Central that provides comprehensive content collections to institutions in a cost-effective manner; and Alma and Polaris, that manages academic resources and services, connect users, and support research publications. It also provides Patent and Trademark Renewals, that supports paralegal and admin tasks throughout the patent and trademark protection and maintenance process; CompuMark and Derwent, that supports critical decisions around patent and trademark protection, risk, and value creation throughout the innovation and brand lifecycle; IPFolio and Foundation IP that creates a structured environment for the protection and management of global patent and trademark assets. In addition, the company offers Cortellis Competitive Intelligence and Cortellis Drug Discovery Intelligence, that supports the development of new drugs and medical devices from discovery to clinical trials; Cortellis Regulatory Intelligence and OFF-X to monitor drug safety issues and adhere to regulatory protocols; Real World Data and Optimize that inform commercial launch strategy and set pricing for optimal reimbursement. It serves corporations, universities, law firms, government agencies, public libraries, and other professional services organizations. The company was formerly known as Clarivate Analytics Plc and changed its name to Clarivate Plc in May 2020. Clarivate Plc was founded in 1864 and is headquartered in London, the United Kingdom.