Comparing Cistera Networks (OTCMKTS:CNWT) and Digi International (NASDAQ:DGII)

Digi International (NASDAQ:DGII) and Cistera Networks (OTCMKTS:CNWT) are both computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, institutional ownership, profitability, analyst recommendations, earnings, dividends and risk.

Analyst Recommendations

This is a summary of current ratings and price targets for Digi International and Cistera Networks, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Digi International	0	2	1	0	2.33
Cistera Networks	0	0	0	0	0.00

Digi International presently has a consensus target price of $35.67, indicating a potential upside of 8.54%. Given Digi International’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Digi International is more favorable than Cistera Networks.

Insider and Institutional Ownership

95.9% of Digi International shares are owned by institutional investors. 3.3% of Digi International shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Digi International and Cistera Networks’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Digi International	10.07%	11.00%	8.02%
Cistera Networks	N/A	N/A	N/A

Valuation & Earnings

This table compares Digi International and Cistera Networks”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Digi International	$424.05 million	2.87	$22.50 million	$1.13	29.08
Cistera Networks	N/A	N/A	N/A	N/A	N/A

Digi International has higher revenue and earnings than Cistera Networks.

Summary

Digi International beats Cistera Networks on 9 of the 9 factors compared between the two stocks.

About Digi International

Digi International Inc. provides business and mission-critical Internet of Things (IoT) products, services, and solutions in the United States, Europe, the Middle East, Africa, and internationally. The company operates in two segments, IoT Products & Services, and IoT Solutions. It offers cellular routers for mission-critical wireless connectivity; cellular modules to embed cellular communications abilities into the products to deploy and manage intelligent and secure cellular connected products; console servers to provide secure and remote access to network equipment in data centers and at edge locations; and radio frequency products, including embedded wireless modules, off-the-shelf gateways, modems, and adapters under the Digi XBee brand. The company provides embedded system products under the Digi Connect, ConnectCore, and Rabbit brands; and infrastructure management products, comprising of serial servers, which offers serial port-to-Ethernet integration of devices into wired Ethernet networks; and universal serial bus solutions. In addition, it offers Digi Remote Manager and Lighthouse, a recurring revenue cloud-based service that provides a secure environment for customers to manage their connected device deployment and network devices; SmartSense by Digi for monitoring wirelessly the temperature of food and other perishable or sensitive goods, monitor facilities or pharmacies by tracking the completion of operating tasks by employees, as well as quality control and incident management for food service, healthcare, and transportation/logistics industries; and Ventus which provides MNaaS solutions. Further, the company provides professional services, such as site planning, implementation management, application development, and customer training; data plan subscriptions; and enhanced technical support services, as well as Digi Wireless Design Services. Digi International Inc. was incorporated in 1985 and is headquartered in Hopkins, Minnesota.

About Cistera Networks

Cistera Networks, Inc. provides enterprise and small business communications solutions for the IT industry in the United States. The company’s convergence servers and software application solutions offer advanced voice, video, and data communications platforms and applications for quality assurance and management, event notification and alerting, recording and monitoring, and collaborative solutions. It also provides Cistera 1.9 software platform, a component-based architecture that enables enhanced scalability and management of advanced unified communications applications; and Quality Assurance and Management systems that allow organizations to respond to the needs of their customers and their partners, as well as enable organizations to build feedback loops by automating audit and compliance needs through recording and monitoring systems. In addition, the company offers Event Alerting and Notification solutions for the delivery of timely and actionable information for organizations of various sizes. Further, it provides support and maintenance, and professional services. The company was formerly known as CNH Holdings Company and changed its name to Cistera Networks Inc in September 2005. Cistera Networks, Inc. was founded in 1987 and is headquartered in Plano, Texas.