Intrusion (NASDAQ:INTZ) vs. NETGEAR (NASDAQ:NTGR) Head-To-Head Review

Intrusion (NASDAQ:INTZ) and NETGEAR (NASDAQ:NTGR) are both small-cap computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their institutional ownership, profitability, analyst recommendations, valuation, earnings, risk and dividends.

Analyst Recommendations

This is a summary of current ratings and price targets for Intrusion and NETGEAR, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Intrusion	0	1	1	0	2.50
NETGEAR	0	0	1	0	3.00

Intrusion currently has a consensus price target of $6.75, indicating a potential upside of 277.09%. NETGEAR has a consensus price target of $29.00, indicating a potential upside of 19.00%. Given Intrusion’s higher possible upside, analysts clearly believe Intrusion is more favorable than NETGEAR.

Risk and Volatility

Intrusion has a beta of -1.5, suggesting that its stock price is 250% less volatile than the S&P 500. Comparatively, NETGEAR has a beta of 1.07, suggesting that its stock price is 7% more volatile than the S&P 500.

Profitability

This table compares Intrusion and NETGEAR’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Intrusion	-119.32%	-154.60%	-61.19%
NETGEAR	9.13%	-3.24%	-2.09%

Institutional and Insider Ownership

19.4% of Intrusion shares are owned by institutional investors. Comparatively, 83.0% of NETGEAR shares are owned by institutional investors. 10.4% of Intrusion shares are owned by insiders. Comparatively, 2.3% of NETGEAR shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Intrusion and NETGEAR”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Intrusion	$5.77 million	6.17	-$7.79 million	($0.92)	-1.95
NETGEAR	$673.76 million	1.05	$12.36 million	$2.16	11.28

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

Summary

NETGEAR beats Intrusion on 10 of the 13 factors compared between the two stocks.

About Intrusion

Intrusion Inc., a cybersecurity company in the United States. The company offers its customers access to threat intelligence database, which contains the historical data, known associations, and reputational behavior of Internet Protocol addresses. It offers INTRUSION Shield, a zero trust reputation-based Software as a Service solution that inspects and kills dangerous network connections. The company also provides INTRUSION TraceCop, a big data tool that contains an inventory of network selectors and enrichments to support forensic investigations; and INTRUSION Savant, a network monitoring solution that uses the data available in TraceCop to identify suspicious traffic in real-time. In addition, it engages in the provision of pre-and post-sales support services, such as network security design, system installation, and technical consulting services. The company serves US federal government entities, state and local government entities, and companies ranging from mid-market to large enterprises through a direct sales force and value-added resellers. The company was formerly known as Intrusion.com, Inc. and changed its name to Intrusion Inc. in November 2001. Intrusion Inc. was founded in 1983 and is headquartered in Plano, Texas.

About NETGEAR

NETGEAR, Inc. provides connectivity solutions the Americas; Europe, the Middle East, Africa; and the Asia Pacific. The company operates in two segments, Connected Home, and NETGEAR for Business. The Connected Home segment offers Wi-Fi routers and home Wi-Fi mesh systems, Wi-Fi hotspots, digital displays, broadband modems, Wi-Fi gateways, Wi-Fi range extenders, powerline adapters, and Wi-Fi network adapters; and provides value-added service offerings, including security and privacy, technical support, and parental controls. The NETGEAR for Business segment provides pro AV Solutions; pro routers; enterprise grade cloud managed or standalone access points; general purpose ethernet switches; NETGEAR Insight remote management software; and NETGEAR engage controller. It markets and sells its products through wholesale distributors, traditional and online retailers, direct market resellers, value-added resellers, and broadband service providers, as well as through its direct online store. The company was incorporated in 1996 and is headquartered in San Jose, California.