Critical Contrast: 1mage Software (OTCMKTS:ISOL) & International Business Machines (NYSE:IBM)

International Business Machines (NYSE:IBM) and 1mage Software (OTCMKTS:ISOL) are both computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, risk, valuation and profitability.

Risk & Volatility

International Business Machines has a beta of 0.71, meaning that its stock price is 29% less volatile than the S&P 500. Comparatively, 1mage Software has a beta of 4.16, meaning that its stock price is 316% more volatile than the S&P 500.

Valuation & Earnings

This table compares International Business Machines and 1mage Software”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
International Business Machines	$62.75 billion	3.68	$6.02 billion	$6.16	40.34
1mage Software	N/A	N/A	N/A	N/A	N/A

International Business Machines has higher revenue and earnings than 1mage Software.

Profitability

This table compares International Business Machines and 1mage Software’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
International Business Machines	9.11%	37.62%	7.08%
1mage Software	N/A	N/A	N/A

Insider & Institutional Ownership

59.0% of International Business Machines shares are owned by institutional investors. 0.2% of International Business Machines shares are owned by insiders. Comparatively, 52.8% of 1mage Software shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and recommmendations for International Business Machines and 1mage Software, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
International Business Machines	1	9	8	1	2.47
1mage Software	0	0	0	0	0.00

International Business Machines currently has a consensus price target of $268.75, indicating a potential upside of 8.16%. Given International Business Machines’ stronger consensus rating and higher possible upside, equities research analysts clearly believe International Business Machines is more favorable than 1mage Software.

Summary

International Business Machines beats 1mage Software on 9 of the 11 factors compared between the two stocks.

About International Business Machines

International Business Machines Corporation, together with its subsidiaries, provides integrated solutions and services worldwide. The company operates through Software, Consulting, Infrastructure, and Financing segments. The Software segment offers a hybrid cloud and AI platforms that allows clients to realize their digital and AI transformations across the applications, data, and environments in which they operate. The Consulting segment focuses on skills integration for strategy, experience, technology, and operations by domain and industry. The Infrastructure segment provides on-premises and cloud based server, and storage solutions, as well as life-cycle services for hybrid cloud infrastructure deployment. The Financing segment offers client and commercial financing, facilitates IBM clients’ acquisition of hardware, software, and services. The company has a strategic partnership to various companies including hyperscalers, service providers, global system integrators, and software and hardware vendors that includes Adobe, Amazon Web services, Microsoft, Oracle, Salesforce, Samsung Electronics and SAP, and others. The company was formerly known as Computing-Tabulating-Recording Co. International Business Machines Corporation was incorporated in 1911 and is headquartered in Armonk, New York.

About 1mage Software

1mage Software Inc operates in the technology industry. The company offers capturing services, including 1ACCESS, an java-based software application that utilizes the adobe PDF format, which could be printed, faxed, and emailed; application program interfaces consisting of executable subroutines; 1FAX, an software application that manages inbound/outbound fax transmissions and outbound emails; 1SCAN, a windows based software application; and 1ERM that provides simultaneous and multi-user access to indexed and archived computer-generated reports and customer-related documents. Its capturing services also include 1SCANSERV, which allow scanned documents from an MFP or a scanner to be transformed into image files; V1A, a document imaging software that allows viewing images; and Zoë, which gives access to other outside applications. The company also provides integrating services, such as application program interfaces; Zoë that gives access to other outside applications; ZoëFetch, an application bridge, which works with various applications; and Zoë XML Web services that allows users to seamlessly integrate with line of business application. In addition, it offers archiving services; and digital content management system that provides solutions for the scanning, indexing, storing, and retrieving of document images. Further, the company provides 1SEARCH that locate and retrieve documents/images, as well as Web services. Additionally, it offers exporting services, which include 1PUBLISH that enables users with specific security rights; and 1RENDITION, which automates the rendition billing process. The company is based in Centennial, Colorado.