George Risk Industries (OTCMKTS:RSKIA) and Turtle Beach (NASDAQ:TBCH) Critical Comparison

George Risk Industries (OTCMKTS:RSKIA) and Turtle Beach (NASDAQ:TBCH) are both small-cap computer and technology companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, valuation, profitability and risk.

Institutional and Insider Ownership

0.1% of George Risk Industries shares are owned by institutional investors. Comparatively, 67.0% of Turtle Beach shares are owned by institutional investors. 59.8% of George Risk Industries shares are owned by company insiders. Comparatively, 5.1% of Turtle Beach shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent ratings and price targets for George Risk Industries and Turtle Beach, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
George Risk Industries	0	0	0	0	0.00
Turtle Beach	0	0	1	0	3.00

Turtle Beach has a consensus price target of $21.00, indicating a potential upside of 44.13%. Given Turtle Beach’s stronger consensus rating and higher possible upside, analysts clearly believe Turtle Beach is more favorable than George Risk Industries.

Risk and Volatility

George Risk Industries has a beta of 0.31, suggesting that its share price is 69% less volatile than the S&P 500. Comparatively, Turtle Beach has a beta of 2.05, suggesting that its share price is 105% more volatile than the S&P 500.

Earnings and Valuation

This table compares George Risk Industries and Turtle Beach”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
George Risk Industries	$21.77 million	3.76	$7.56 million	$1.74	9.60
Turtle Beach	$372.77 million	0.78	-$17.68 million	$0.77	18.92

George Risk Industries has higher earnings, but lower revenue than Turtle Beach. George Risk Industries is trading at a lower price-to-earnings ratio than Turtle Beach, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares George Risk Industries and Turtle Beach’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
George Risk Industries	45.40%	18.53%	16.42%
Turtle Beach	1.41%	9.18%	3.88%

About George Risk Industries

George Risk Industries, Inc. designs, manufactures, and sells various electronic components worldwide. It operates in three segments: security line products, cable and wiring tools (Labor Saving Devices – LSDI) products, and all other products. The company offers computer keyboards, proximity switches, security alarm components and systems, pool access alarms, EZ Duct wire covers, water sensors, electronic switching devices, security switches, and wire and cable installation tools, as well as door and window contact switches, environmental products, liquid detection sensors, and raceway wire covers. Its products are used for residential, commercial, industrial, and government installations. The company serves security alarm distributors, alarm installers, original equipment manufacturers, and distributors of off-the-shelf keyboards. George Risk Industries, Inc. was incorporated in 1961 and is based in Kimball, Nebraska.

About Turtle Beach

Turtle Beach Corporation operates as an audio technology company. It develops, commercializes, and markets gaming headset solutions for various platforms, including video game and entertainment consoles, personal computers, handheld consoles, tablets, and mobile devices under the Turtle Beach brand. The company also offers gaming headsets, keyboards, mice, mousepads, and other accessories for the personal computer peripherals market under the brand of ROCCAT, as well as digital USB and analog microphones under the Neat Microphones brand. It serves retailers, distributors, and other customers in North America, the United Kingdom, Europe, and internationally. The company was founded in 1975 and is headquartered in White Plains, New York.