Red Cat (RCAT) Competitors

Magnite (NASDAQ:MGNI) and Red Cat (NASDAQ:RCAT) are both small-cap computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, community ranking, earnings, media sentiment, valuation, institutional ownership, profitability, risk and analyst recommendations.

Do institutionals & insiders believe in MGNI or RCAT?

73.4% of Magnite shares are held by institutional investors. Comparatively, 38.0% of Red Cat shares are held by institutional investors. 4.3% of Magnite shares are held by company insiders. Comparatively, 21.5% of Red Cat shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Is MGNI or RCAT more profitable?

Magnite has a net margin of 2.62% compared to Red Cat's net margin of -232.62%. Magnite's return on equity of 4.64% beat Red Cat's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Magnite	2.62%	4.64%	1.25%
Red Cat	-232.62%	-96.00%	-75.95%

Does the media favor MGNI or RCAT?

In the previous week, Magnite had 1 more articles in the media than Red Cat. MarketBeat recorded 7 mentions for Magnite and 6 mentions for Red Cat. Magnite's average media sentiment score of 1.52 beat Red Cat's score of 0.97 indicating that Magnite is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Magnite	5 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Very Positive
Red Cat	2 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has stronger earnings & valuation, MGNI or RCAT?

Red Cat has lower revenue, but higher earnings than Magnite. Red Cat is trading at a lower price-to-earnings ratio than Magnite, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Magnite	$668.17M	2.63	-$159.18M	$0.14	87.86
Red Cat	$16.47M	31.19	-$24.05M	-$0.54	-11.11

Does the MarketBeat Community prefer MGNI or RCAT?

Magnite received 115 more outperform votes than Red Cat when rated by MarketBeat users. However, 100.00% of users gave Red Cat an outperform vote while only 73.17% of users gave Magnite an outperform vote.

Company	Underperform	Outperform
Magnite	Outperform Votes 120 73.17%	Underperform Votes 44 26.83%
Red Cat	Outperform Votes 5 100.00%	Underperform Votes No Votes

Do analysts rate MGNI or RCAT?

Magnite currently has a consensus price target of $19.27, suggesting a potential upside of 56.66%. Red Cat has a consensus price target of $8.50, suggesting a potential upside of 41.67%. Given Magnite's higher probable upside, equities research analysts plainly believe Magnite is more favorable than Red Cat.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Magnite	0 Sell rating(s)	1 Hold rating(s)	12 Buy rating(s)	0 Strong Buy rating(s)	2.92
Red Cat	0 Sell rating(s)	0 Hold rating(s)	2 Buy rating(s)	1 Strong Buy rating(s)	3.33

Which has more volatility and risk, MGNI or RCAT?

Magnite has a beta of 2.79, indicating that its stock price is 179% more volatile than the S&P 500. Comparatively, Red Cat has a beta of 1.32, indicating that its stock price is 32% more volatile than the S&P 500.

Summary

Magnite beats Red Cat on 13 of the 19 factors compared between the two stocks.