Critical Contrast: Iota Communications (OTCMKTS:IOTC) & Cass Information Systems (NASDAQ:CASS)

Iota Communications (OTCMKTS:IOTC) and Cass Information Systems (NASDAQ:CASS) are both business services companies, but which is the better business? We will compare the two companies based on the strength of their analyst recommendations, institutional ownership, profitability, valuation, risk, dividends and earnings.

Valuation and Earnings

This table compares Iota Communications and Cass Information Systems”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Iota Communications	N/A	N/A	N/A	N/A	N/A
Cass Information Systems	$190.07 million	2.93	$30.06 million	$1.66	24.72

Cass Information Systems has higher revenue and earnings than Iota Communications.

Institutional and Insider Ownership

59.1% of Cass Information Systems shares are owned by institutional investors. 6.2% of Iota Communications shares are owned by company insiders. Comparatively, 2.4% of Cass Information Systems shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Iota Communications and Cass Information Systems’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Iota Communications	N/A	N/A	N/A
Cass Information Systems	11.52%	9.92%	0.99%

Analyst Recommendations

This is a breakdown of recent recommendations for Iota Communications and Cass Information Systems, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Iota Communications	0	0	0	0	0.00
Cass Information Systems	0	0	1	0	3.00

Cass Information Systems has a consensus target price of $45.00, indicating a potential upside of 9.68%. Given Cass Information Systems’ stronger consensus rating and higher probable upside, analysts clearly believe Cass Information Systems is more favorable than Iota Communications.

Summary

Cass Information Systems beats Iota Communications on 8 of the 9 factors compared between the two stocks.

About Iota Communications

Iota Communications, Inc., through its subsidiaries, provides Internet of Things (IoT) solutions. It also provides energy conservation solutions. The company operates through Iota Networks, Iota Commercial Solutions, Iota Communications, and Iota Holdings. In addition, the company offers delphi360, a wireless connectivity and data analytics platform to integrate with devices and sensors, as well as provides BrightAI, an analytic platform that gathers information from sensor connectivity. Further, it provides IoT-based LED and smart lighting. Additionally, it offers smart building solutions, a platform for data management. Furthermore, the company serves healthcare, commercial real estate, education, utility, retail, and manufacturing industries; and city and municipals. Iota Communications, Inc. is based in Allentown, Pennsylvania.

About Cass Information Systems

Cass Information Systems, Inc. provides payment and information processing services to manufacturing, distribution, and retail enterprises in the United States. The company operates through two segments, Information Services and Banking Services. Its services include freight invoice rating, payment processing, auditing, and the generation of accounting and transportation information. The company also processes and pays facility-related invoices, such as electricity, gas, waste, and telecommunications expenses; and provides telecom expense management solutions, as well as church management software solution and on-line platform to provide generosity services for faith-based and non-profit organizations. In addition, the company, through its banking subsidiary, Cass Commercial Bank, provides a range of banking products and services, such as demand, savings, time, and money market deposits; commercial, industrial, commercial real estate, and construction and land development loans; and cash management services to privately held businesses, restaurant franchises, and faith-related ministries. Further, it provides B2B payment platform for clients that require an agile fintech partner. It operates through its banking facility near downtown St. Louis, Missouri; operating branch in the Bridgeton, Missouri; and leased facilities in Colorado Springs, Colorado. The company was formerly known as Cass Commercial Corporation and changed its name to Cass Information Systems, Inc. in January 2001. Cass Information Systems, Inc. was founded in 1906 and is headquartered in Saint Louis, Missouri.