Reviewing Pixie Dust Technologies (NASDAQ:PXDT) & Star Equity (NASDAQ:STRR)

Pixie Dust Technologies (NASDAQ:PXDT) and Star Equity (NASDAQ:STRR) are both small-cap medical companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, profitability, valuation, dividends, earnings, institutional ownership and analyst recommendations.

Earnings and Valuation

This table compares Pixie Dust Technologies and Star Equity”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pixie Dust Technologies	$6.30 million	4.46	-$12.53 million	N/A	N/A
Star Equity	$47.15 million	0.28	$25.13 million	$6.50	0.63

Star Equity has higher revenue and earnings than Pixie Dust Technologies.

Institutional & Insider Ownership

0.4% of Pixie Dust Technologies shares are held by institutional investors. Comparatively, 3.8% of Star Equity shares are held by institutional investors. 28.8% of Star Equity shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings for Pixie Dust Technologies and Star Equity, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pixie Dust Technologies	0	0	1	0	3.00
Star Equity	0	0	0	0	N/A

Pixie Dust Technologies presently has a consensus target price of $5.21, suggesting a potential upside of 175.65%. Given Pixie Dust Technologies’ higher possible upside, research analysts plainly believe Pixie Dust Technologies is more favorable than Star Equity.

Profitability

This table compares Pixie Dust Technologies and Star Equity’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pixie Dust Technologies	N/A	N/A	N/A
Star Equity	-14.65%	-5.74%	-3.34%

Risk and Volatility

Pixie Dust Technologies has a beta of -1.09, meaning that its stock price is 209% less volatile than the S&P 500. Comparatively, Star Equity has a beta of 0.08, meaning that its stock price is 92% less volatile than the S&P 500.

Summary

Pixie Dust Technologies beats Star Equity on 6 of the 11 factors compared between the two stocks.

About Pixie Dust Technologies

Pixie Dust Technologies, Inc., a technology company, focuses on personal care and diversity, and workspace and digital transformation businesses primarily in Japan. It offers SonoRepro, an ultrasonic non-contact vibrotactile stimulation scalp care device; VUEVO, a series of directional voice arrival detection devices for individuals with deaf and hard-of-hearing; and kikippa, an acoustic stimulation device functioning as a desk-top speaker. The company also provides iwasemi, a sound-absorbing or sound-proofing material for architectural and interior design firms; hackke, a location positioning technology; KOTOWARI, a technology offering spatial analysis data; and magickiri, a planning services and monitoring service, which monitors human behavior and analyzes the customer's environment on the customer's behalf. In addition, it operates Pixie Nest, a membership forum, which hosts meetings and distributes information to facilitate solving social issues. The company was incorporated in 2017 and is headquartered in Tokyo, Japan.

About Star Equity

Star Equity Holdings, Inc. engages in the construction business in the United States and internationally. It operates through two segments: Construction, and Investments. It manufactures modular housing units, structural wall panels, permanent wood foundation systems, and other engineered wood products; supplies general contractors with building materials; holds real estate assets; and manages investments. The company was formerly known as Digirad Corporation and changed its name to Star Equity Holdings, Inc. in December 2020. Star Equity Holdings, Inc. was founded in 1985 and is headquartered in Old Greenwich, Connecticut.