Critical Comparison: Allin (OTCMKTS:ALLN) and Simulations Plus (NASDAQ:SLP)

Allin (OTCMKTS:ALLN) and Simulations Plus (NASDAQ:SLP) 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 earnings, risk, valuation, profitability, analyst recommendations, institutional ownership and dividends.

Profitability

This table compares Allin and Simulations Plus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Allin	N/A	N/A	N/A
Simulations Plus	16.22%	7.95%	7.35%

Valuation & Earnings

This table compares Allin and Simulations Plus’ top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Allin	N/A	N/A	N/A	N/A	N/A
Simulations Plus	$59.58 million	15.54	$9.96 million	$0.53	87.40

Simulations Plus has higher revenue and earnings than Allin.

Volatility and Risk

Allin has a beta of 0.36, suggesting that its stock price is 64% less volatile than the S&P 500. Comparatively, Simulations Plus has a beta of 0.72, suggesting that its stock price is 28% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Allin and Simulations Plus, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Allin	0	0	0	0	N/A
Simulations Plus	0	0	2	0	3.00

Simulations Plus has a consensus target price of $53.00, suggesting a potential upside of 14.42%. Given Simulations Plus’ higher possible upside, analysts plainly believe Simulations Plus is more favorable than Allin.

Institutional & Insider Ownership

78.1% of Simulations Plus shares are owned by institutional investors. 14.7% of Allin shares are owned by company insiders. Comparatively, 20.9% of Simulations Plus shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Simulations Plus beats Allin on 9 of the 9 factors compared between the two stocks.

About Allin

Allin Corporation engages in designing, developing, and deploying interactive software platforms for the hospitality industry. It offers DIGIMANAGER, a browser-based content management system portal by which authorized staff can insert and edit interactive content, select options, schedule modules and content, and run system health checks, as well as run reports on system usage, guest responses, and transactions. The company also provides DigiHD, a high-definition ITV solution for distribution on IP network infrastructures; DIGIMOBILE, a solution to offer interactive smart phone/pad applications that can be integrated with existing ITV offerings; DIGICASINO, which deliver high-definition slots and video poker on room televisions; DIGIHD-(COAX), a solution that enables to deliver high-definition ITV services over RF broadcast network; and DIGIPUBLIC, a signage technology that enables cruise lines and land-based destination resorts to control various interactive public displays from DIGIMANAGER. It serves hotel and cruise industries. Allin Corporation was formerly known as Allin Communications Corp and changed its name to Allin Corporation in August 1996. The company was founded in 1994 and is based in Pittsburgh, Pennsylvania.

About Simulations Plus

Simulations Plus, Inc. develops drug discovery and development software for modeling and simulation, and prediction of molecular properties utilizing artificial intelligence and machine learning based technology worldwide. The company operates through two segments, Software and Services. It offers GastroPlus, which simulates the absorption and drug interaction of compounds administered to humans and animals; and DDDPlus and MembranePlus simulation products. The company also provides products based on mechanistic and mathematical models, such as DILIsym, NAFLDsym, ILDsym, RENAsym, IPFsym, and MITOsym products. In addition, it offers Absorption, Distribution, Metabolism, Excretion, and Toxicity Predictor for chemistry-based computer program that takes molecular structures as inputs and predicts their properties; and MedChem Designer, as well as MonolixSuite products for modeling and simulation that allows for population analyses, rapid clinical trial data analyses, and regulatory submissions. Further, the company provides clinical-pharmacology-based consulting services, which includes population pharmacokinetic and pharmacodynamic modeling, exposure-response analyses, clinical trial simulations, data programming, and technical writing services in support of regulatory submissions; and early drug discovery services. Additionally, it offers creative and insightful consulting services to support its quantitative systems pharmacology/quantitative systems toxicology modelling. The company serves pharmaceutical, biotechnology, agrochemical, cosmetics, and food industry companies, as well as academic and regulatory agencies. Simulations Plus, Inc. was incorporated in 1996 and is headquartered in Lancaster, California.