Analyzing Her Imports (OTCMKTS:HHER) and Applied Digital (NASDAQ:APLD)

Applied Digital (NASDAQ:APLD) and Her Imports (OTCMKTS:HHER) are both small-cap finance companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, analyst recommendations, earnings, risk, profitability, valuation and institutional ownership.

Earnings and Valuation

This table compares Applied Digital and Her Imports’ gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Applied Digital	$55.39 million	6.71	-$44.65 million	($0.79)	-3.84
Her Imports	N/A	N/A	N/A	N/A	N/A

Her Imports has lower revenue, but higher earnings than Applied Digital.

Volatility and Risk

Applied Digital has a beta of 4.29, suggesting that its stock price is 329% more volatile than the S&P 500. Comparatively, Her Imports has a beta of 0.94, suggesting that its stock price is 6% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Applied Digital and Her Imports, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Applied Digital	0	0	5	0	3.00
Her Imports	0	0	0	0	N/A

Applied Digital presently has a consensus target price of $9.20, suggesting a potential upside of 203.63%. Given Applied Digital’s higher probable upside, equities analysts plainly believe Applied Digital is more favorable than Her Imports.

Insider & Institutional Ownership

65.7% of Applied Digital shares are owned by institutional investors. 23.7% of Applied Digital shares are owned by company insiders. Comparatively, 1.0% of Her Imports 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.

Profitability

This table compares Applied Digital and Her Imports’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Applied Digital	-61.84%	-75.46%	-20.50%
Her Imports	N/A	N/A	N/A

Summary

Applied Digital beats Her Imports on 6 of the 9 factors compared between the two stocks.

About Applied Digital

Applied Digital Corporation designs, develops, and operates datacenters in North America. Its datacenters provide digital infrastructure solutions to the high-performance computing industry. The company also provides artificial intelligence cloud services, high performance computing datacenter hosting, and crypto datacenter hosting services. The company was formerly known as Applied Blockchain, Inc. and changed its name to Applied Digital Corporation in November 2022. Applied Digital Corporation is based in Dallas, Texas.

About Her Imports

Her Imports operates as a retailer of human hair extensions and related haircare and beauty products in the United States. It sells human hair products, including clip-ins and wigs under the Her Imports brand; haircare products, such as various shampoos and conditioners, and adhesives under the OSIworks brand; and beauty products and related accessories comprising silk bonnets, as well as styling tools under the Her Imports brand and makeup products under the Skin & Yang brand. The company also sells its products to consultation studios, as well as through its Website, herimports.com. As of December 31, 2018, it operated 16 retail locations. The company was formerly known as EZJR, Inc. and changed its name to Her Imports in January 2017. Her Imports was founded in 2011 and is headquartered in Las Vegas, Nevada.