Critical Survey: The Coretec Group (OTCMKTS:CRTG) & Key Tronic (NASDAQ:KTCC)

The Coretec Group (OTCMKTS:CRTG) and Key Tronic (NASDAQ:KTCC) are both small-cap computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, risk, institutional ownership, valuation, analyst recommendations, dividends and profitability.

Risk & Volatility

The Coretec Group has a beta of 1.45, suggesting that its stock price is 45% more volatile than the S&P 500. Comparatively, Key Tronic has a beta of 1.1, suggesting that its stock price is 10% more volatile than the S&P 500.

Institutional & Insider Ownership

40.7% of Key Tronic shares are owned by institutional investors. 63.1% of The Coretec Group shares are owned by insiders. Comparatively, 7.9% of Key Tronic shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Earnings & Valuation

This table compares The Coretec Group and Key Tronic”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
The Coretec Group	N/A	N/A	-$2.31 million	N/A	N/A
Key Tronic	$467.87 million	0.06	-$8.32 million	($1.09)	-2.43

The Coretec Group has higher earnings, but lower revenue than Key Tronic.

Analyst Recommendations

This is a summary of current ratings for The Coretec Group and Key Tronic, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
The Coretec Group	0	0	0	0	0.00
Key Tronic	1	0	0	0	1.00

Profitability

This table compares The Coretec Group and Key Tronic’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
The Coretec Group	N/A	N/A	N/A
Key Tronic	-2.69%	-8.43%	-3.06%

Summary

The Coretec Group beats Key Tronic on 6 of the 9 factors compared between the two stocks.

About The Coretec Group

The Coretec Group Inc. engages in the development of silicon anode active materials for lithium-ion batteries and cyclohexasilane for electric vehicles, cleantech, and tech applications. The company was founded in 2002 and is headquartered in Ann Arbor, Michigan.

About Key Tronic

Key Tronic Corporation provides contract manufacturing services to original equipment manufacturers in the United States and internationally. The company offers integrated electronic and mechanical engineering, assembly, sourcing and procurement, logistics, and new product testing services. Its services include product design; surface mount technologies and pin through hole capability for printed circuit board assembly; tool making; precision plastic molding; sheet metal fabrication and painting; liquid injection molding; complex assembly; prototype design; and full product assembly services. The company manufactures and sells keyboards and other input devices. It markets its products and services primarily through field sales people and distributors. Key Tronic Corporation was incorporated in 1969 and is headquartered in Spokane Valley, Washington.