Tigo Energy (NASDAQ:TYGO) versus TranSwitch (OTCMKTS:TXCCQ) Financial Contrast

TranSwitch (OTCMKTS:TXCCQ) and Tigo Energy (NASDAQ:TYGO) are both computer and technology companies, but which is the better stock? We will compare the two businesses based on the strength of their earnings, institutional ownership, dividends, valuation, analyst recommendations, profitability and risk.

Institutional and Insider Ownership

15.7% of Tigo Energy shares are held by institutional investors. 6.3% of TranSwitch shares are held by company insiders. Comparatively, 26.3% of Tigo Energy shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for TranSwitch and Tigo Energy, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TranSwitch	0	0	0	0	0.00
Tigo Energy	0	1	2	0	2.67

Tigo Energy has a consensus target price of $3.00, suggesting a potential upside of 206.12%. Given Tigo Energy’s stronger consensus rating and higher possible upside, analysts clearly believe Tigo Energy is more favorable than TranSwitch.

Valuation and Earnings

This table compares TranSwitch and Tigo Energy”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TranSwitch	N/A	N/A	N/A	N/A	N/A
Tigo Energy	$145.23 million	0.41	-$980,000.00	($0.85)	-1.15

TranSwitch has higher earnings, but lower revenue than Tigo Energy.

Profitability

This table compares TranSwitch and Tigo Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TranSwitch	N/A	N/A	N/A
Tigo Energy	-110.29%	-103.85%	-46.23%

Summary

Tigo Energy beats TranSwitch on 6 of the 9 factors compared between the two stocks.

About TranSwitch

TranSwitch Corporation, together with its subsidiaries, designs, develops, and supplies integrated circuit and intellectual property solutions that provide functionality for voice, data, and video communications equipment for the customer premises and network infrastructure markets. The company provides integrated multi-core network processor system-on-a-chip (SoC) solutions for fixed, 3G and 4G mobile, VoIP, and multimedia applications. It offers converged network infrastructure products, including infrastructure VoIP processors for wire-line and wireless carrier equipment; access VoIP processors; and EoS/EoPDH mappers and framers for carriers to transport data traffic over SONET, SDH, and PDH networks. The company also offers broadband customer premises equipment, such as connectivity solutions comprising HDMI, DisplayPort, MHL, HDP, Ethernet IP cores, and MHDP transceivers for consumer electronics, home network equipment, and industrial and automotive applications; and multi-service SoCs for customer premises equipment that support telephone voice, fax, and routing functionality over broadband access networks. TranSwitch Corporation sells its products to public network system original equipment manufacturers (OEMs), WAN and LAN equipment OEMs, Internet-oriented OEMs, and communications test and performance measurement equipment OEMs; and government, universities, and private laboratories. The company offers its products directly in North America, Taiwan, China, Japan, Korea, and Europe, as well as through a network of distributors in North America, Asia, and Europe. TranSwitch Corporation was founded in 1988 and is headquartered in Shelton, Connecticut. On November 21, 2013, TranSwitch Corporation filed a voluntary petition for liquidation under Chapter 7 in the U.S. Bankruptcy Court for the District of Connecticut.

About Tigo Energy

Tigo Energy, Inc. provides solar and energy storage solutions for the solar industry. It offers module level power electronics (MLPEs) to maximize the energy output of individual solar modules. The company also provides GO Energy Storage Systems that provide solar energy storage management capabilities; and Energy Intelligence (EI) platform, which provides monitoring and energy demand forecasting capabilities. In addition, it offers GO Battery that provides energy resilience in the event of a grid outage and optimizes energy consumption based on rate plans for home energy needs; GO Inverter, which offers energy conversion for home consumption or export to the grid; GO Link/Automatic Transfer Switch (ATS), a component for battery backup of on-grid systems; and GO Electric Vehicle (EV) Charger to reduce transportation costs. The company serves residential, commercial, and utility sectors through distributors and solar installers in North and South America, Europe, the Middle East, Africa, and the Asia-Pacific regions. Tigo Energy, Inc. was founded in 2007 and is headquartered in Campbell, California.