Digimarc Corporation (DMRC) vs Immersion Corporation (IMMR)

Digimarc Corporation and Immersion Corporation are both Software Application companies. Immersion Corporation is the larger, with a market value of $221.5M against $199.3M — 1.1× the size. Digimarc Corporation has negative trailing earnings, so its P/E is not meaningful; Immersion Corporation trades at 19.3×. Immersion Corporation grew revenue faster over the last twelve months: 4.12% against −11.2%. Immersion Corporation has the higher net margin (0.60% vs −99.8%) and the higher return on invested capital (4.26% vs −97.2%). Across the 19 metrics below, Immersion Corporation leads on 15 and Digimarc Corporation on 4.

Valuation

Metric DMRC IMMR Software Application median
P/E n/m 19.34 26.44
P/S 5.45 0.13 2.90
P/B 5.84 0.40 2.60
Price to free cash flow n/m 3.67 17.04
EV/EBITDA n/m 1.85 15.48
EV/Sales 5.18 0.08 3.00
Earnings yield (18.55%) 5.17% 0.20%
Free cash flow yield (3.39%) 27.24% 1.96%

Profitability

Metric DMRC IMMR Software Application median
Gross margin 60.13% 21.54% 67.34%
Operating margin (102.08%) 1.86% 0.00%
Net margin (99.80%) 0.60% 0.00%
Free cash flow margin (16.79%) 3.53% 5.77%
Return on equity (82.93%) 1.87% 0.00%
Return on assets (58.99%) 0.85% 0.00%
Return on invested capital (97.17%) 4.26% 0.00%

Growth

Metric DMRC IMMR Software Application median
Revenue growth (TTM) (11.21%) 4.12% 12.12%
EPS growth (last fiscal year) 18.58% (92.63%) 32.44%
Revenue growth, 5-year CAGR 7.17% 124.34% 14.34%
Net income growth, 5-year CAGR 0.00% (3.52%) 0.00%

Health

Metric DMRC IMMR Software Application median
Debt to equity 0.00 0.22 0.04
Current ratio 1.43 2.14 1.53
Net debt to EBITDA 0.52 (1.60) 0.09

Dividend

Metric DMRC IMMR Software Application median
Dividend yield — 4.43% 1.07%
Payout ratio — 0.88 0.28

Size

Metric DMRC IMMR Software Application median
Market cap 199.34m 221.49m 383.88m

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