WiSA Technologies, Inc. WISA) recently announced that it has entered into a definitive agreement to acquire CompuSystems, Inc. for an undisclosed amount. This acquisition is part of WiSA's broader strategy, which also includes the closing of its acquisition of Datavault intellectual property and information technology assets. Following this, the company plans to rebrand itself by the end of 2024.

How Does This Acquisition Buoy WISA Growth Plans?

CompuSystem is a premier provider of registration, data analytics and lead management services for live events. It offers cutting-edge solutions and unparalleled customer support to clients in the trade, association, corporate and government event markets. With a strong focus on innovation, customer service and sustainability, the company is dedicated to delivering exceptional event experiences for clients and their attendees. 

In early December 2024, CompuSystem entered into a collaboration with Datavault to integrate the latter’s ADIO platform into its M3 Expo Wallet App, with plans for a rollout beginning in January 2025. WiSA’s acquisition of CompuSystem builds on this collaboration, with both companies aiming to combine their strengths in advanced technology and event management. 

The integration of ADIO with CompuSystem’s platform is expected to unlock new user experiences on mobile devices and provide opportunities for WiSA to monetize vast amounts of event data through Web 3.0 assets. This includes leveraging ADIO’s crypto anchor and mobile market technology that offers high-definition audio and holographic virtual tours, setting the stage for future innovations in event technology.

Does WISA Stock Stand to Gain From the Acquisition?

CompuSystems's addition will complement its ongoing strategic shift, combining its expertise in event management with the advanced capabilities of Datavault's ADIO platform. The combination of CompuSystem’s event management expertise and WiSA's cutting-edge technologies is expected to unlock significant new opportunities, including the monetization of event data through WiSA’s secure Information Data Exchange platform. The acquisition, subject to customary closing conditions, is expected to close on Jan. 31, 2025.

WiSA projects that the acquisition will drive new revenue opportunities and margin growth, significantly contributing to revenues and EBITDA in the upcoming quarters. An improved financial performance will likely propel the stock upward.

WISA’s Stock Price Performance

Shares of WiSA have plunged 86.8% over the past year against the industry’s growth of 26.1%.

Image Source: Zacks Investment Research

WiSA’s Zacks Rank and Other Stocks to Consider

WiSA currently carries a Zacks Rank #2 (Buy).
 
Some other top-ranked stocks in the broader industry have been discussed below.

Ubiquiti Inc. (UI Quick QuoteUI - Free Report) sports a Zacks Rank #1 (Strong Buy) at present. Its highly flexible global business model remains apt to adapt to the changing market dynamics to overcome challenges while maximizing growth. In the last reported quarter, Ubiquiti delivered an earnings surprise of 20.9%. You can see the complete list of today’s Zacks #1 Rank stocks here.

The company’s effective management of its strong global network of more than 100 distributors and master resellers improved its visibility for future demand and inventory management techniques. 
 
InterDigital, Inc. (IDCC Quick QuoteIDCC - Free Report) sports a Zacks Rank of 1 at present. It has a long-term growth expectation of 17.44%.

IDCC pioneered advanced mobile technologies that enable wireless communications and capabilities. The company designs and develops various advanced technology solutions for digital cellular, wireless 3G, 4G and IEEE 802-related products and networks.

Workday Inc. (WDAY Quick QuoteWDAY - Free Report) carries a Zacks Rank #2 at present. In the last reported quarter, it delivered an earnings surprise of 7.36%. 

WDAY is a top supplier of enterprise-level software solutions for human resources and finance management.