Allegro MicroSystems, Inc. (ALGM) vs Silicon Laboratories, Inc. (SLAB)

Allegro MicroSystems, Inc. and Silicon Laboratories, Inc. are both Semiconductors companies. Silicon Laboratories, Inc. is the larger, with a market value of $7.4B against $6.6B — 1.1× the size. Silicon Laboratories, Inc. has negative trailing earnings, so its P/E is not meaningful; Allegro MicroSystems, Inc. trades at 460×. Allegro MicroSystems, Inc. grew revenue faster over the last twelve months: 24.2% against 21.7%. Allegro MicroSystems, Inc. has the higher net margin (1.50% vs −4.57%) and the higher return on invested capital (2.68% vs −3.88%). Across the 18 metrics below, Allegro MicroSystems, Inc. leads on 13 and Silicon Laboratories, Inc. on 5.

Valuation

Metric ALGM SLAB Semiconductors median
P/E 459.50 n/m 49.41
P/S 7.22 8.58 8.58
P/B 7.07 6.71 5.49
Price to free cash flow 77.75 n/m 47.02
EV/EBITDA 59.65 n/m 30.78
EV/Sales 7.35 8.79 8.79
Earnings yield 0.22% (0.53%) 0.62%
Free cash flow yield 1.29% (0.07%) 0.59%

Profitability

Metric ALGM SLAB Semiconductors median
Gross margin 47.18% 60.61% 52.25%
Operating margin 4.94% (5.06%) 4.85%
Net margin 1.50% (4.57%) 4.77%
Free cash flow margin 9.29% (0.63%) 8.65%
Return on equity 1.50% (3.63%) 3.11%
Return on assets 1.01% (3.16%) 1.91%
Return on invested capital 2.68% (3.88%) 2.46%

Growth

Metric ALGM SLAB Semiconductors median
Revenue growth (TTM) 24.22% 21.71% 16.66%
EPS growth (last fiscal year) 79.49% 66.61% —
Revenue growth, 5-year CAGR 8.53% 8.96% 5.60%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric ALGM SLAB Semiconductors median
Debt to equity 0.30 0.00 0.05
Current ratio 3.70 5.41 3.35
Net debt to EBITDA 1.32 13.67 0.58

Dividend

Metric ALGM SLAB Semiconductors median
Dividend yield — — 1.93%
Payout ratio 0.00 0.00 0.00

Size

Metric ALGM SLAB Semiconductors median
Market cap 6.61b 7.39b 5.67b

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