Ambarella, Inc. (AMBA) vs Kulicke and Soffa Industries, Inc. (KLIC)

Ambarella, Inc. and Kulicke and Soffa Industries, Inc. are both Semiconductor Equipment & Materials companies. Kulicke and Soffa Industries, Inc. is the larger, with a market value of $4.4B against $2.8B — 1.6× the size. Ambarella, Inc. has negative trailing earnings, so its P/E is not meaningful; Kulicke and Soffa Industries, Inc. trades at 35.6×. Kulicke and Soffa Industries, Inc. grew revenue faster over the last twelve months: 44.4% against 20.0%. Kulicke and Soffa Industries, Inc. has the higher net margin (12.2% vs −13.5%) and the higher return on invested capital (19.8% vs −11.2%). Across the 18 metrics below, Kulicke and Soffa Industries, Inc. leads on 14 and Ambarella, Inc. on 4.

Valuation

Metric AMBA KLIC Semiconductor Equipment & Materials median
P/E n/m 35.58 45.03
P/S 6.48 4.33 4.64
P/B 4.36 4.51 3.22
Price to free cash flow n/m 99.82 48.18
EV/EBITDA n/m 19.92 33.11
EV/Sales 5.82 3.80 5.52
Earnings yield (2.10%) 2.81% 1.41%
Free cash flow yield (0.21%) 1.00% 1.67%

Profitability

Metric AMBA KLIC Semiconductor Equipment & Materials median
Gross margin 58.52% 48.18% 43.95%
Operating margin (14.90%) 13.21% 10.32%
Net margin (13.48%) 12.18% 7.45%
Free cash flow margin 2.33% 4.34% 6.77%
Return on equity (9.41%) 13.23% 4.78%
Return on assets (7.58%) 9.47% 3.62%
Return on invested capital (11.19%) 19.84% 6.10%

Growth

Metric AMBA KLIC Semiconductor Equipment & Materials median
Revenue growth (TTM) 20.04% 44.44% 14.60%
EPS growth (last fiscal year) 37.32% 100.32% (4.56%)
Revenue growth, 5-year CAGR 11.87% 0.97% 10.11%
Net income growth, 5-year CAGR 0.00% (66.74%) 0.00%

Health

Metric AMBA KLIC Semiconductor Equipment & Materials median
Debt to equity 0.00 0.00 0.09
Current ratio 2.85 3.44 3.66
Net debt to EBITDA 5.48 (9.36) (0.49)

Dividend

Metric AMBA KLIC Semiconductor Equipment & Materials median
Dividend yield — 1.04% 0.42%
Payout ratio — 0.38 0.19

Size

Metric AMBA KLIC Semiconductor Equipment & Materials median
Market cap 2.80b 4.35b 3.80b

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