Ambiq Micro, Inc. (AMBQ) vs NVE Corporation (NVEC)

Ambiq Micro, Inc. and NVE Corporation are both Semiconductors companies. Ambiq Micro, Inc. is the larger, with a market value of $1.3B against $501.6M — 2.5× the size. Ambiq Micro, Inc. has negative trailing earnings, so its P/E is not meaningful; NVE Corporation trades at 26.6×. Ambiq Micro, Inc. grew revenue faster over the last twelve months: 32.0% against 24.1%. NVE Corporation has the higher net margin (57.6% vs −37.8%) and the higher return on invested capital (31.9% vs −70.0%). Across the 16 metrics below, NVE Corporation leads on 11 and Ambiq Micro, Inc. on 5.

Valuation

Metric AMBQ NVEC Semiconductors median
P/E n/m 26.65 45.58
P/S 11.03 15.34 7.63
P/B 2.67 8.02 4.90
Price to free cash flow n/m 30.76 48.34
EV/EBITDA n/m 23.17 28.36
EV/Sales 7.29 14.64 7.15
Earnings yield (4.27%) 3.75% 0.75%
Free cash flow yield (3.71%) 3.25% 0.67%

Profitability

Metric AMBQ NVEC Semiconductors median
Gross margin 43.62% 79.26% 52.28%
Operating margin (43.34%) 62.07% 4.76%
Net margin (37.77%) 57.64% 4.26%
Free cash flow margin (40.89%) 49.86% 8.47%
Return on equity (75.94%) 29.81% 2.59%
Return on assets (14.09%) 28.67% 1.78%
Return on invested capital (69.96%) 31.91% 2.27%

Growth

Metric AMBQ NVEC Semiconductors median
Revenue growth (TTM) 32.04% 24.07% 16.92%
EPS growth (last fiscal year) 95.98% 0.96% 27.17%
Revenue growth, 5-year CAGR — 4.27% 5.83%
Net income growth, 5-year CAGR — 5.38% 0.00%

Health

Metric AMBQ NVEC Semiconductors median
Debt to equity 0.00 0.00 0.05
Current ratio 15.95 23.72 3.28
Net debt to EBITDA 4.34 (1.24) 0.58

Dividend

Metric AMBQ NVEC Semiconductors median
Dividend yield — 4.04% 1.19%
Payout ratio — 1.08 0.40

Size

Metric AMBQ NVEC Semiconductors median
Market cap 1.26b 501.62m 5.43b

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