ARM Holdings PLC Sponsored ADR (ARM) vs ASE Technology Holding Co., Ltd. (ASX)

ARM Holdings PLC Sponsored ADR and ASE Technology Holding Co., Ltd. are both Semiconductors companies. ARM Holdings PLC Sponsored ADR is the larger, with a market value of $261.4B against $92.1B — 2.8× the size. ASE Technology Holding Co., Ltd. trades at the lower P/E: 47.0× against 252×. ARM Holdings PLC Sponsored ADR grew revenue faster over the last twelve months: 25.1% against 19.5%. ARM Holdings PLC Sponsored ADR has the higher net margin (20.3% vs 8.44%) and the higher return on invested capital (11.6% vs 8.05%). Across the 21 metrics below, ARM Holdings PLC Sponsored ADR leads on 14 and ASE Technology Holding Co., Ltd. on 7.

Valuation

Metric ARM ASX Semiconductors median
P/E 252.36 47.02 47.02
P/S 50.61 4.15 7.87
P/B 30.24 8.02 4.92
Price to free cash flow 177.27 n/m 49.11
EV/EBITDA 225.29 21.60 29.43
EV/Sales 49.86 4.33 7.59
Earnings yield 0.40% 2.13% 0.70%
Free cash flow yield 0.56% (1.42%) 0.63%

Profitability

Metric ARM ASX Semiconductors median
Gross margin 97.54% 19.47% 52.28%
Operating margin 17.01% 9.85% 4.76%
Net margin 20.25% 8.44% 4.26%
Free cash flow margin 28.55% (5.21%) 8.47%
Return on equity 13.35% 0.00% 2.59%
Return on assets 10.14% 6.52% 1.78%
Return on invested capital 11.56% 8.05% 2.27%

Growth

Metric ARM ASX Semiconductors median
Revenue growth (TTM) 25.12% 19.52% 16.92%
EPS growth (last fiscal year) 13.33% 26.67% 27.17%
Revenue growth, 5-year CAGR 12.73% 3.91% 5.83%
Net income growth, 5-year CAGR 10.49% 5.84% 0.00%

Health

Metric ARM ASX Semiconductors median
Debt to equity 0.00 0.56 0.05
Current ratio 5.25 1.07 3.28
Net debt to EBITDA (3.13) 1.01 0.58

Dividend

Metric ARM ASX Semiconductors median
Dividend yield — 1.00% 1.16%
Payout ratio — 0.49 0.40

Size

Metric ARM ASX Semiconductors median
Market cap 261.44b 92.11b 5.41b

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