AXT Inc (AXTI) vs FormFactor, Inc. (FORM)

AXT Inc and FormFactor, Inc. are both Semiconductor Equipment & Materials companies. FormFactor, Inc. is the larger, with a market value of $10.3B against $5.1B — 2.0× the size. FormFactor, Inc. trades at the lower P/E: 87.8× against 2,631×. AXT Inc grew revenue faster over the last twelve months: 45.8% against 18.0%. FormFactor, Inc. has the higher net margin (12.8% vs 3.23%) and the higher return on invested capital (9.33% vs 0.44%). Across the 21 metrics below, FormFactor, Inc. leads on 17 and AXT Inc on 4.

Valuation

Metric AXTI FORM Semiconductor Equipment & Materials median
P/E 2,631.33 87.75 54.39
P/S 38.51 11.23 6.08
P/B 5.32 9.12 4.89
Price to free cash flow n/m 74.19 60.92
EV/EBITDA 330.45 64.77 39.95
EV/Sales 35.61 10.86 6.36
Earnings yield 0.04% 1.14% 1.14%
Free cash flow yield (0.40%) 1.35% 1.28%

Profitability

Metric AXTI FORM Semiconductor Equipment & Materials median
Gross margin 32.18% 43.13% 43.95%
Operating margin 3.09% 12.85% 10.32%
Net margin 3.23% 12.80% 7.45%
Free cash flow margin (15.59%) 15.14% 6.77%
Return on equity 0.73% 10.99% 4.78%
Return on assets 0.57% 9.15% 3.62%
Return on invested capital 0.44% 9.33% 6.10%

Growth

Metric AXTI FORM Semiconductor Equipment & Materials median
Revenue growth (TTM) 45.81% 18.01% 14.60%
EPS growth (last fiscal year) (81.48%) (22.47%) —
Revenue growth, 5-year CAGR (1.52%) 2.51% 8.85%
Net income growth, 5-year CAGR 0.00% (7.09%) 0.00%

Health

Metric AXTI FORM Semiconductor Equipment & Materials median
Debt to equity 0.09 0.01 0.09
Current ratio 4.77 4.08 3.66
Net debt to EBITDA 5.10 (2.85) (0.49)

Dividend

Metric AXTI FORM Semiconductor Equipment & Materials median
Dividend yield — — 0.85%
Payout ratio 0.00 0.00 0.00

Size

Metric AXTI FORM Semiconductor Equipment & Materials median
Market cap 5.14b 10.27b 4.63b

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