FormFactor, Inc. (FORM) vs Kulicke and Soffa Industries, Inc. (KLIC)

FormFactor, Inc. and Kulicke and Soffa Industries, Inc. are both Semiconductor Equipment & Materials companies. FormFactor, Inc. is the larger, with a market value of $7.6B against $4.2B — 1.8× the size. Kulicke and Soffa Industries, Inc. trades at the lower P/E: 33.7× against 58.9×. Kulicke and Soffa Industries, Inc. grew revenue faster over the last twelve months: 44.4% against 18.0%. FormFactor, Inc. has the higher net margin (12.8% vs 12.2%) and the lower return on invested capital (9.33% vs 19.8%). Across the 22 metrics below, Kulicke and Soffa Industries, Inc. leads on 15 and FormFactor, Inc. on 7.

Valuation

Metric FORM KLIC Semiconductor Equipment & Materials median
P/E 58.91 33.67 41.61
P/S 7.54 4.10 4.69
P/B 6.12 4.27 3.47
Price to free cash flow 49.81 94.48 48.35
EV/EBITDA 42.75 18.71 30.54
EV/Sales 7.17 3.57 5.65
Earnings yield 1.70% 2.97% 1.34%
Free cash flow yield 2.01% 1.06% 1.86%

Profitability

Metric FORM KLIC Semiconductor Equipment & Materials median
Gross margin 43.13% 48.18% 43.95%
Operating margin 12.85% 13.21% 10.32%
Net margin 12.80% 12.18% 7.45%
Free cash flow margin 15.14% 4.34% 6.77%
Return on equity 10.99% 13.23% 4.78%
Return on assets 9.15% 9.47% 3.62%
Return on invested capital 9.33% 19.84% 6.10%

Growth

Metric FORM KLIC Semiconductor Equipment & Materials median
Revenue growth (TTM) 18.01% 44.44% 14.60%
EPS growth (last fiscal year) (22.47%) 100.32% (4.56%)
Revenue growth, 5-year CAGR 2.51% 0.97% 10.11%
Net income growth, 5-year CAGR (7.09%) (66.74%) 0.00%

Health

Metric FORM KLIC Semiconductor Equipment & Materials median
Debt to equity 0.01 0.00 0.09
Current ratio 4.08 3.44 3.66
Net debt to EBITDA (2.85) (9.36) (0.49)

Dividend

Metric FORM KLIC Semiconductor Equipment & Materials median
Dividend yield — 1.10% 0.46%
Payout ratio — 0.38 0.19

Size

Metric FORM KLIC Semiconductor Equipment & Materials median
Market cap 7.61b 4.17b 3.46b

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