Ichor Holdings, Ltd. (ICHR) vs IPG Photonics Corporation (IPGP)

Ichor Holdings, Ltd. and IPG Photonics Corporation are both Semiconductor Equipment & Materials companies. IPG Photonics Corporation is the larger, with a market value of $3.1B against $1.8B — 1.8× the size. Ichor Holdings, Ltd. has negative trailing earnings, so its P/E is not meaningful; IPG Photonics Corporation trades at 108×. IPG Photonics Corporation grew revenue faster over the last twelve months: 13.0% against 9.10%. IPG Photonics Corporation has the higher net margin (2.58% vs −3.97%) and the higher return on invested capital (0.40% vs −2.05%). Across the 20 metrics below, IPG Photonics Corporation leads on 16 and Ichor Holdings, Ltd. on 4.

Valuation

Metric ICHR IPGP Semiconductor Equipment & Materials median
P/E n/m 107.59 45.03
P/S 1.47 2.82 4.64
P/B 1.72 1.42 3.22
Price to free cash flow n/m 136.07 48.18
EV/EBITDA 155.65 35.64 33.11
EV/Sales 1.33 2.03 5.52
Earnings yield (2.79%) 0.93% 1.41%
Free cash flow yield (2.27%) 0.73% 1.67%

Profitability

Metric ICHR IPGP Semiconductor Equipment & Materials median
Gross margin 10.39% 38.35% 43.95%
Operating margin (2.37%) 0.75% 10.32%
Net margin (3.97%) 2.58% 7.45%
Free cash flow margin (2.53%) 2.07% 6.77%
Return on equity (5.17%) 1.30% 4.78%
Return on assets (3.71%) 1.15% 3.62%
Return on invested capital (2.05%) 0.40% 6.10%

Growth

Metric ICHR IPGP Semiconductor Equipment & Materials median
Revenue growth (TTM) 9.10% 13.04% 14.60%
EPS growth (last fiscal year) (140.63%) 117.85% (4.56%)
Revenue growth, 5-year CAGR 0.72% (3.52%) 10.11%
Net income growth, 5-year CAGR 0.00% (27.90%) 0.00%

Health

Metric ICHR IPGP Semiconductor Equipment & Materials median
Debt to equity 0.14 0.00 0.09
Current ratio 3.70 6.18 3.66
Net debt to EBITDA (4.73) (12.73) (0.49)

Dividend

Metric ICHR IPGP Semiconductor Equipment & Materials median
Dividend yield — — 0.42%
Payout ratio — — 0.19

Size

Metric ICHR IPGP Semiconductor Equipment & Materials median
Market cap 1.75b 3.14b 3.80b

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