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 $3.3B against $2.1B — 1.5× the size. Ichor Holdings, Ltd. has negative trailing earnings, so its P/E is not meaningful; IPG Photonics Corporation trades at 118×. 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 118.36 54.39
P/S 2.02 3.10 6.08
P/B 2.37 1.56 4.89
Price to free cash flow n/m 149.70 60.92
EV/EBITDA 220.78 40.35 39.95
EV/Sales 1.89 2.30 6.36
Earnings yield (2.02%) 0.84% 1.14%
Free cash flow yield (1.65%) 0.67% 1.28%

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% —
Revenue growth, 5-year CAGR 0.72% (3.52%) 8.85%
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 — — 0.85%
Payout ratio 0.00 0.00 0.00

Size

Metric ICHR IPGP Semiconductor Equipment & Materials median
Market cap 2.14b 3.29b 4.63b

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