Ichor Holdings, Ltd. (ICHR) vs Veeco Instruments Inc. (VECO)

Ichor Holdings, Ltd. and Veeco Instruments Inc. are both Semiconductor Equipment & Materials companies. Veeco Instruments Inc. is the larger, with a market value of $2.8B against $1.8B — 1.6× the size. Ichor Holdings, Ltd. has negative trailing earnings, so its P/E is not meaningful; Veeco Instruments Inc. trades at 113×. Ichor Holdings, Ltd. grew revenue faster over the last twelve months: 9.10% against −2.52%. Veeco Instruments Inc. has the higher net margin (3.35% vs −3.97%) and the higher return on invested capital (1.64% vs −2.05%). Across the 19 metrics below, Veeco Instruments Inc. leads on 13 and Ichor Holdings, Ltd. on 6.

Valuation

Metric ICHR VECO Semiconductor Equipment & Materials median
P/E n/m 112.62 45.03
P/S 1.47 3.82 4.64
P/B 1.72 2.89 3.22
Price to free cash flow n/m 30.65 48.18
EV/EBITDA 155.65 63.71 33.11
EV/Sales 1.33 3.57 5.52
Earnings yield (2.79%) 0.89% 1.41%
Free cash flow yield (2.27%) 3.26% 1.67%

Profitability

Metric ICHR VECO Semiconductor Equipment & Materials median
Gross margin 10.39% 37.92% 43.95%
Operating margin (2.37%) 2.69% 10.32%
Net margin (3.97%) 3.35% 7.45%
Free cash flow margin (2.53%) 12.47% 6.77%
Return on equity (5.17%) 2.60% 4.78%
Return on assets (3.71%) 1.70% 3.62%
Return on invested capital (2.05%) 1.64% 6.10%

Growth

Metric ICHR VECO Semiconductor Equipment & Materials median
Revenue growth (TTM) 9.10% (2.52%) 14.60%
EPS growth (last fiscal year) (140.63%) (52.03%) (4.56%)
Revenue growth, 5-year CAGR 0.72% 7.90% 10.11%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric ICHR VECO Semiconductor Equipment & Materials median
Debt to equity 0.14 0.25 0.09
Current ratio 3.70 3.93 3.66
Net debt to EBITDA (4.73) (2.95) (0.49)

Dividend

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

Size

Metric ICHR VECO Semiconductor Equipment & Materials median
Market cap 1.75b 2.76b 3.80b

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