NVE Corporation (NVEC) vs POET Technologies Inc. (POET)

NVE Corporation and POET Technologies Inc. are both Semiconductors companies. POET Technologies Inc. is the larger, with a market value of $1.0B against $501.6M — 2.1× the size. POET Technologies Inc. has negative trailing earnings, so its P/E is not meaningful; NVE Corporation trades at 26.6×. POET Technologies Inc. grew revenue faster over the last twelve months: 266.0% against 24.1%. NVE Corporation has the higher net margin (57.6% vs −4,420.8%) and the higher return on invested capital (31.9% vs −62.9%). Across the 19 metrics below, NVE Corporation leads on 14 and POET Technologies Inc. on 5.

Valuation

Metric NVEC POET Semiconductors median
P/E 26.65 n/m 45.58
P/S 15.34 514.71 7.63
P/B 8.02 1.04 4.90
Price to free cash flow 30.76 n/m 48.34
EV/EBITDA 23.17 n/m 28.36
EV/Sales 14.64 53.21 7.15
Earnings yield 3.75% (12.90%) 0.75%
Free cash flow yield 3.25% (4.61%) 0.67%

Profitability

Metric NVEC POET Semiconductors median
Gross margin 79.26% 100.00% 52.28%
Operating margin 62.07% (3,345.53%) 4.76%
Net margin 57.64% (4,420.78%) 4.26%
Free cash flow margin 49.86% (2,374.38%) 8.47%
Return on equity 29.81% (16.89%) 2.59%
Return on assets 28.67% (15.59%) 1.78%
Return on invested capital 31.91% (62.87%) 2.27%

Growth

Metric NVEC POET Semiconductors median
Revenue growth (TTM) 24.07% 266.00% 16.92%
EPS growth (last fiscal year) 0.96% 27.66% 27.17%
Revenue growth, 5-year CAGR 4.27% (17.39%) 5.83%
Net income growth, 5-year CAGR 5.38% 0.00% 0.00%

Health

Metric NVEC POET Semiconductors median
Debt to equity 0.00 0.01 0.05
Current ratio 23.72 24.46 3.28
Net debt to EBITDA (1.24) 8.99 0.58

Dividend

Metric NVEC POET Semiconductors median
Dividend yield 4.04% — 1.19%
Payout ratio 1.08 — 0.40

Size

Metric NVEC POET Semiconductors median
Market cap 501.62m 1.04b 5.43b

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