Nova Ltd. (NVMI) vs Teradyne, Inc. (TER)

Nova Ltd. and Teradyne, Inc. are both Semiconductor Equipment & Materials companies. Teradyne, Inc. is the larger, with a market value of $53.7B against $10.5B — 5.1× the size. Nova Ltd. trades at the lower P/E: 37.0× against 44.3×. Teradyne, Inc. grew revenue faster over the last twelve months: 57.9% against 16.2%. Nova Ltd. has the higher net margin (28.8% vs 25.8%) and the lower return on invested capital (14.4% vs 27.0%). Across the 22 metrics below, Nova Ltd. leads on 12 and Teradyne, Inc. on 10.

Valuation

Metric NVMI TER Semiconductor Equipment & Materials median
P/E 37.00 44.32 45.03
P/S 10.90 11.39 4.64
P/B 7.75 14.63 3.22
Price to free cash flow 53.83 63.54 48.18
EV/EBITDA 36.35 34.23 33.11
EV/Sales 11.37 11.36 5.52
Earnings yield 2.70% 2.26% 1.41%
Free cash flow yield 1.86% 1.57% 1.67%

Profitability

Metric NVMI TER Semiconductor Equipment & Materials median
Gross margin 57.12% 59.24% 43.95%
Operating margin 28.97% 30.23% 10.32%
Net margin 28.84% 25.77% 7.45%
Free cash flow margin 20.24% 17.92% 6.77%
Return on equity 0.00% 36.45% 4.78%
Return on assets 13.44% 26.48% 3.62%
Return on invested capital 14.41% 27.04% 6.10%

Growth

Metric NVMI TER Semiconductor Equipment & Materials median
Revenue growth (TTM) 16.16% 57.87% 14.60%
EPS growth (last fiscal year) 38.43% 4.52% (4.56%)
Revenue growth, 5-year CAGR 26.73% 0.44% 10.11%
Net income growth, 5-year CAGR 40.17% (6.71%) 0.00%

Health

Metric NVMI TER Semiconductor Equipment & Materials median
Debt to equity 0.50 0.00 0.09
Current ratio 1.55 2.12 3.66
Net debt to EBITDA (1.16) (0.16) (0.49)

Dividend

Metric NVMI TER Semiconductor Equipment & Materials median
Dividend yield — 0.16% 0.42%
Payout ratio — 0.07 0.19

Size

Metric NVMI TER Semiconductor Equipment & Materials median
Market cap 10.48b 53.66b 3.80b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack