Photronics, Inc. (PLAB) vs Ultra Clean Holdings, Inc. (UCTT)

Photronics, Inc. and Ultra Clean Holdings, Inc. are both Semiconductor Equipment & Materials companies. Ultra Clean Holdings, Inc. is the larger, with a market value of $2.5B against $1.7B — 1.5× the size. Ultra Clean Holdings, Inc. has negative trailing earnings, so its P/E is not meaningful; Photronics, Inc. trades at 9.7×. Ultra Clean Holdings, Inc. grew revenue faster over the last twelve months: 2.52% against 1.25%. Photronics, Inc. has the higher net margin (19.0% vs −1.07%) and the higher return on invested capital (11.3% vs 3.68%). Across the 20 metrics below, Photronics, Inc. leads on 17 and Ultra Clean Holdings, Inc. on 3.

Valuation

Metric PLAB UCTT Semiconductor Equipment & Materials median
P/E 9.66 n/m 45.03
P/S 1.85 1.05 4.64
P/B 0.92 3.21 3.22
Price to free cash flow 14.56 n/m 48.18
EV/EBITDA 3.40 18.63 33.11
EV/Sales 1.08 1.21 5.52
Earnings yield 10.36% (1.02%) 1.41%
Free cash flow yield 6.87% (4.92%) 1.67%

Profitability

Metric PLAB UCTT Semiconductor Equipment & Materials median
Gross margin 33.65% 15.83% 43.95%
Operating margin 22.46% 2.84% 10.32%
Net margin 19.04% (1.07%) 7.45%
Free cash flow margin 12.74% (5.15%) 6.77%
Return on equity 10.06% (3.11%) 4.78%
Return on assets 8.82% (1.28%) 3.62%
Return on invested capital 11.32% 3.68% 6.10%

Growth

Metric PLAB UCTT Semiconductor Equipment & Materials median
Revenue growth (TTM) 1.25% 2.52% 14.60%
EPS growth (last fiscal year) 9.09% (869.23%) (4.56%)
Revenue growth, 5-year CAGR 6.85% 7.99% 10.11%
Net income growth, 5-year CAGR 32.17% 0.00% 0.00%

Health

Metric PLAB UCTT Semiconductor Equipment & Materials median
Debt to equity 0.00 0.84 0.09
Current ratio 4.94 2.73 3.66
Net debt to EBITDA (2.06) 1.35 (0.49)

Dividend

Metric PLAB UCTT Semiconductor Equipment & Materials median
Dividend yield — — 0.42%
Payout ratio — — 0.19

Size

Metric PLAB UCTT Semiconductor Equipment & Materials median
Market cap 1.68b 2.53b 3.80b

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