Reviewing Advantest (OTCMKTS:ATEYY) & SEALSQ (NASDAQ:LAES)

Advantest (OTCMKTS:ATEYY) and SEALSQ (NASDAQ:LAES) are both computer and technology companies, but which is the better investment? We will compare the two businesses based on the strength of their valuation, profitability, risk, institutional ownership, analyst recommendations, earnings and dividends.

Analyst Recommendations

This is a summary of current ratings and price targets for Advantest and SEALSQ, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Advantest	0	0	0	1	4.00
SEALSQ	0	0	1	0	3.00

SEALSQ has a consensus price target of $1.75, indicating a potential upside of 338.49%. Given SEALSQ’s higher probable upside, analysts plainly believe SEALSQ is more favorable than Advantest.

Profitability

This table compares Advantest and SEALSQ’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Advantest	14.65%	18.20%	11.61%
SEALSQ	N/A	N/A	N/A

Risk and Volatility

Advantest has a beta of 1.48, suggesting that its share price is 48% more volatile than the S&P 500. Comparatively, SEALSQ has a beta of 3.38, suggesting that its share price is 238% more volatile than the S&P 500.

Earnings & Valuation

This table compares Advantest and SEALSQ”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Advantest	$3.37 billion	11.28	$429.80 million	$0.58	88.83
SEALSQ	$20.14 million	0.34	-$3.27 million	N/A	N/A

Advantest has higher revenue and earnings than SEALSQ.

Institutional & Insider Ownership

0.0% of Advantest shares are held by institutional investors. Comparatively, 1.3% of SEALSQ shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

Advantest beats SEALSQ on 8 of the 12 factors compared between the two stocks.

About Advantest

Advantest Corporation manufactures and sells semiconductors, component test system products, and mechatronics related products in Japan, the Americas, Europe, and Asia. The company operates through three segments: Semiconductor and Component Test System; Mechatronics Related Business; and Services, Support and Others. The Semiconductor and Component Test System segment provides customers with test system products for the semiconductor industry and the electronic parts industry, as well as offers test systems for SoC semiconductor devices, and test systems for memory semiconductors devices. The Mechatronics Related Business segment provides test handlers; mechatronic-applied products for handling semiconductor devices; and device interfaces, which serve as interfaces with the devices that are measured, as well as nano-technology related products. The Services, Support and Others segment provides test solutions of system level testing customer solutions for the semiconductor and modules, and support services. This segment is also involved in the sale of consumables and used products, and equipment lease and other businesses. It also engages in the research and development activities and provides maintenance and support services. The company was incorporated in 1946 and is headquartered in Tokyo, Japan.

About SEALSQ

SEALSQ Corp, together with its subsidiaries, designs, develops, and markets semiconductor chips in Europe, the Middle East, Africa, North America, the Asia Pacific, and Latin America. It offers semiconductors, such as VaultIC secure elements, secure arm platform, and smart card reader chips; identity provisioning services, such as IoT device provisioning and chip provisioning; and managed PKI for IoT solutions and trust services. The company provides device-to-cloud authentication, device attestation for matter, GSMA root certificate, device-to-device authentication, data protection, anti-counterfeiting and brand protection, security access, device ID provisioning, identity lifecycle management, and satellite IoT connectivity solutions. Its products are used in various applications, such as smart energy, smart home, automotive EV charging, consumer IoT, aerospace and military, telecommunications, logistics, medical, luxury, and other industrial applications. SEALSQ Corp was founded in 2022 and is based in Cointrin, Switzerland.