Head-To-Head Comparison: SkyWater Technology (NASDAQ:SKYT) vs. Sumco (OTCMKTS:SUOPY)

SkyWater Technology (NASDAQ:SKYT) and Sumco (OTCMKTS:SUOPY) are both computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, valuation, risk and earnings.

Institutional and Insider Ownership

70.0% of SkyWater Technology shares are held by institutional investors. Comparatively, 0.0% of Sumco shares are held by institutional investors. 42.5% of SkyWater Technology shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Volatility & Risk

SkyWater Technology has a beta of 3.96, meaning that its share price is 296% more volatile than the S&P 500. Comparatively, Sumco has a beta of 1.08, meaning that its share price is 8% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and target prices for SkyWater Technology and Sumco, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SkyWater Technology	0	0	4	0	3.00
Sumco	0	0	0	0	N/A

SkyWater Technology presently has a consensus price target of $12.00, indicating a potential upside of 30.86%. Given SkyWater Technology’s higher probable upside, equities analysts clearly believe SkyWater Technology is more favorable than Sumco.

Valuation and Earnings

This table compares SkyWater Technology and Sumco”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SkyWater Technology	$323.74 million	1.34	-$30.76 million	($0.69)	-13.29
Sumco	$3.04 billion	1.31	$453.58 million	$1.25	18.15

Sumco has higher revenue and earnings than SkyWater Technology. SkyWater Technology is trading at a lower price-to-earnings ratio than Sumco, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares SkyWater Technology and Sumco’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SkyWater Technology	-7.88%	-21.68%	-4.35%
Sumco	6.66%	4.15%	2.38%

Summary

Sumco beats SkyWater Technology on 7 of the 13 factors compared between the two stocks.

About SkyWater Technology

SkyWater Technology, Inc., together with its subsidiaries, operates as a pure-play technology foundry that engages in the provision of semiconductor development, manufacturing, and packaging services in the United States. The company offers engineering and process development support services to co-create technologies with customers; and semiconductor manufacturing services for various silicon-based analog and mixed-signal, micro-electromechanical systems, and rad-hard integrated circuits. It serves customers operating in the computation, aerospace and defense, automotive, bio-health, consumer, and industrial sectors. The company was incorporated in 2016 and is headquartered in Bloomington, Minnesota.

About Sumco

Sumco Corporation manufactures and sells silicon wafers for the semiconductor industry in Japan, the United States, China, Taiwan, Korea, and internationally. It provides monocrystalline ingots, as well as polished, annealed, epitaxial, junction isolated, silicon-on-insulator, and reclaimed polished wafers. The company was formerly known as Sumitomo Mitsubishi Silicon Corp. and changed its name to Sumco Corporation in August 2005. Sumco Corporation was incorporated in 1999 and is headquartered in Tokyo, Japan.