Intchains Group (NASDAQ:ICG) vs. STMicroelectronics (NYSE:STM) Financial Survey

STMicroelectronics (NYSE:STM) and Intchains Group (NASDAQ:ICG) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, dividends, risk, earnings, analyst recommendations, valuation and profitability.

Analyst Ratings

This is a breakdown of recent recommendations for STMicroelectronics and Intchains Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
STMicroelectronics	0	4	7	1	2.75
Intchains Group	0	0	1	0	3.00

STMicroelectronics currently has a consensus target price of $39.80, indicating a potential upside of 45.10%. Intchains Group has a consensus target price of $11.00, indicating a potential upside of 164.42%. Given Intchains Group’s stronger consensus rating and higher possible upside, analysts clearly believe Intchains Group is more favorable than STMicroelectronics.

Valuation and Earnings

This table compares STMicroelectronics and Intchains Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
STMicroelectronics	$17.29 billion	1.43	$4.21 billion	$3.22	8.52
Intchains Group	$80.47 million	3.10	-$3.78 million	($0.10)	-41.60

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

Risk and Volatility

STMicroelectronics has a beta of 1.57, indicating that its share price is 57% more volatile than the S&P 500. Comparatively, Intchains Group has a beta of 0.78, indicating that its share price is 22% less volatile than the S&P 500.

Institutional and Insider Ownership

5.1% of STMicroelectronics shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares STMicroelectronics and Intchains Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
STMicroelectronics	19.68%	18.18%	12.52%
Intchains Group	12.96%	2.57%	2.47%

Summary

STMicroelectronics beats Intchains Group on 11 of the 14 factors compared between the two stocks.

About STMicroelectronics

STMicroelectronics N.V., together with its subsidiaries, designs, develops, manufactures, and sells semiconductor products in Europe, the Middle East, Africa, the Americas, and the Asia Pacific. The company operates through Automotive and Discrete Group; Analog, MEMS and Sensors Group; and Microcontrollers and Digital ICs Group segments. The Automotive and Discrete Group segment offers automotive integrated circuits (ICs), and discrete and power transistor products. The Analog, MEMS and Sensors Group segment provides industrial application-specific integrated circuits (ASICs) and application-specific standard products (ASSPs); general purpose analog products; custom analog ICs; wireless charging solutions; galvanic isolated gate drivers; low and high voltage amplifiers, comparators, and current-sense amplifiers; MasterGaN, a solution that integrates a silicon driver and GaN power transistors in a single package; wireline and wireless connectivity ICs; touch screen controllers; micro-electro-mechanical systems (MEMS) products, including sensors or actuators; and optical sensing solutions. The Microcontrollers and Digital ICs Group segment offers general purpose and secure microcontrollers; and radio frequency (RF) products. It also offers application-specific standard products for analog, digital and mixed-signal applications. In addition, the company provides assembly and other services. It sells its products through distributors and retailers, as well as through sales representatives. The company serves automotive, industrial, personal electronics and communications equipment, and computers and peripherals markets. STMicroelectronics N.V. was incorporated in 1987 and is headquartered in Geneva, Switzerland.

About Intchains Group

Intchains Group Limited designs and sells application-specific integrated circuit chips for blockchain applications in the People's Republic of China. The company also offers ancillary software, hardware, and other products. It serves distributors. Intchains Group Limited was founded in 2017 and is based in Pudong, China.