SemiLEDS (NASDAQ:LEDS) and Soitec (OTCMKTS:SLOIF) Head to Head Review
by Scott Moore · The Cerbat GemSoitec (OTCMKTS:SLOIF – Get Free Report) and SemiLEDS (NASDAQ:LEDS – Get Free Report) are both small-cap computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, valuation, risk, institutional ownership, profitability and dividends.
Analyst Recommendations
This is a breakdown of recent recommendations for Soitec and SemiLEDS, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Soitec | 1 | 0 | 0 | 0 | 1.00 |
| SemiLEDS | 1 | 0 | 0 | 0 | 1.00 |
Insider and Institutional Ownership
76.3% of SemiLEDS shares are held by institutional investors. 57.4% of SemiLEDS shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.
Risk & Volatility
Soitec has a beta of 0.45, meaning that its stock price is 55% less volatile than the S&P 500. Comparatively, SemiLEDS has a beta of 1.04, meaning that its stock price is 4% more volatile than the S&P 500.
Valuation and Earnings
This table compares Soitec and SemiLEDS”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Soitec | $937.30 million | 1.17 | $98.66 million | N/A | N/A |
| SemiLEDS | $43.01 million | 0.37 | -$1.13 million | ($0.15) | -12.93 |
Soitec has higher revenue and earnings than SemiLEDS.
Profitability
This table compares Soitec and SemiLEDS’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Soitec | N/A | N/A | N/A |
| SemiLEDS | -2.63% | -37.83% | -6.25% |
Summary
Soitec beats SemiLEDS on 6 of the 9 factors compared between the two stocks.
About Soitec
Soitec SA designs and manufactures semiconductor materials worldwide. Its products are used to manufacture chips that are used in smart phones, tablets, computers, IT servers, and data centers, as well as electronic components in cars, connected devices, and industrial and medical equipment. It provides CONNECT Radio Frequency Silicon-on-Insulator (RF-SOI) for smartphone front-end modules; CONNECT Piezoelectric-on-Insulator RF filters for smartphone; and CONNECT RF gallium nitride for 5g infrastructure base stations and smartphones, as well as CONNECT Fully Depleted Silicon-On-Insulator (FD-SOI). The company also offers Auto Power-SOI product for automotive and industrial markets; Auto Smartsic for green mobility; and AUTO POWER-allium nitride for power efficiency, as well as AUTO FD-SOI for automotive radar and processors. In addition, it provides Smart photonics-SOI products for optical networking; Smart Imager-SOI products for next generation 3D image sensing; Smart FD-SOI for ultra low power, energy efficient, and body biasing; smart partially depleted (PD) -SOI for high-performance computing markets. Soitec SA was incorporated in 1992 and is headquartered in Bernin, France.
About SemiLEDS
SemiLEDs Corporation develops, manufactures, and sells light emitting diode (LED) chips, LED components, and LED modules and systems in the United States, Taiwan, the Netherlands, Germany, Japan, and internationally. The company also sells enhanced vertical, LED product series in blue, white, green, and UV; LED chips to packagers or distributors; and lighting products primarily to original design manufacturers of lighting products and the end-users of lighting devices, as well as packs and sells its LED chips. Its products are used for general lighting applications, including commercial, industrial, and residential lighting; and specialty industrial applications, such as ultraviolet or UV, curing of polymers, LED light therapy in medical/cosmetic applications, counterfeit detection, germicidal and viricidal devices LED lighting for horticulture applications, architectural lighting, and entertainment lighting. The company was incorporated in 2005 and is based in Chu-Nan, Taiwan.