Comparing Financials: GCT Semiconductor (NYSE:GCTS) vs. Ichor (NASDAQ:ICHR)

GCT Semiconductor (NYSE:GCTS) and Ichor (NASDAQ:ICHR) are two notable small-cap companies in the computer and technology sector. Investors often seek to understand which of these two stocks stands out in terms of financial performance and growth potential. In this article, we will analyze both companies by examining their earnings strength, analyst opinions, institutional ownership, profitability, valuation, dividends, and associated risks.

Volatility & Risk

GCT Semiconductor has a beta value of 1.16, indicating that its stock price experiences 16% greater volatility compared to the S&P 500 index. In contrast, Ichor shows a higher beta of 1.92, reflecting that its stock price is 92% more volatile than the S&P 500.

Profitability

To assess the profitability of GCT Semiconductor and Ichor, we can look at their net margins, return on equity, and return on assets.

	Net Margins	Return on Equity	Return on Assets
GCT Semiconductor	N/A	N/A	-27.81%
Ichor	-3.51%	-2.14%	-1.49%

Analyst Ratings

To understand market perception, we reviewed the latest analyst recommendations and price targets for both companies.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GCT Semiconductor	0	0	1	0	3.00
Ichor	0	2	4	1	2.86

Currently, GCT Semiconductor has a consensus target price of $8.00, suggesting a potential price increase of 218.09%. Meanwhile, Ichor's target price is set at $42.29, indicating a possible rise of 37.11%. From this analysis, it appears that analysts have a more favorable outlook on GCT Semiconductor with its higher target price potential.

Valuation and Earnings

Examining the financial performance metrics, we compare the gross revenues, earnings per share (EPS), and valuation ratios.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GCT Semiconductor	$16.03 million	7.49	-$2.00 million	N/A	N/A
Ichor	$811.12 million	1.28	-$42.99 million	($0.93)	-33.16

While GCT Semiconductor exhibits higher earnings, it falls short in gross revenue when compared to Ichor.

Insider and Institutional Ownership

Institutional ownership provides insight into market confidence. 28.1% of GCT Semiconductor is owned by institutional investors, while a significant 94.8% of Ichor's shares are held by institutions. In terms of insider ownership, GCT Semiconductor has only 0.2%, compared to Ichor's 2.2%. The high rate of institutional ownership suggests strong confidence among large investors regarding the companies’ future performance.

Summary

In summary, Ichor outperforms GCT Semiconductor across 7 of the 13 financial metrics analyzed. This study emphasizes the importance of various performance indicators in evaluating stock quality among investors.

About GCT Semiconductor

GCT Semiconductor is a fabless semiconductor company that designs and markets integrated circuits for the wireless communication sector. They primarily focus on RF and modem chipsets for 4G LTE and 5G technologies, catering to a range of applications from smartphones to IoT devices. Founded in 1998 and based in San Jose, California, the company is known for its innovative solutions within the semiconductor industry.

About Ichor

Ichor Holdings specializes in the design and manufacture of fluid delivery subsystems for semiconductor capital equipment. They provide critical components for gas and chemical delivery systems used in semiconductor fabrication, primarily serving OEMs in this field. Established in 1999 and headquartered in Fremont, California, Ichor is recognized for its advanced manufacturing technologies.

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