Infineon Technologies (OTCMKTS:IFNNY – Get Free Report) and Valens Semiconductor (NYSE:VLN – Get Free Report) are both computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their risk, analyst recommendations, earnings, profitability, institutional ownership, dividends and valuation.
Risk and Volatility
Infineon Technologies has a beta of 1.9, suggesting that its stock price is 90% more volatile than the S&P 500. Comparatively, Valens Semiconductor has a beta of 0.4, suggesting that its stock price is 60% less volatile than the S&P 500.
Profitability
This table compares Infineon Technologies and Valens Semiconductor’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Infineon Technologies | 14.08% | 15.49% | 9.30% |
| Valens Semiconductor | -46.71% | -17.06% | -15.35% |
Analyst Ratings
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Infineon Technologies | 0 | 0 | 0 | 3 | 4.00 |
| Valens Semiconductor | 0 | 0 | 1 | 0 | 3.00 |
Valens Semiconductor has a consensus price target of $4.00, indicating a potential upside of 105.66%. Given Valens Semiconductor’s higher possible upside, analysts plainly believe Valens Semiconductor is more favorable than Infineon Technologies.
Insider & Institutional Ownership
0.2% of Infineon Technologies shares are held by institutional investors. Comparatively, 33.9% of Valens Semiconductor shares are held by institutional investors. 58.9% of Valens Semiconductor shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Valuation and Earnings
This table compares Infineon Technologies and Valens Semiconductor”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Infineon Technologies | $17.42 billion | 2.51 | $3.35 billion | $2.11 | 15.84 |
| Valens Semiconductor | $61.26 million | 3.31 | -$19.66 million | ($0.24) | -8.10 |
Infineon Technologies has higher revenue and earnings than Valens Semiconductor. Valens Semiconductor is trading at a lower price-to-earnings ratio than Infineon Technologies, indicating that it is currently the more affordable of the two stocks.
Summary
Infineon Technologies beats Valens Semiconductor on 10 of the 15 factors compared between the two stocks.
About Infineon Technologies
Infineon Technologies AG designs, develops, manufactures, and markets semiconductors and semiconductor-based solutions worldwide. Its Automotive segment offers automotive microcontrollers; 3D ToF, magnetic, and pressure sensors; discrete power semiconductors; IGBT modules; industrial microcontrollers; power and memory ICs; transceivers; diodes, MOSEFTs, and modules; and voltage regulators for use in assistance and safety systems, comfort electronics, infotainment, powertrain, and security products. The company’s Green Industrial Power segment provides bare dies, discrete IGBTs, and driver ICs; SiC diodes, MOSFETs, and modules; and IGBT modules for home appliances, industrial drives, industrial power supplies, industrial robotics, industrial vehicles, and traction, as well as for energy generation, storage, and transmission. Its Power & Sensor Systems segment offers chips for gas and pressure sensors, and MEMS microphones; 3D ToF sensors; control ICs; discrete low-, mid-, and high-voltage power MOSFET; customized chips; GaN power switches; GPS low-noise amplifiers; low-voltage and high-voltage driver ICs; radar sensor ICs; RF antenna switches and power transistors; transient voltage suppressor diodes; SiC diode and MOSFETs; and USB controllers for use in audio amplifiers, automotive electronics, BLDC motors, cellular communications infrastructure, electric vehicle charging stations, human machine interaction, IoT, LED and conventional lighting systems, microinverter, mobile devices, power management, and special applications. The company’s Connected Secure Systems segment provides connectivity solutions, embedded security controllers, microcontrollers, and security controllers for authentication, automotive, consumer electronics, government identification document, IoT, mobile communication, payment system, ticketing, access control, and computing applications. Infineon Technologies AG was founded in 1999 and is headquartered in Neubiberg, Germany.
About Valens Semiconductor
Valens Semiconductor Ltd. engages in the provision of semiconductor products for the audio-video and automotive industries. The company offers HDBaseT technology, which enables the simultaneous delivery of ultra-high-definition digital video and audio, Ethernet, USB, control signals, and power through a single long-reach cable. It also provides audio-video solutions for the enterprise, education, industrial, digital signage, industrial, and medical markets. In addition, it offers automotive chipsets that support advanced driver-assistance systems, automotive data solutions, infotainment, telematics, and backbone connectivity. The company’s product series include VS100, VS2000, VS3000, VS6000, VS7000, Valens USB and power extender, Valens VS6320, USB 3.2 Gen1 extension chipset, VA6000, and VA7000. It has a collaboration with iCatch Technology to develop a 360-degree multi-camera videoconferencing solution. The company operates in Israel, China, Hong Kong, the United States, Japan, Germany, Hungary, and internationally. Valens Semiconductor Ltd. is headquartered in Hod Hasharon, Israel.
Receive News & Ratings for Infineon Technologies Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Infineon Technologies and related companies with MarketBeat.com's FREE daily email newsletter.
