Comparing Alps Electric (OTCMKTS:APELY) and AAC Technologies (OTCMKTS:AACAY)

Alps Electric (OTCMKTS:APELY) and AAC Technologies (OTCMKTS:AACAY) are both mid-cap computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, profitability, analyst recommendations, valuation, risk, dividends and institutional ownership.

Profitability

This table compares Alps Electric and AAC Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alps Electric	2.62%	7.42%	4.18%
AAC Technologies	N/A	N/A	N/A

Risk & Volatility

Alps Electric has a beta of 0.37, suggesting that its share price is 63% less volatile than the S&P 500. Comparatively, AAC Technologies has a beta of 1.3, suggesting that its share price is 30% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for Alps Electric and AAC Technologies, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alps Electric	0	0	0	1	4.00
AAC Technologies	0	1	0	0	2.00

Dividends

Alps Electric pays an annual dividend of $0.47 per share and has a dividend yield of 1.7%. AAC Technologies pays an annual dividend of $0.03 per share and has a dividend yield of 0.6%. Alps Electric pays out 26.4% of its earnings in the form of a dividend.

Valuation & Earnings

This table compares Alps Electric and AAC Technologies”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alps Electric	$6.77 billion	0.41	$178.56 million	$1.78	15.17
AAC Technologies	$4.43 billion	1.41	$349.42 million	N/A	N/A

AAC Technologies has lower revenue, but higher earnings than Alps Electric.

Insider and Institutional Ownership

0.1% of Alps Electric shares are owned by institutional investors. 10.4% of Alps Electric shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Summary

Alps Electric beats AAC Technologies on 9 of the 13 factors compared between the two stocks.

About Alps Electric

Alps Alpine Co., Ltd. manufactures and sells electronic components in Japan and internationally. It operates through four segments: Components, Sensor Communication, Module Systems, and Logistics. The company’s products for the consumer, industrial equipment, and IoT markets include TACT switches, worker condition monitoring systems, HAPTIC reactor, actuator for cameras, remote monitoring system for logistics, analog meter monitoring system, resistive position sensor, pressure sensor, air environment sensor module, three-axis geomagnetic sensor, humidity sensor, and pc board mount current sensor. Its products for the automotive market comprises TACT and detector switches, Encoder, aspherical glass lens with metal holder, HAPTIC reactor, trimagic converter, current sensor, magnetic sensor, millimeter-wave sensor, GNSS module, 5G NR module, power window switch, electric shifter, sound system, cabin controller, smart door trim, electric shifter, integrated display, premium sound speakers, and customized car products. The company also provides systems development, office, and financing and leasing services, as well as transportation, storage, and forwarding services. The company was formerly known as Alps Electric Co., Ltd. and changed its name to Alps Alpine Co., Ltd. in January 2019. The company was incorporated in 1948 and is headquartered in Tokyo, Japan.

About AAC Technologies

AAC Technologies Holdings Inc., an investment holding company, provides solutions for smart devices in Mainland China, Hong Kong Special Administrative Region of the People's Republic of China, Taiwan, other Asian countries, the United States, and Europe. The company operates through Acoustics Product, Electromagnetic Drives and Precision Mechanics, Optics Products, Sensor and Semiconductor Products, and other products segments. It provides acoustics products for smartphones, laptops, mid-range tablets, and smart glasses; and manufactures and sells haptic motors that are used in smartphones, smart watches, tablets, intelligent automobiles, game controllers, and virtual reality/augmented reality controllers. The company also offers precision mechanics comprising metal casing products; optical lenses, camera modules, and optical actuators, as well as voice coil motor products; and micro electro-mechanical systems (MEMS) and ASIC chips design, packaging, and testing services for consumer electronics, automotive, smart wearables, robotics, IoT, and other sectors. In addition, it provides research and development services; manufactures and sells tooling and precision components, electronic components, and related accessories; and provides electroplating services, as well as engages in investment activities. The company was formerly known as AAC Acoustic Technologies Holdings Inc. and changed its name to AAC Technologies Holdings Inc. in May 2011. AAC Technologies Holdings Inc. was founded in 1993 and is headquartered in Shenzhen, the People's Republic of China.