Ambarella (NASDAQ:AMBA – Get Free Report) and BE Semiconductor Industries (OTCMKTS:BESIY – Get Free Report) are both technology companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, profitability, earnings, institutional ownership and dividends.
Valuation and Earnings
This table compares Ambarella and BE Semiconductor Industries”s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Ambarella | $390.70 million | 6.61 | -$75.86 million | ($1.29) | -45.39 |
| BE Semiconductor Industries | $668.88 million | 17.25 | $148.94 million | $4.20 | 37.88 |
BE Semiconductor Industries has higher revenue and earnings than Ambarella. Ambarella is trading at a lower price-to-earnings ratio than BE Semiconductor Industries, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a summary of current ratings and price targets for Ambarella and BE Semiconductor Industries, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Ambarella | 1 | 6 | 5 | 0 | 2.33 |
| BE Semiconductor Industries | 1 | 3 | 4 | 1 | 2.56 |
Ambarella currently has a consensus target price of $89.56, suggesting a potential upside of 52.96%. Given Ambarella’s higher possible upside, equities analysts clearly believe Ambarella is more favorable than BE Semiconductor Industries.
Insider & Institutional Ownership
82.1% of Ambarella shares are owned by institutional investors. 4.5% of Ambarella shares are owned by insiders. Comparatively, 1.6% of BE Semiconductor Industries shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.
Profitability
This table compares Ambarella and BE Semiconductor Industries’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Ambarella | -13.48% | -10.03% | -7.73% |
| BE Semiconductor Industries | 32.83% | 60.45% | 25.18% |
Risk & Volatility
Ambarella has a beta of 2.36, indicating that its share price is 136% more volatile than the S&P 500. Comparatively, BE Semiconductor Industries has a beta of 2.08, indicating that its share price is 108% more volatile than the S&P 500.
Summary
BE Semiconductor Industries beats Ambarella on 10 of the 15 factors compared between the two stocks.
About Ambarella
Ambarella, Inc. develops semiconductor solutions that enable high-definition (HD) and ultra HD compression, image signal processing, and artificial intelligence processing worldwide. The company's system-on-a-chip designs integrated HD video processing, image processing, artificial intelligence computer vision algorithms, audio processing, and system functions onto a single chip for delivering video and image quality, differentiated functionality, and low power consumption. Its solutions are used in automotive cameras, such as automotive video recorders, electronic mirrors, front advanced driver assistance system camera, cabin monitoring system and driver monitoring system camera, and central domain controllers for autonomous vehicle; enterprise and public class, and home security camera; and robotics and industrial application, including identification/authentication cameras, robotic products, and sensing cameras, as well as cameras for the enterprise, home, public spaces, and consumer leisure comprising wearable body cameras, sports action cameras, social media cameras, drones for capturing aerial video or photographs, video conferencing, and virtual reality applications. The company sells its solutions to original design manufacturers and original equipment manufacturers through its direct sales force and distributors. Ambarella, Inc. was incorporated in 2004 and is headquartered in Santa Clara, California.
About BE Semiconductor Industries
BE Semiconductor Industries N.V. engages in the development, manufacture, marketing, sale, and service of semiconductor assembly equipment for the semiconductor and electronics industries in China, the United States, Malaysia, Ireland, Korea, Taiwan, Thailand, Other Asia Pacific and Europe, and internationally. It operates through three segments: Die Attach, Packaging, and Plating. The company's principal products include die attach equipment, such as single chip, multi-chip, multi module, flip chip, thermal compression bonding, fan out wafer level packaging, hybrid and embedded bridge die bonding, and die sorting systems; and packaging equipment, including conventional, ultra-thin, and wafer level molding, as well as trim and form, and singulation systems. It also provides plating equipment, such as tin, copper, and precious metal and solar plating systems, as well as related process chemicals; and tooling, conversion kits, spare parts, and other services. The company's principal brand names include Datacon, Esec, Fico, and Meco. It offers its products primarily to multinational chip manufacturers, assembly subcontractors, and electronics and industrial companies. BE Semiconductor Industries N.V. was incorporated in 1995 and is headquartered in Duiven, the Netherlands.
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