Himax Technologies (NASDAQ:HIMX) and SEALSQ (NASDAQ:LAES) Critical Comparison

Himax Technologies (NASDAQ:HIMX) and SEALSQ (NASDAQ:LAES) are both computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, analyst recommendations, dividends, valuation, profitability and institutional ownership.

Analyst Recommendations

This is a breakdown of current recommendations for Himax Technologies and SEALSQ, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Himax Technologies	0	3	0	0	2.00
SEALSQ	1	1	1	0	2.00

Himax Technologies presently has a consensus price target of $8.00, indicating a potential downside of 36.35%. SEALSQ has a consensus price target of $6.00, indicating a potential upside of 154.78%. Given SEALSQ’s higher probable upside, analysts plainly believe SEALSQ is more favorable than Himax Technologies.

Risk & Volatility

Himax Technologies has a beta of 2.26, meaning that its stock price is 126% more volatile than the S&P 500. Comparatively, SEALSQ has a beta of -7.88, meaning that its stock price is 888% less volatile than the S&P 500.

Earnings and Valuation

This table compares Himax Technologies and SEALSQ”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Himax Technologies	$832.17 million	2.63	$43.94 million	$0.20	62.84
SEALSQ	$18.25 million	24.91	-$34.19 million	N/A	N/A

Himax Technologies has higher revenue and earnings than SEALSQ.

Profitability

This table compares Himax Technologies and SEALSQ’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Himax Technologies	3.91%	3.57%	1.86%
SEALSQ	N/A	N/A	N/A

Insider & Institutional Ownership

69.8% of Himax Technologies shares are owned by institutional investors. Comparatively, 1.3% of SEALSQ shares are owned by institutional investors. 31.5% of Himax Technologies shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Himax Technologies beats SEALSQ on 8 of the 11 factors compared between the two stocks.

About Himax Technologies

Himax Technologies, Inc., a fabless semiconductor company, provides display imaging processing technologies in China, Taiwan, the Philippines, Korea, Japan, Europe, and the United States. The company operates in two segments, Driver IC and Non-Driver Products. It offers display driver integrated circuits (ICs) and timing controllers that are used in televisions, PC monitors, laptops, mobile phones, tablets, automotive, ePaper devices, industrial displays, and other products. The company also provides automotive IC solutions, including traditional driver ICs; advanced in-cell touch and display driver integration; large touch and display driver integration; and local dimming timing controllers, as well as active matrix organic light-emitting diode (AMOLED) solutions, including AMOLED drivers, timing controllers, and touch controller ICs. In addition, it offers application specific IC services; liquid crystal on silicon and micro-electro mechanical system products; Power ICs; complementary metal oxide semiconductor image sensor products; wafer level optics products; 3D sensing products; and ultralow power WiseEye smart image sensing products. The company markets its display drivers to panel manufacturers, mobile device module manufacturers, and manufacturers of end-use products. Himax Technologies, Inc. was incorporated in 2001 and is headquartered in Tainan City, Taiwan.

About SEALSQ

SEALSQ Corp, together with its subsidiaries, designs, develops, and markets semiconductor chips in Europe, the Middle East, Africa, North America, the Asia Pacific, and Latin America. It offers semiconductors, such as VaultIC secure elements, secure arm platform, and smart card reader chips; identity provisioning services, such as IoT device provisioning and chip provisioning; and managed PKI for IoT solutions and trust services. The company provides device-to-cloud authentication, device attestation for matter, GSMA root certificate, device-to-device authentication, data protection, anti-counterfeiting and brand protection, security access, device ID provisioning, identity lifecycle management, and satellite IoT connectivity solutions. Its products are used in various applications, such as smart energy, smart home, automotive EV charging, consumer IoT, aerospace and military, telecommunications, logistics, medical, luxury, and other industrial applications. SEALSQ Corp was founded in 2022 and is based in Cointrin, Switzerland.