Navitas Semiconductor (NASDAQ:NVTS) versus TOYO (NASDAQ:TOYO) Critical Contrast

Navitas Semiconductor (NASDAQ:NVTS) and TOYO (NASDAQ:TOYO) are both technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, valuation, profitability, institutional ownership, risk, dividends and earnings.

Volatility & Risk

Navitas Semiconductor has a beta of 4.04, suggesting that its stock price is 304% more volatile than the S&P 500. Comparatively, TOYO has a beta of 1.41, suggesting that its stock price is 41% more volatile than the S&P 500.

Profitability

This table compares Navitas Semiconductor and TOYO’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Navitas Semiconductor	-818.84%	-11.84%	-11.00%
TOYO	N/A	N/A	N/A

Institutional and Insider Ownership

46.1% of Navitas Semiconductor shares are held by institutional investors. Comparatively, 84.6% of TOYO shares are held by institutional investors. 12.4% of Navitas Semiconductor shares are held by company insiders. Comparatively, 0.3% of TOYO shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Navitas Semiconductor and TOYO”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Navitas Semiconductor	$45.92 million	48.95	-$116.95 million	($1.38)	-6.24
TOYO	$549.23 million	0.37	$39.66 million	$1.20	4.48

TOYO has higher revenue and earnings than Navitas Semiconductor. Navitas Semiconductor is trading at a lower price-to-earnings ratio than TOYO, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current recommendations for Navitas Semiconductor and TOYO, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Navitas Semiconductor	2	0	4	0	2.33
TOYO	0	2	2	0	2.50

Navitas Semiconductor currently has a consensus target price of $14.43, suggesting a potential upside of 67.63%. TOYO has a consensus target price of $14.00, suggesting a potential upside of 160.71%. Given TOYO’s stronger consensus rating and higher probable upside, analysts clearly believe TOYO is more favorable than Navitas Semiconductor.

Summary

TOYO beats Navitas Semiconductor on 10 of the 14 factors compared between the two stocks.

About Navitas Semiconductor

Navitas Semiconductor Corporation designs, develops, and markets gallium nitride power integrated circuits, silicon carbide, associated high-speed silicon system controllers, and digital isolators used in power conversion and charging. The company’s products are used in mobile, consumer, data center, solar, electric vehicle, industrial motor drive, smart grid, and transportation applications. It operates in the United States, Europe, China, rest of Asia, and internationally. The company was founded in 2013 and is based in Torrance, California.

About TOYO

TOYO Co. Ltd. engages in the design, manufacture, and sale of solar cells and modules. It is involved in integrating the upstream production of wafer and silicon, midstream production of solar cell, downstream production of photovoltaic (PV) modules, and potentially other stages of the solar power supply chain. The company was founded on November 8, 2022 and is headquartered in Tokyo, Japan.