Sigma Designs (OTCMKTS:SIGM) versus SkyWater Technology (NASDAQ:SKYT) Head-To-Head Survey

Sigma Designs (OTCMKTS:SIGM) and SkyWater Technology (NASDAQ:SKYT) are both computer and technology companies, but which is the better business? We will compare the two businesses based on the strength of their earnings, analyst recommendations, dividends, institutional ownership, valuation, profitability and risk.

Volatility & Risk

Sigma Designs has a beta of 0.55, indicating that its share price is 45% less volatile than the S&P 500. Comparatively, SkyWater Technology has a beta of 4.18, indicating that its share price is 318% more volatile than the S&P 500.

Earnings & Valuation

This table compares Sigma Designs and SkyWater Technology’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sigma Designs	$65.90 million	N/A	-$120.04 million	N/A	N/A
SkyWater Technology	$286.68 million	1.69	-$30.76 million	($0.67)	-15.27

SkyWater Technology has higher revenue and earnings than Sigma Designs.

Analyst Ratings

This is a summary of recent recommendations and price targets for Sigma Designs and SkyWater Technology, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sigma Designs	0	0	0	0	N/A
SkyWater Technology	0	0	3	0	3.00

SkyWater Technology has a consensus price target of $14.67, indicating a potential upside of 43.37%. Given SkyWater Technology’s higher possible upside, analysts plainly believe SkyWater Technology is more favorable than Sigma Designs.

Institutional & Insider Ownership

70.0% of SkyWater Technology shares are owned by institutional investors. 4.5% of Sigma Designs shares are owned by insiders. Comparatively, 42.6% of SkyWater Technology shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Sigma Designs and SkyWater Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sigma Designs	N/A	N/A	N/A
SkyWater Technology	-10.73%	-30.58%	-6.30%

Summary

SkyWater Technology beats Sigma Designs on 7 of the 10 factors compared between the two stocks.

About Sigma Designs

Sigma Designs, Inc., an integrated system-on-chip solutions provider, provides intelligent platforms for use in the home entertainment, and home and industrial control appliances. The company offers mobile Internet of Things solutions used primarily for tracking applications, such as small tags that can be attached to track pets, keys, children, luggage, and vehicles. It also offers legacy products; and software development kits and engineering support services for hardware and software. The company markets and sells its products through direct sales force, manufacturer representatives, distributors, and resellers to end-product manufacturers, original equipment manufacturers, and original design manufacturers in Asia, North America, Europe, and internationally. Sigma Designs, Inc. was founded in 1982 and is headquartered in Fremont, California.

About SkyWater Technology

SkyWater Technology, Inc., together with its subsidiaries, operates as a pure-play technology foundry that engages in the provision of semiconductor development, manufacturing, and packaging services in the United States. The company offers engineering and process development support services to co-create technologies with customers; and semiconductor manufacturing services for various silicon-based analog and mixed-signal, micro-electromechanical systems, and rad-hard integrated circuits. It serves customers operating in the computation, aerospace and defense, automotive, bio-health, consumer, and industrial sectors. The company was incorporated in 2016 and is headquartered in Bloomington, Minnesota.