Head to Head Analysis: Magnachip Semiconductor (NYSE:MX) vs. Energous (NASDAQ:WATT)

Energous (NASDAQ:WATT) and Magnachip Semiconductor (NYSE:MX) are both small-cap technology companies, but which is the better business? We will compare the two businesses based on the strength of their institutional ownership, earnings, risk, profitability, analyst recommendations, valuation and dividends.

Profitability

This table compares Energous and Magnachip Semiconductor’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Energous	-76.37%	-28.67%	-24.91%
Magnachip Semiconductor	-17.26%	-5.84%	-4.10%

Volatility and Risk

Energous has a beta of 1.51, indicating that its stock price is 51% more volatile than the S&P 500. Comparatively, Magnachip Semiconductor has a beta of 1.65, indicating that its stock price is 65% more volatile than the S&P 500.

Valuation & Earnings

This table compares Energous and Magnachip Semiconductor”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Energous	$10.48 million	4.71	-$9.59 million	($2.21)	-4.05
Magnachip Semiconductor	$178.86 million	0.57	-$29.72 million	($0.84)	-3.17

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

Insider & Institutional Ownership

4.3% of Energous shares are held by institutional investors. Comparatively, 74.3% of Magnachip Semiconductor shares are held by institutional investors. 0.2% of Energous shares are held by company insiders. Comparatively, 10.9% of Magnachip Semiconductor shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Energous and Magnachip Semiconductor, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Energous	1	1	0	0	1.50
Magnachip Semiconductor	1	1	0	0	1.50

Summary

Magnachip Semiconductor beats Energous on 9 of the 11 factors compared between the two stocks.

About Energous

Energous Corporation provides wireless charging system solutions in the United States. The company develops WattUp wireless power networks technology that consists of semiconductor chipsets; software controls; hardware designs; and antennas that enables radio frequency-based charging for Internet of Things devices. Its products are used in asset trackers; sensors; retail displays; and security devices; smart home; medical; industrial; and other sensors; electronic shelf labeling; logistics and asset tracking tags and sensors; computer mice and keyboards; remote controls; gaming consoles and controllers; hearing aids; rechargeable batteries; automotive accessories; smart textiles; wearables; and medical devices. The company was formerly known as DvineWave Inc. and changed its name to Energous Corporation in January 2014. Energous Corporation was incorporated in 2012 and is headquartered in San Jose; California.

About Magnachip Semiconductor

Magnachip Semiconductor Corporation, together with its subsidiaries, designs, manufactures, and supplies analog and mixed-signal semiconductor platform solutions for communications, the Internet of Things, consumer, computing, industrial, and automotive applications. It provides display solutions, including source and gate drivers, and timing controllers that cover a range of flat panel displays used in mobile communications, automotive, entertainment devices, monitors, notebook PCs, tablet PC and TVs applied with liquid crystal display, organic light emitting diodes (OLED), and micro light emitting diode (Micro LED) panel. The company also offers metal oxide semiconductor field-effect transistors, insulated-gate bipolar transistors, AC-DC converters, DC-DC converters, LED drivers, regulators, and power management integrated circuits for a range of devices comprising televisions, smartphones, mobile phones, wearable devices, desktop PCs, notebooks, tablet PCs, and other consumer electronics, as well as for power suppliers, e-bikes, photovoltaic inverters, LED lighting, and motor drives; and OLED display driver integrated circuit products. It serves consumer, computing, communication, automotive and industrial electronics OEMs, original design manufacturers, and electronics manufacturing services companies, as well as subsystem designers in the Asia Pacific, the United States, and Europe. The company sells its products through a direct sales force, as well as through a network of agents and distributors. Magnachip Semiconductor Corporation was incorporated in 2003 and is based in Cheongju-si, South Korea.