Critical Comparison: Astera Labs (NASDAQ:ALAB) and SCWorx (NASDAQ:WORX)

Astera Labs (NASDAQ:ALABGet Free Report) and SCWorx (NASDAQ:WORXGet Free Report) are both computer and technology companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, valuation, profitability and risk.

Profitability

This table compares Astera Labs and SCWorx’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Astera Labs 25.70% 16.12% 14.56%
SCWorx -139.68% -70.82% -55.80%

Analyst Ratings

This is a breakdown of recent ratings and price targets for Astera Labs and SCWorx, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Astera Labs 1 6 15 0 2.64
SCWorx 1 0 0 0 1.00

Astera Labs currently has a consensus price target of $202.22, indicating a potential upside of 101.68%. Given Astera Labs’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Astera Labs is more favorable than SCWorx.

Earnings & Valuation

This table compares Astera Labs and SCWorx”s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Astera Labs $852.53 million 20.14 $219.13 million $1.22 82.19
SCWorx $2.99 million 0.61 -$1.14 million ($0.95) -0.12

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

Risk and Volatility

Astera Labs has a beta of 1.75, suggesting that its share price is 75% more volatile than the S&P 500. Comparatively, SCWorx has a beta of 2, suggesting that its share price is 100% more volatile than the S&P 500.

Institutional and Insider Ownership

60.5% of Astera Labs shares are owned by institutional investors. Comparatively, 1.9% of SCWorx shares are owned by institutional investors. 12.5% of Astera Labs shares are owned by company insiders. Comparatively, 0.5% of SCWorx shares are owned by company 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.

Summary

Astera Labs beats SCWorx on 13 of the 14 factors compared between the two stocks.

About Astera Labs

(Get Free Report)

Astera Labs, Inc. designs, manufactures, and sells semiconductor-based connectivity solutions for cloud and AI infrastructure. Its Intelligent Connectivity Platform is comprised of a portfolio of data, network, and memory connectivity products, which are built on a unifying software-defined architecture that enables customers to deploy and operate high performance cloud and AI infrastructure at scale. The company was incorporated in 2017 and is based in Santa Clara, California.

About SCWorx

(Get Free Report)

SCWorx Corp. develops and markets health care information technology solutions and related services to improve healthcare processes and information flow within hospitals and other healthcare facilities in the United States. The company provides data content and services related to repair, normalization, and interoperability of information for healthcare providers, as well as big data analytics for the healthcare industry. It also offers virtualized item master file repair, expansion, and automation; electronic medical record management; charge description master management; contract management; request for proposal automation; rebate management; integration of acquired management; big data analytics modeling; data integration and warehousing; and ScanWorx. In addition, the company focuses on selling personal protective equipment and COVID-19 rapid test kits. It sells its solutions and services to hospitals and health systems through its direct sales force, and distribution and reseller partnerships. SCWorx Corp. is based in New York, New York.

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