Intel (NASDAQ:INTC – Get Free Report) and indie Semiconductor (NASDAQ:INDI – Get Free Report) are both computer and technology companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, profitability, dividends, valuation, analyst recommendations, risk and earnings.
Analyst Ratings
This is a breakdown of current recommendations and price targets for Intel and indie Semiconductor, as provided by MarketBeat.com.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Intel | 5 | 25 | 1 | 0 | 1.87 |
indie Semiconductor | 0 | 0 | 7 | 0 | 3.00 |
Intel presently has a consensus target price of $30.12, indicating a potential upside of 21.09%. indie Semiconductor has a consensus target price of $9.79, indicating a potential upside of 81.22%. Given indie Semiconductor’s stronger consensus rating and higher possible upside, analysts plainly believe indie Semiconductor is more favorable than Intel.
Earnings and Valuation
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Intel | $54.23 billion | 1.98 | $1.69 billion | ($3.72) | -6.69 |
indie Semiconductor | $223.17 million | 4.89 | -$117.62 million | ($0.67) | -8.06 |
Intel has higher revenue and earnings than indie Semiconductor. indie Semiconductor is trading at a lower price-to-earnings ratio than Intel, indicating that it is currently the more affordable of the two stocks.
Insider & Institutional Ownership
64.5% of Intel shares are owned by institutional investors. Comparatively, 67.7% of indie Semiconductor shares are owned by institutional investors. 0.0% of Intel shares are owned by company insiders. Comparatively, 8.2% of indie Semiconductor shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.
Profitability
This table compares Intel and indie Semiconductor’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Intel | -29.42% | -1.71% | -0.97% |
indie Semiconductor | -49.88% | -24.04% | -14.42% |
Risk & Volatility
Intel has a beta of 1.03, indicating that its share price is 3% more volatile than the S&P 500. Comparatively, indie Semiconductor has a beta of 1.22, indicating that its share price is 22% more volatile than the S&P 500.
Summary
indie Semiconductor beats Intel on 8 of the 14 factors compared between the two stocks.
About Intel
Intel Corporation designs, develops, manufactures, markets, and sells computing and related products and services worldwide. It operates through Client Computing Group, Data Center and AI, Network and Edge, Mobileye, and Intel Foundry Services segments. The company's products portfolio comprises central processing units and chipsets, system-on-chips (SoCs), and multichip packages; mobile and desktop processors; hardware products comprising graphics processing units (GPUs), domain-specific accelerators, and field programmable gate arrays (FPGAs); and memory and storage, connectivity and networking, and other semiconductor products. It also offers silicon devices and software products; and optimization solutions for workloads, such as AI, cryptography, security, storage, networking, and leverages various features supporting diverse compute environments. In addition, the company develops and deploys advanced driver assistance systems (ADAS), and autonomous driving technologies and solutions; and provides advanced process technologies backed by an ecosystem of IP, EDA, and design services, as well as systems of chips, including advanced packaging technologies, software and accelerate bring-up, and integration of chips and driving standards. Further, it delivers and deploys intelligent edge platforms that allow developers to achieve agility and drive automation using AI for efficient operations with data integrity, as well as provides hardware and software platforms, tools, and ecosystem partnerships for digital transformation from the cloud to edge. The company serves original equipment manufacturers, original design manufacturers, cloud service providers, and other manufacturers and service providers. It has a strategic agreement with Synopsys, Inc. to develop EDA and IP solutions; and ARM that enables chip designers to build optimized compute SoCs on the Intel 18A process. Intel Corporation was incorporated in 1968 and is headquartered in Santa Clara, California.
About indie Semiconductor
indie Semiconductor, Inc. provides automotive semiconductors and software solutions for advanced driver assistance systems, autonomous vehicle, in-cabin, connected car, and electrification applications in the United States, South America, rest of North America, Greater China, South Korea, rest of the Asia Pacific, and Europe. It offers ultrasonic sensors for parking assist and systems; radar sensors for audio assistance and reverse information; front cameras for vehicle detection, collision avoidance, and sign reading; and side/inside cameras for blind spot and lane change assist, and driver behavior monitoring. The company also provides LiDAR for distance, speed, and obstacle detection, collision avoidance, and emergency brake system; and long range RADAR for audio assistance, obstacle detection, and ACC stop and go. In addition, it designs and manufactures photonic components on various technology platforms, including fiber Bragg gratings, low-noise lasers, athermal and tunable packaging, photonic integration, and low-noise and high-speed electronics. The company was founded in 2007 and is headquartered in Aliso Viejo, California.
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