GCT Semiconductor (NYSE:GCTS) vs. Infineon Technologies (OTCMKTS:IFNNY) Head to Head Comparison

Infineon Technologies (OTCMKTS:IFNNY) and GCT Semiconductor (NYSE:GCTS) are both computer and technology companies, but which is the superior investment? We will contrast the two businesses based on the strength of their profitability, risk, institutional ownership, valuation, dividends, earnings and analyst recommendations.

Risk & Volatility

Infineon Technologies has a beta of 1.88, suggesting that its share price is 88% more volatile than the S&P 500. Comparatively, GCT Semiconductor has a beta of 1.13, suggesting that its share price is 13% more volatile than the S&P 500.

Earnings and Valuation

This table compares Infineon Technologies and GCT Semiconductor”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Infineon Technologies	$16.22 billion	2.80	$1.41 billion	$1.05	33.12
GCT Semiconductor	N/A	N/A	-$2.00 million	N/A	N/A

Infineon Technologies has higher revenue and earnings than GCT Semiconductor.

Profitability

This table compares Infineon Technologies and GCT Semiconductor’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Infineon Technologies	8.64%	14.27%	8.57%
GCT Semiconductor	N/A	N/A	-27.81%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Infineon Technologies and GCT Semiconductor, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Infineon Technologies	0	0	0	3	4.00
GCT Semiconductor	0	0	1	0	3.00

GCT Semiconductor has a consensus price target of $8.00, indicating a potential upside of 203.03%. Given GCT Semiconductor’s higher probable upside, analysts plainly believe GCT Semiconductor is more favorable than Infineon Technologies.

Institutional & Insider Ownership

0.2% of Infineon Technologies shares are held by institutional investors. Comparatively, 28.1% of GCT Semiconductor shares are held by institutional investors. 0.2% of GCT Semiconductor shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Infineon Technologies beats GCT Semiconductor on 8 of the 12 factors compared between the two stocks.

About Infineon Technologies

Infineon Technologies AG designs, develops, manufactures, and markets semiconductors and semiconductor-based solutions worldwide. Its Automotive segment offers automotive microcontrollers; 3D ToF, magnetic, and pressure sensors; discrete power semiconductors; IGBT modules; industrial microcontrollers; power and memory ICs; transceivers; diodes, MOSEFTs, and modules; and voltage regulators for use in assistance and safety systems, comfort electronics, infotainment, powertrain, and security products. The company’s Green Industrial Power segment provides bare dies, discrete IGBTs, and driver ICs; SiC diodes, MOSFETs, and modules; and IGBT modules for home appliances, industrial drives, industrial power supplies, industrial robotics, industrial vehicles, and traction, as well as for energy generation, storage, and transmission. Its Power & Sensor Systems segment offers chips for gas and pressure sensors, and MEMS microphones; 3D ToF sensors; control ICs; discrete low-, mid-, and high-voltage power MOSFET; customized chips; GaN power switches; GPS low-noise amplifiers; low-voltage and high-voltage driver ICs; radar sensor ICs; RF antenna switches and power transistors; transient voltage suppressor diodes; SiC diode and MOSFETs; and USB controllers for use in audio amplifiers, automotive electronics, BLDC motors, cellular communications infrastructure, electric vehicle charging stations, human machine interaction, IoT, LED and conventional lighting systems, microinverter, mobile devices, power management, and special applications. The company’s Connected Secure Systems segment provides connectivity solutions, embedded security controllers, microcontrollers, and security controllers for authentication, automotive, consumer electronics, government identification document, IoT, mobile communication, payment system, ticketing, access control, and computing applications. Infineon Technologies AG was founded in 1999 and is headquartered in Neubiberg, Germany.

About GCT Semiconductor

GCT Semiconductor Holding, Inc., operates as a fabless semiconductor company, designs, develops, and markets integrated circuits for the wireless semiconductor industry. The company provides RF and modem chipsets based on 4G LTE technology, including 4G LTE, 4.5G LTE Advanced, and 4.75G LTE Advanced-Pro. It also develops and sells cellular IoT chipsets for low-speed mobile networks such as eMTC/NB-IOT/Sigfox, and other network protocols; and 5G solutions. Its products and solutions are used in smartphones, tablets, hotspots, CPEs, USB dongles, routers, and M2M applications. The company sells its products directly or indirectly through distributors to original equipment manufacturers and original design manufacturers primarily in Taiwan, China, Korea and Japan, Europe, North America and South America. The company was formerly known as Global Communication Technology, Inc. GCT Semiconductor Holding, Inc. was founded in 1998 and is headquartered in San Jose, California.