Synaptics (NASDAQ:SYNA – Get Rating) and Atomera (NASDAQ:ATOM – Get Rating) are both computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, earnings, valuation, risk, institutional ownership, dividends and analyst recommendations.
Profitability
This table compares Synaptics and Atomera's net margins, return on equity and return on assets.
Get Synaptics alerts:| Net Margins | Return on Equity | Return on Assets | |
| Synaptics | 13.41% | 33.67% | 15.31% |
| Atomera | N/A | -77.58% | -59.55% |
Volatility and Risk
Synaptics has a beta of 1.54, meaning that its stock price is 54% more volatile than the S&P 500. Comparatively, Atomera has a beta of 1.55, meaning that its stock price is 55% more volatile than the S&P 500.
Insider and Institutional Ownership
90.4% of Synaptics shares are held by institutional investors. Comparatively, 31.3% of Atomera shares are held by institutional investors. 0.8% of Synaptics shares are held by insiders. Comparatively, 12.6% of Atomera shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.
Valuation and Earnings
This table compares Synaptics and Atomera's revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Synaptics | $1.74 billion | 2.69 | $257.50 million | $5.77 | 20.59 |
| Atomera | $380,000.00 | 381.63 | -$17.44 million | ($0.76) | -7.96 |
Synaptics has higher revenue and earnings than Atomera. Atomera is trading at a lower price-to-earnings ratio than Synaptics, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a summary of recent ratings for Synaptics and Atomera, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Synaptics | 0 | 4 | 7 | 0 | 2.64 |
| Atomera | 0 | 0 | 0 | 0 | N/A |
Synaptics presently has a consensus target price of $148.18, suggesting a potential upside of 24.72%. Atomera has a consensus target price of $13.00, suggesting a potential upside of 114.88%. Given Atomera's higher probable upside, analysts clearly believe Atomera is more favorable than Synaptics.
Summary
Synaptics beats Atomera on 9 of the 13 factors compared between the two stocks.
About Synaptics
(Get Rating)
Synaptics, Inc. engages in the development, marketing, and sale of human interface semiconductor solutions for electronic devices and products. It specializes in custom-designed human interface that enable people to interact with mobile computing, communications, entertainment, and other electronic devices. The company was founded by Federico Faggin and Carver A. Mead in March 1986 and is headquartered in San Jose, CA.
About Atomera
(Get Rating)
Atomera, Inc. engages in the development, commercializing, and licensing of proprietary processes and technologies for the semiconductor industry. It developed Mears Silicon Technology, which increases performance and power efficiency in semiconductor transistors. The company was founded by Robert Mears in November 26, 2001 and is headquartered in Los Gatos, CA.
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