Head to Head Comparison: GCT Semiconductor (NYSE:GCTS) versus Amkor Technology (NASDAQ:AMKR)

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

Insider and Institutional Ownership

28.1% of GCT Semiconductor shares are held by institutional investors. Comparatively, 42.8% of Amkor Technology shares are held by institutional investors. 0.2% of GCT Semiconductor shares are held by insiders. Comparatively, 31.4% of Amkor Technology shares are held by 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 current ratings and recommmendations for GCT Semiconductor and Amkor Technology, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GCT Semiconductor	0	0	1	0	3.00
Amkor Technology	0	3	5	0	2.63

GCT Semiconductor currently has a consensus price target of $8.00, suggesting a potential upside of 205.34%. Amkor Technology has a consensus price target of $41.14, suggesting a potential upside of 44.31%. Given GCT Semiconductor’s stronger consensus rating and higher probable upside, equities analysts clearly believe GCT Semiconductor is more favorable than Amkor Technology.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
GCT Semiconductor	N/A	N/A	-16.19%
Amkor Technology	5.87%	9.41%	5.56%

Valuation and Earnings

This table compares GCT Semiconductor and Amkor Technology’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GCT Semiconductor	$16.03 million	7.50	-$2.00 million	N/A	N/A
Amkor Technology	$6.40 billion	1.09	$359.81 million	$1.52	18.76

Amkor Technology has higher revenue and earnings than GCT Semiconductor.

Volatility & Risk

GCT Semiconductor has a beta of 1.03, suggesting that its share price is 3% more volatile than the S&P 500. Comparatively, Amkor Technology has a beta of 1.85, suggesting that its share price is 85% more volatile than the S&P 500.

Summary

Amkor Technology beats GCT Semiconductor on 9 of the 12 factors compared between the two stocks.

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.

About Amkor Technology

Amkor Technology, Inc. provides outsourced semiconductor packaging and test services in the United States, Japan, Europe, the Middle East, Africa, and the Asia Pacific. It offers turnkey packaging and test services, including semiconductor wafer bump, wafer probe, wafer back-grind, package design, packaging, system-level and final test, and drop shipment services; flip chip scale package products for smartphones, tablets, and other mobile consumer electronic devices; flip chip stacked chip scale packages that are used to stack memory digital baseband, and as applications processors in mobile devices; flip-chip ball grid array packages for various networking, storage, computing, automotive, and consumer applications; and memory products for system memory or platform data storage. The company also provides wafer-level CSP packages for power management, transceivers, sensors, wireless charging, codecs, radar, and specialty silicon; wafer-level fan-out packages used in power management, transceivers, radar, and specialty silicon; silicon wafer integrated fan-out technology that replaces a laminate substrate with a thinner structure; leadframe packages for electronic devices and mixed-signal applications; and substrate-based wirebond packages used to connect a die to a substrate. In addition, it offers micro-electro-mechanical systems packages that are miniaturized mechanical and electromechanical devices; and advanced system-in-package modules used in radio frequency and front end modules, basebands, connectivity, fingerprint sensors, display and touch screen drivers, sensors and MEMS, and NAND memory and solid-state drives. Further, the company provides wafer, package, and system level test services, as well as burn-in test and test development services. It serves integrated device manufacturers, fabless semiconductor companies, original equipment manufacturers, and contract foundries. The company was founded in 1968 and is headquartered in Tempe, Arizona.