NXP Semiconductors (NASDAQ:NXPI) & FTC Solar (NASDAQ:FTCI) Head-To-Head Contrast

NXP Semiconductors (NASDAQ:NXPI) and FTC Solar (NASDAQ:FTCI) are both computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, earnings, valuation, dividends, risk, profitability and institutional ownership.

Institutional and Insider Ownership

90.5% of NXP Semiconductors shares are owned by institutional investors. Comparatively, 45.4% of FTC Solar shares are owned by institutional investors. 0.1% of NXP Semiconductors shares are owned by company insiders. Comparatively, 23.1% of FTC Solar shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares NXP Semiconductors and FTC Solar’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NXP Semiconductors	21.21%	35.65%	13.51%
FTC Solar	-63.17%	-75.67%	-37.61%

Risk & Volatility

NXP Semiconductors has a beta of 1.49, suggesting that its stock price is 49% more volatile than the S&P 500. Comparatively, FTC Solar has a beta of 1.76, suggesting that its stock price is 76% more volatile than the S&P 500.

Valuation and Earnings

This table compares NXP Semiconductors and FTC Solar”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NXP Semiconductors	$13.11 billion	4.61	$2.80 billion	$10.83	21.81
FTC Solar	$77.77 million	0.73	-$50.29 million	($0.39)	-1.16

NXP Semiconductors has higher revenue and earnings than FTC Solar. FTC Solar is trading at a lower price-to-earnings ratio than NXP Semiconductors, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent recommendations and price targets for NXP Semiconductors and FTC Solar, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NXP Semiconductors	1	5	13	0	2.63
FTC Solar	0	4	2	1	2.57

NXP Semiconductors presently has a consensus price target of $291.47, indicating a potential upside of 23.42%. FTC Solar has a consensus price target of $1.04, indicating a potential upside of 130.20%. Given FTC Solar’s higher possible upside, analysts plainly believe FTC Solar is more favorable than NXP Semiconductors.

Summary

NXP Semiconductors beats FTC Solar on 11 of the 15 factors compared between the two stocks.

About NXP Semiconductors

NXP Semiconductors N.V. offers various semiconductor products. The company's product portfolio includes microcontrollers; application processors, including i.MX application processors, and i.MX 8 and 9 family of applications processors; communication processors; wireless connectivity solutions, such as near field communications, ultra-wideband, Bluetooth low-energy, Zigbee, and Wi-Fi and Wi-Fi/Bluetooth integrated SoCs; analog and interface devices; radio frequency power amplifiers; and security controllers, as well as semiconductor-based environmental and inertial sensors, including pressure, inertial, magnetic, and gyroscopic sensors. Its products are used in various applications, including automotive, industrial and Internet of Things, mobile, and communication infrastructure. The company markets its products to various original equipment manufacturers, contract manufacturers, and distributors. It operates in China, the Netherlands, the United States, Singapore, Germany, Japan, South Korea, Taiwan, and internationally. N.V. was incorporated in 2006 and is headquartered in Eindhoven, the Netherlands.

About FTC Solar

FTC Solar, Inc. engages in the provision of solar tracker systems, software, and engineering services in the United States, Asia, Europe, the Middle East, North Africa, South Africa, and Australia. The company offers a self-powered, two-panel in-portrait, and single-axis tracker solution under the Voyager brand name; and a one module-in-portrait solar tracker solution under the Pioneer brand name. Its customers include project developers and solar asset owners, as well as engineering, procurement, and construction contractors that design and build solar energy projects. The company was incorporated in 2017 and is headquartered in Austin, Texas.