Analyzing Nlight (NASDAQ:LASR) and Intel (NASDAQ:INTC)

Nlight (NASDAQ:LASR) and Intel (NASDAQ:INTC) are both computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their institutional ownership, profitability, analyst recommendations, valuation, earnings, risk and dividends.

Institutional & Insider Ownership

78.3% of Nlight shares are owned by institutional investors. Comparatively, 66.0% of Intel shares are owned by institutional investors. 5.8% of Nlight shares are owned by company insiders. Comparatively, 0.0% of Intel shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Nlight and Intel’s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Nlight $191.36 million 3.17 $13.94 million $0.32 51.22
Intel $70.85 billion 3.15 $21.05 billion $4.58 10.90

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

Dividends

Intel pays an annual dividend of $1.26 per share and has a dividend yield of 2.5%. Nlight does not pay a dividend. Intel pays out 27.5% of its earnings in the form of a dividend. Intel has increased its dividend for 4 consecutive years.

Risk and Volatility

Nlight has a beta of 2.02, indicating that its share price is 102% more volatile than the S&P 500. Comparatively, Intel has a beta of 0.84, indicating that its share price is 16% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for Nlight and Intel, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Nlight 1 4 3 1 2.44
Intel 8 12 19 0 2.28

Nlight currently has a consensus price target of $26.29, indicating a potential upside of 60.38%. Intel has a consensus price target of $53.33, indicating a potential upside of 6.83%. Given Nlight’s stronger consensus rating and higher possible upside, analysts clearly believe Nlight is more favorable than Intel.

Profitability

This table compares Nlight and Intel’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Nlight 5.13% 4.77% 3.97%
Intel 29.04% 29.54% 16.73%

About Nlight

nLIGHT, Inc. designs, develops, and manufactures semiconductor and fiber lasers used in the industrial, microfabrication, and aerospace and defense markets. The company also produces optical fiber products. It markets and sells its products to original equipment manufacturer primarily through direct sales force in the United States, China, South Korea, Germany, and Finland, as well as through various independent sales representatives and distributors in Asia and Europe. The company was formerly known as nLight Photonics Corporation and changed its name to nLIGHT, Inc. in January 2016. nLIGHT, Inc. was founded in 2000 and is headquartered in Vancouver, Washington.

About Intel

Intel Corporation offers computing, networking, data storage, and communication solutions worldwide. It operates through Client Computing Group, Data Center Group, Internet of Things Group, Non-Volatile Memory Solutions Group, Programmable Solutions Group, and All Other segments. The company offers microprocessors, and system-on-chip and multichip packaging products. It also provides NAND flash memory products primarily used in solid-state drives; and programmable semiconductors and related products for communications, data center, industrial, and military markets. In addition, the company develops computer vision and machine learning, data analysis, localization, and mapping for advanced driver assistance systems and autonomous driving. Its platforms are used in notebooks, systems, and desktops; cloud, enterprise, and communication infrastructure market segments; and retail, automotive, industrial, and various other embedded applications. It serves original equipment manufacturers, original design manufacturers, industrial and communication equipment manufacturers, and cloud service providers. Intel Corporation has a collaboration with Telefonaktiebolaget LM Ericsson (publ) to develop software defined infrastructure for network functions virtualization, distributed cloud, and 5G applications. The company was founded in 1968 and is based in Santa Clara, California.

Receive News & Ratings for Nlight Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Nlight and related companies with MarketBeat.com's FREE daily email newsletter.