Navitas Semiconductor (NASDAQ:NVTS) & Alpha and Omega Semiconductor (NASDAQ:AOSL) Head-To-Head Analysis

Alpha and Omega Semiconductor (NASDAQ:AOSL) and Navitas Semiconductor (NASDAQ:NVTS) are both small-cap computer and technology companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, earnings, dividends, risk, analyst recommendations, valuation and institutional ownership.

Profitability

This table compares Alpha and Omega Semiconductor and Navitas Semiconductor’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alpha and Omega Semiconductor	-3.46%	-0.23%	-0.18%
Navitas Semiconductor	-84.61%	-23.64%	-20.18%

Analyst Recommendations

This is a breakdown of current ratings and price targets for Alpha and Omega Semiconductor and Navitas Semiconductor, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alpha and Omega Semiconductor	1	0	2	0	2.33
Navitas Semiconductor	0	2	5	0	2.71

Alpha and Omega Semiconductor currently has a consensus price target of $38.67, suggesting a potential upside of 51.52%. Navitas Semiconductor has a consensus price target of $4.11, suggesting a potential upside of 113.91%. Given Navitas Semiconductor’s stronger consensus rating and higher probable upside, analysts plainly believe Navitas Semiconductor is more favorable than Alpha and Omega Semiconductor.

Institutional & Insider Ownership

79.0% of Alpha and Omega Semiconductor shares are held by institutional investors. Comparatively, 46.1% of Navitas Semiconductor shares are held by institutional investors. 16.9% of Alpha and Omega Semiconductor shares are held by company insiders. Comparatively, 31.8% of Navitas Semiconductor shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Alpha and Omega Semiconductor and Navitas Semiconductor”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alpha and Omega Semiconductor	$666.40 million	1.13	-$11.08 million	($0.80)	-31.90
Navitas Semiconductor	$83.30 million	4.39	-$145.43 million	($0.45)	-4.27

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

Volatility and Risk

Alpha and Omega Semiconductor has a beta of 2.56, indicating that its share price is 156% more volatile than the S&P 500. Comparatively, Navitas Semiconductor has a beta of 2.23, indicating that its share price is 123% more volatile than the S&P 500.

About Alpha and Omega Semiconductor

Alpha and Omega Semiconductor Limited designs, develops, and supplies power semiconductor products for computing, consumer electronics, communication, and industrial applications in Hong Kong, China, South Korea, the United States, and internationally. It offers power discrete products, including metal-oxide-semiconductor field-effect transistors (MOSFET), SRFETs, XSFET, electrostatic discharge, protected MOSFETs, high and mid-voltage MOSFETs, and insulated gate bipolar transistors for use in smart phone chargers, battery packs, notebooks, desktop and servers, data centers, base stations, graphics card, game boxes, TVs, AC adapters, power supplies, motor control, power tools, E-vehicles, white goods and industrial motor drives, UPS systems, solar inverters, and industrial welding. The company also provides power ICs that deliver power, as well as control and regulate the power management variables, such as the flow of current and level of voltage. Its power ICs are used in flat panel displays, TVs, notebooks, graphic cards, servers, DVD/Blu-Ray players, set-top boxes, and networking equipment. In addition, the company offers transient voltage suppressors, analog switch, and electromagnetic interference filter for notebooks, desktop PCs, tablets, flat panel displays, TVs, smart phones, and portable electronic devices; and 650V and 1200V SiC MOSFET. Alpha and Omega Semiconductor Limited was incorporated in 2000 and is headquartered in Sunnyvale, California.

About Navitas Semiconductor

Navitas Semiconductor Corporation designs, develops, and markets gallium nitride power integrated circuits, silicon carbide, associated high-speed silicon system controllers, and digital isolators used in power conversion and charging. The company’s products are used in mobile, consumer, data center, solar, electric vehicle, industrial motor drive, smart grid, and transportation applications. It operates in the United States, Europe, China, rest of Asia, and internationally. The company was founded in 2013 and is based in Torrance, California.