Silicon Laboratories (NASDAQ:SLAB) & TOYO (NASDAQ:TOYO) Head-To-Head Review

TOYO (NASDAQ:TOYO) and Silicon Laboratories (NASDAQ:SLAB) are both technology companies, but which is the superior business? We will compare the two businesses based on the strength of their risk, profitability, dividends, institutional ownership, valuation, analyst recommendations and earnings.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for TOYO and Silicon Laboratories, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TOYO	1	1	2	0	2.25
Silicon Laboratories	2	5	0	0	1.71

TOYO presently has a consensus target price of $14.00, suggesting a potential upside of 219.63%. Silicon Laboratories has a consensus target price of $218.00, suggesting a potential downside of 0.52%. Given TOYO’s stronger consensus rating and higher probable upside, equities research analysts clearly believe TOYO is more favorable than Silicon Laboratories.

Insider and Institutional Ownership

84.6% of TOYO shares are owned by institutional investors. 0.3% of TOYO shares are owned by company insiders. Comparatively, 1.6% of Silicon Laboratories shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares TOYO and Silicon Laboratories’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TOYO	N/A	N/A	N/A
Silicon Laboratories	-4.57%	-0.66%	-0.57%

Valuation & Earnings

This table compares TOYO and Silicon Laboratories”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TOYO	$427.38 million	0.39	$39.66 million	$1.20	3.65
Silicon Laboratories	$784.76 million	9.32	-$64.91 million	($1.18)	-185.72

TOYO has higher earnings, but lower revenue than Silicon Laboratories. Silicon Laboratories is trading at a lower price-to-earnings ratio than TOYO, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

TOYO has a beta of 1.42, indicating that its share price is 42% more volatile than the S&P 500. Comparatively, Silicon Laboratories has a beta of 1.36, indicating that its share price is 36% more volatile than the S&P 500.

Summary

TOYO beats Silicon Laboratories on 11 of the 14 factors compared between the two stocks.

About TOYO

TOYO Co. Ltd. engages in the design, manufacture, and sale of solar cells and modules. It is involved in integrating the upstream production of wafer and silicon, midstream production of solar cell, downstream production of photovoltaic (PV) modules, and potentially other stages of the solar power supply chain. The company was founded on November 8, 2022 and is headquartered in Tokyo, Japan.

About Silicon Laboratories

Silicon Laboratories Inc., a fabless semiconductor company, provides various analog-intensive mixed-signal solutions in the United States, China, Taiwan, and internationally. The company's products include wireless microcontrollers and sensor products. Its products are used in various electronic products in a range of applications for the industrial Internet of Things (IoT), including industrial automation and control, smart buildings, access control, HVAC control, and industrial wearables and power tools; smart cities applications, such as smart metering, smart street lighting, renewable energy, electric vehicle supply equipment, and smart agriculture; commercial IoT applications, including smart lighting, asset tracking, electronic shelf labels, theft protection, and enterprise access points; smart home applications, comprising home automation/security systems, smart speakers, smart lighting, HVAC control, smart cameras, smart appliances, smart home sensing, smart locks, and window/blind controls; and connected health applications, including diabetes management, consumer health and fitness, elderly care, patient monitoring, and activity tracking; as well as in commercial building automation, consumer electronics, and medical instrumentation. The company sells its products through its direct sales force, as well as through a network of independent sales representatives and distributors. Silicon Laboratories Inc. was founded in 1996 and is headquartered in Austin, Texas.