Financial Comparison: SEALSQ (NASDAQ:LAES) versus Navitas Semiconductor (NASDAQ:NVTS)

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

Risk and Volatility

SEALSQ has a beta of -13.03, meaning that its share price is 1,403% less volatile than the S&P 500. Comparatively, Navitas Semiconductor has a beta of 3.01, meaning that its share price is 201% more volatile than the S&P 500.

Valuation and Earnings

This table compares SEALSQ and Navitas Semiconductor”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SEALSQ	$10.98 million	33.58	-$21.20 million	N/A	N/A
Navitas Semiconductor	$74.15 million	20.59	-$84.60 million	($0.52)	-15.31

SEALSQ has higher earnings, but lower revenue than Navitas Semiconductor.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for SEALSQ and Navitas Semiconductor, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SEALSQ	0	0	1	0	3.00
Navitas Semiconductor	1	1	4	0	2.50

SEALSQ presently has a consensus target price of $1.75, indicating a potential downside of 41.28%. Navitas Semiconductor has a consensus target price of $3.71, indicating a potential downside of 53.41%. Given SEALSQ’s stronger consensus rating and higher possible upside, analysts plainly believe SEALSQ is more favorable than Navitas Semiconductor.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
SEALSQ	N/A	N/A	N/A
Navitas Semiconductor	-131.83%	-22.62%	-20.38%

Insider & Institutional Ownership

1.3% of SEALSQ shares are owned by institutional investors. Comparatively, 46.1% of Navitas Semiconductor shares are owned by institutional investors. 29.9% of Navitas Semiconductor shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

SEALSQ beats Navitas Semiconductor on 7 of the 12 factors compared between the two stocks.

About SEALSQ

SEALSQ Corp, together with its subsidiaries, designs, develops, and markets semiconductor chips in Europe, the Middle East, Africa, North America, the Asia Pacific, and Latin America. It offers semiconductors, such as VaultIC secure elements, secure arm platform, and smart card reader chips; identity provisioning services, such as IoT device provisioning and chip provisioning; and managed PKI for IoT solutions and trust services. The company provides device-to-cloud authentication, device attestation for matter, GSMA root certificate, device-to-device authentication, data protection, anti-counterfeiting and brand protection, security access, device ID provisioning, identity lifecycle management, and satellite IoT connectivity solutions. Its products are used in various applications, such as smart energy, smart home, automotive EV charging, consumer IoT, aerospace and military, telecommunications, logistics, medical, luxury, and other industrial applications. SEALSQ Corp was founded in 2022 and is based in Cointrin, Switzerland.

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.