TDK (OTCMKTS:TTDKY – Get Free Report) and Super Micro Computer (NASDAQ:SMCI – Get Free Report) are both large-cap technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, analyst recommendations, institutional ownership, profitability, valuation, dividends and risk.
Valuation & Earnings
This table compares TDK and Super Micro Computer”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| TDK | $16.64 billion | 2.09 | $1.29 billion | $0.68 | 26.35 |
| Super Micro Computer | $39.06 billion | 0.60 | $2.23 billion | $3.20 | 11.19 |
Super Micro Computer has higher revenue and earnings than TDK. Super Micro Computer is trading at a lower price-to-earnings ratio than TDK, indicating that it is currently the more affordable of the two stocks.
Volatility & Risk
TDK has a beta of 1.36, suggesting that its share price is 36% more volatile than the S&P 500. Comparatively, Super Micro Computer has a beta of 2.02, suggesting that its share price is 102% more volatile than the S&P 500.
Insider and Institutional Ownership
84.1% of Super Micro Computer shares are held by institutional investors. 0.0% of TDK shares are held by company insiders. Comparatively, 16.1% of Super Micro Computer shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.
Profitability
This table compares TDK and Super Micro Computer’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| TDK | 7.87% | 9.15% | 4.48% |
| Super Micro Computer | 5.71% | 27.83% | 9.11% |
Analyst Ratings
This is a breakdown of recent recommendations and price targets for TDK and Super Micro Computer, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| TDK | 0 | 0 | 0 | 2 | 4.00 |
| Super Micro Computer | 2 | 12 | 4 | 0 | 2.11 |
Super Micro Computer has a consensus target price of $43.07, indicating a potential upside of 20.26%. Given Super Micro Computer’s higher probable upside, analysts plainly believe Super Micro Computer is more favorable than TDK.
Summary
Super Micro Computer beats TDK on 10 of the 15 factors compared between the two stocks.
About TDK
TDK Corporation, together with its subsidiaries, engages in manufacture and sale of electronic components in Japan, Europe, China, Asia, the Americas, and internationally. The company operates through Passive Components, Sensor Application Products, Magnetic Application Products, Energy Application Products, and Other segments. The Passive Components segment offers ceramic capacitors, aluminum electrolytic capacitors, film capacitors, high-frequency components, piezoelectric materials, and circuit protection components, as well as inductive devices, including ferrite cores, coils, and transformers. The Sensor Application Products segment provides temperature and pressure, magnetic, and MEMS sensors. The Magnetic Application Products segment offers hard disk drives (HDD) heads, HDD suspension assemblies, and magnets. The Energy Application Products segment provides energy devices comprising rechargeable batteries, and power supplies. The Other segment provides mechatronics production equipment and camera module micro actuators for smartphones and other products. The company also engages in engages in insurance and real estate agency businesses. The company was formerly known as Tokyo Denki Kagaku Kogyo K.K. and changed its name to TDK Corporation in 1983. TDK Corporation was founded in 1935 and is headquartered in Tokyo, Japan.
About Super Micro Computer
Super Micro Computer, Inc., together with its subsidiaries, develops and manufactures high performance server and storage solutions based on modular and open architecture in the United States, Europe, Asia, and internationally. Its solutions range from complete server, storage systems, modular blade servers, blades, workstations, full racks, networking devices, server sub-systems, server management software, and security software. The company provides application-optimized server solutions, rackmount and blade servers, storage, and subsystems and accessories; and server software management solutions, such as Server Management Suite, including Supermicro Server Manager, Supermicro Power Management software, Supermicro Update Manager, SuperCloud Composer, and SuperDoctor 5. In addition, it offers server subsystems and accessories comprising server boards, chassis, power supplies, and other accessories. Further, the company provides server and storage system integration, configuration, and software upgrade and update services; and technical documentation services, as well as identifies service requirements, creates and executes project plans, and conducts verification testing and technical documentation, and training services. Additionally, it offers help desk and on-site product support services for its server and storage systems; and customer support services, including ongoing maintenance and technical support for its products. The company provides its products to enterprise data centers, cloud computing, artificial intelligence, and 5G and edge computing markets. It sells its products through direct and indirect sales force, distributors, value-added resellers, system integrators, and original equipment manufacturers. The company was incorporated in 1993 and is headquartered in San Jose, California.
Receive News & Ratings for TDK Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for TDK and related companies with MarketBeat.com's FREE daily email newsletter.
