POET Technologies (NASDAQ:POET) and Intel (NASDAQ:INTC) Critical Contrast

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

Institutional & Insider Ownership

2.0% of POET Technologies shares are held by institutional investors. Comparatively, 64.5% of Intel shares are held by institutional investors. 0.5% of POET Technologies shares are held by company insiders. Comparatively, 0.0% of Intel shares are held 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 POET Technologies and Intel’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
POET Technologies	N/A	-194.16%	-132.32%
Intel	-35.32%	-3.27%	-1.83%

Valuation & Earnings

This table compares POET Technologies and Intel”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
POET Technologies	$119,946.00	2,518.89	-$20.27 million	($0.59)	-6.56
Intel	$53.10 billion	1.97	-$18.76 billion	($4.38)	-5.51

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

Analyst Ratings

This is a breakdown of current ratings for POET Technologies and Intel, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
POET Technologies	0	0	2	1	3.33
Intel	3	28	1	0	1.94

POET Technologies currently has a consensus price target of $6.25, suggesting a potential upside of 61.50%. Intel has a consensus price target of $27.04, suggesting a potential upside of 12.11%. Given POET Technologies’ stronger consensus rating and higher probable upside, equities analysts clearly believe POET Technologies is more favorable than Intel.

Volatility and Risk

POET Technologies has a beta of 0.6, meaning that its share price is 40% less volatile than the S&P 500. Comparatively, Intel has a beta of 1.02, meaning that its share price is 2% more volatile than the S&P 500.

Summary

POET Technologies beats Intel on 9 of the 15 factors compared between the two stocks.

About POET Technologies

POET Technologies Inc. designs, develops, manufactures, and sells discrete and integrated opto-electronic solutions in Canada, the United States, Singapore, and China. It offers integration solutions based on the POET Optical Interposer, a novel platform that allows the seamless integration of electronic and photonic devices into a single multi-chip module using advanced wafer-level semiconductor manufacturing techniques. It also develops photonic integrated components. The company serves the data center, telecommunications, Internet of things and industrial sensing, automotive LIDAR, optical coherence tomography for medical devices, and virtual reality systems markets. The company was formerly known as Opel Technologies Inc. and changed its name to POET Technologies Inc. in June 2013. POET Technologies Inc. was incorporated in 1972 and is headquartered in Toronto, Canada.

About Intel

Intel Corporation designs, develops, manufactures, markets, and sells computing and related products and services worldwide. It operates through Client Computing Group, Data Center and AI, Network and Edge, Mobileye, and Intel Foundry Services segments. The company's products portfolio comprises central processing units and chipsets, system-on-chips (SoCs), and multichip packages; mobile and desktop processors; hardware products comprising graphics processing units (GPUs), domain-specific accelerators, and field programmable gate arrays (FPGAs); and memory and storage, connectivity and networking, and other semiconductor products. It also offers silicon devices and software products; and optimization solutions for workloads, such as AI, cryptography, security, storage, networking, and leverages various features supporting diverse compute environments. In addition, the company develops and deploys advanced driver assistance systems (ADAS), and autonomous driving technologies and solutions; and provides advanced process technologies backed by an ecosystem of IP, EDA, and design services, as well as systems of chips, including advanced packaging technologies, software and accelerate bring-up, and integration of chips and driving standards. Further, it delivers and deploys intelligent edge platforms that allow developers to achieve agility and drive automation using AI for efficient operations with data integrity, as well as provides hardware and software platforms, tools, and ecosystem partnerships for digital transformation from the cloud to edge. The company serves original equipment manufacturers, original design manufacturers, cloud service providers, and other manufacturers and service providers. It has a strategic agreement with Synopsys, Inc. to develop EDA and IP solutions; and ARM that enables chip designers to build optimized compute SoCs on the Intel 18A process. Intel Corporation was incorporated in 1968 and is headquartered in Santa Clara, California.