Comparing Energous (NASDAQ:WATT) & MKS (NASDAQ:MKSI)

MKS (NASDAQ:MKSI) and Energous (NASDAQ:WATT) are both technology companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, profitability, earnings, institutional ownership and dividends.

Insider & Institutional Ownership

99.8% of MKS shares are owned by institutional investors. Comparatively, 4.3% of Energous shares are owned by institutional investors. 0.6% of MKS shares are owned by insiders. Comparatively, 0.2% of Energous shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Risk & Volatility

MKS has a beta of 2.03, indicating that its share price is 103% more volatile than the S&P 500. Comparatively, Energous has a beta of 1.51, indicating that its share price is 51% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and price targets for MKS and Energous, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MKS	1	2	12	1	2.81
Energous	1	1	0	0	1.50

MKS currently has a consensus target price of $375.93, suggesting a potential upside of 60.31%. Given MKS’s stronger consensus rating and higher possible upside, equities analysts clearly believe MKS is more favorable than Energous.

Profitability

This table compares MKS and Energous’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MKS	10.15%	24.72%	7.80%
Energous	-76.37%	-28.67%	-24.91%

Valuation and Earnings

This table compares MKS and Energous”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MKS	$3.93 billion	4.03	$295.00 million	$6.27	37.40
Energous	$10.48 million	4.71	-$9.59 million	($2.21)	-4.05

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

Summary

MKS beats Energous on 14 of the 15 factors compared between the two stocks.

About MKS

MKS Instruments, Inc. provides foundational technology solutions to semiconductor manufacturing, electronics and packaging, and specialty industrial applications in the United States, Germany, China, South Korea, and internationally. It operates through Vacuum Solutions Division (VSD), Photonics Solutions Division (PSD), and Material Solutions Division (MSD) segments. The VSD segment provides foundational technology solutions, including pressure measurement and control, flow measurement and control, gas and vapor delivery, gas composition analysis, electronic control technology, reactive gas generation and delivery, power generation and delivery, and vacuum technology. The PSD segment offers range of solutions, which include lasers, beam measurement and profiling, precision motion control, vibration isolation systems, photonics instruments, temperature sensing, opto-mechanical components, optical elements, systems for flexible PCB laser processing, and laser-based systems, as well as high density interconnect PCB and package manufacturing. The MSD segment develops, process, and manufactures technologies comprising advanced surface modification, electroless and electrolytic plating, and surface finishing for chemistry, equipment, software, and services markets, as well as high-technology applications. In addition, the company sells its products and services through direct sales, network of independent distributors, and sales representatives, as well as websites, including product catalogs. The company was incorporated in 1961 and is headquartered in Andover, Massachusetts.

About Energous

Energous Corporation provides wireless charging system solutions in the United States. The company develops WattUp wireless power networks technology that consists of semiconductor chipsets; software controls; hardware designs; and antennas that enables radio frequency-based charging for Internet of Things devices. Its products are used in asset trackers; sensors; retail displays; and security devices; smart home; medical; industrial; and other sensors; electronic shelf labeling; logistics and asset tracking tags and sensors; computer mice and keyboards; remote controls; gaming consoles and controllers; hearing aids; rechargeable batteries; automotive accessories; smart textiles; wearables; and medical devices. The company was formerly known as DvineWave Inc. and changed its name to Energous Corporation in January 2014. Energous Corporation was incorporated in 2012 and is headquartered in San Jose; California.