Head to Head Analysis: Cohu (COHU) and Its Rivals

Cohu (NASDAQ:COHU) is one of 221 public companies in the “Semiconductors & Semiconductor Equipment” industry, but how does it weigh in compared to its competitors? We will compare Cohu to similar businesses based on the strength of its valuation, dividends, institutional ownership, risk, earnings, analyst recommendations and profitability.

Profitability

This table compares Cohu and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cohu	-3.97%	1.47%	0.91%
Cohu Competitors	-1,278.97%	-126.37%	-3.98%

Insider and Institutional Ownership

94.7% of Cohu shares are held by institutional investors. Comparatively, 54.6% of shares of all “Semiconductors & Semiconductor Equipment” companies are held by institutional investors. 3.0% of Cohu shares are held by company insiders. Comparatively, 11.9% of shares of all “Semiconductors & Semiconductor Equipment” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Cohu and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Cohu	$452.96 million	-$74.27 million	-74.02
Cohu Competitors	$39.42 billion	$2.48 billion	8.71

Cohu’s competitors have higher revenue and earnings than Cohu. Cohu is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Volatility and Risk

Cohu has a beta of 1.6, indicating that its share price is 60% more volatile than the S&P 500. Comparatively, Cohu’s competitors have a beta of 2.80, indicating that their average share price is 180% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Cohu and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cohu	1	1	7	1	2.80
Cohu Competitors	3505	12358	25781	999	2.57

Cohu currently has a consensus price target of $74.38, indicating a potential upside of 93.23%. As a group, “Semiconductors & Semiconductor Equipment” companies have a potential upside of 54.17%. Given Cohu’s stronger consensus rating and higher possible upside, equities analysts clearly believe Cohu is more favorable than its competitors.

Summary

Cohu beats its competitors on 8 of the 13 factors compared.

Cohu Company Profile

Cohu, Inc., through its subsidiaries, provides semiconductor test equipment and services in China, the United States, Taiwan, Malaysia, the Philippines, and internationally. The company supplies semiconductor test and inspection handlers, micro-electromechanical system (MEMS) test modules, test contactors, thermal sub-systems, and semiconductor automated test equipment for semiconductor manufacturers and test subcontractors. It also provides semiconductor automated test equipment for wafer level and device package testing; various test handlers, including pick-and-place, turret, gravity, strip, and MEMS and thermal sub-systems; interface products comprising test contactors, and probe heads and pins; spares and kits; various parts and labor warranties on test and handling systems, and instruments; and training on the maintenance and operation of its systems, as well as application, data management software, and consulting services on its products. In addition, the company offers data analytics product that includes DI-Core, a software suite used to optimize Cohu equipment performance, which provides real-time online performance monitoring and process control. It markets its products through direct sales force and independent sales representatives. The company was formerly known as Cohu Electronics, Inc. and changed its name to Cohu, Inc. in 1972. The company was incorporated in 1947 and is headquartered in Poway, California.