SkyWater Technology (NASDAQ:SKYT) & First Solar (NASDAQ:FSLR) Head-To-Head Comparison

SkyWater Technology (NASDAQ:SKYT) and First Solar (NASDAQ:FSLR) are both computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, earnings, profitability, risk, institutional ownership, analyst recommendations and dividends.

Profitability

This table compares SkyWater Technology and First Solar’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SkyWater Technology	-10.73%	-32.59%	-6.66%
First Solar	28.75%	16.24%	10.61%

Institutional & Insider Ownership

70.0% of SkyWater Technology shares are owned by institutional investors. Comparatively, 92.1% of First Solar shares are owned by institutional investors. 42.5% of SkyWater Technology shares are owned by insiders. Comparatively, 0.6% of First Solar shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares SkyWater Technology and First Solar’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SkyWater Technology	$300.22 million	1.23	-$30.76 million	($0.69)	-11.28
First Solar	$3.32 billion	8.46	$830.78 million	$9.54	27.50

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

Analyst Ratings

This is a summary of current ratings for SkyWater Technology and First Solar, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SkyWater Technology	0	0	4	0	3.00
First Solar	0	4	21	0	2.84

SkyWater Technology currently has a consensus price target of $13.25, indicating a potential upside of 70.31%. First Solar has a consensus price target of $265.72, indicating a potential upside of 1.28%. Given SkyWater Technology’s stronger consensus rating and higher probable upside, research analysts plainly believe SkyWater Technology is more favorable than First Solar.

Risk & Volatility

SkyWater Technology has a beta of 3.97, suggesting that its stock price is 297% more volatile than the S&P 500. Comparatively, First Solar has a beta of 1.48, suggesting that its stock price is 48% more volatile than the S&P 500.

Summary

First Solar beats SkyWater Technology on 10 of the 14 factors compared between the two stocks.

About SkyWater Technology

SkyWater Technology, Inc., together with its subsidiaries, operates as a pure-play technology foundry that engages in the provision of semiconductor development, manufacturing, and packaging services in the United States. The company offers engineering and process development support services to co-create technologies with customers; and semiconductor manufacturing services for various silicon-based analog and mixed-signal, micro-electromechanical systems, and rad-hard integrated circuits. It serves customers operating in the computation, aerospace and defense, automotive, bio-health, consumer, and industrial sectors. The company was incorporated in 2016 and is headquartered in Bloomington, Minnesota.

About First Solar

First Solar, Inc., a solar technology company, provides photovoltaic (PV) solar energy solutions in the United States, France, Japan, Chile, and internationally. The company manufactures and sells PV solar modules with a thin film semiconductor technology that provides a lower-carbon alternative to conventional crystalline silicon PV solar modules. It designs, manufactures, and sells cadmium telluride solar modules that converts sunlight into electricity. The company's residual business operations include project development activities, operations and maintenance services, and the sale of PV solar power systems to third-party customers. It serves developers and operators of systems, utilities, independent power producers, commercial and industrial companies, and other system owners. The company was formerly known as First Solar Holdings, Inc. and changed its name to First Solar, Inc. in 2006. First Solar, Inc. was founded in 1999 and is headquartered in Tempe, Arizona.