Nano Labs (NASDAQ:NA) versus Applied Materials (NASDAQ:AMAT) Head-To-Head Review

Applied Materials (NASDAQ:AMAT) and Nano Labs (NASDAQ:NA) are both computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their earnings, valuation, risk, institutional ownership, dividends, profitability and analyst recommendations.

Risk and Volatility

Applied Materials has a beta of 1.56, suggesting that its stock price is 56% more volatile than the S&P 500. Comparatively, Nano Labs has a beta of 2.08, suggesting that its stock price is 108% more volatile than the S&P 500.

Earnings and Valuation

This table compares Applied Materials and Nano Labs’ revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Applied Materials	$26.50 billion	7.60	$6.86 billion	$8.70	27.97
Nano Labs	$11.06 million	1.04	-$35.70 million	N/A	N/A

Applied Materials has higher revenue and earnings than Nano Labs.

Profitability

This table compares Applied Materials and Nano Labs’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Applied Materials	27.57%	41.22%	22.18%
Nano Labs	N/A	N/A	N/A

Institutional & Insider Ownership

80.6% of Applied Materials shares are owned by institutional investors. Comparatively, 50.7% of Nano Labs shares are owned by institutional investors. 0.3% of Applied Materials shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Applied Materials and Nano Labs, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Applied Materials	0	6	19	0	2.76
Nano Labs	0	0	0	0	N/A

Applied Materials currently has a consensus target price of $221.84, indicating a potential downside of 8.82%. Given Applied Materials’ higher probable upside, equities research analysts clearly believe Applied Materials is more favorable than Nano Labs.

Summary

Applied Materials beats Nano Labs on 10 of the 11 factors compared between the two stocks.

About Applied Materials

Applied Materials, Inc. engages in the provision of manufacturing equipment, services, and software to the semiconductor, display, and related industries. The company operates through three segments: Semiconductor Systems, Applied Global Services, and Display and Adjacent Markets. The Semiconductor Systems segment develops, manufactures, and sells various manufacturing equipment that is used to fabricate semiconductor chips or integrated circuits. This segment also offers various technologies, including epitaxy, ion implantation, oxidation/nitridation, rapid thermal processing, physical vapor deposition, chemical vapor deposition, chemical mechanical planarization, electrochemical deposition, atomic layer deposition, etching, and selective deposition and removal, as well as metrology and inspection tools. The Applied Global Services segment provides integrated solutions to optimize equipment and fab performance and productivity comprising spares, upgrades, services, remanufactured earlier generation equipment, and factory automation software for semiconductor, display, and other products. The Display and Adjacent Markets segment offers products for manufacturing liquid crystal displays; organic light-emitting diodes; and other display technologies for TVs, monitors, laptops, personal computers, electronic tablets, smart phones, and other consumer-oriented devices. It operates in the United States, China, Korea, Taiwan, Japan, Southeast Asia, and Europe. The company was incorporated in 1967 and is headquartered in Santa Clara, California.

About Nano Labs

Nano Labs Ltd operates as a fabless integrated circuit design company and product solution provider in the People's Republic of China and internationally. It develops high throughput computing and high-performance computing chips. The company also offers distributed computing and storage solutions, smart network interface cards, and vision computing chips, as well as distributed rendering technology. In addition, it engages in the research and development of software. Its customers include enterprises and individual buyers. The company was founded in 2019 and is headquartered in Hangzhou, the People's Republic of China.