Reviewing KLA (NASDAQ:KLAC) & Greenland Technologies (NASDAQ:GTEC)

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

Analyst Ratings

This is a summary of recent ratings and recommmendations for KLA and Greenland Technologies, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
KLA	0	10	20	0	2.67
Greenland Technologies	1	0	0	0	1.00

KLA presently has a consensus price target of $342.44, indicating a potential upside of 32.67%. Given KLA’s stronger consensus rating and higher probable upside, analysts plainly believe KLA is more favorable than Greenland Technologies.

Profitability

This table compares KLA and Greenland Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
KLA	35.66%	91.89%	29.21%
Greenland Technologies	6.27%	8.54%	4.75%

Volatility & Risk

KLA has a beta of 1.5, suggesting that its share price is 50% more volatile than the S&P 500. Comparatively, Greenland Technologies has a beta of 0.11, suggesting that its share price is 89% less volatile than the S&P 500.

Institutional and Insider Ownership

86.7% of KLA shares are owned by institutional investors. Comparatively, 10.9% of Greenland Technologies shares are owned by institutional investors. 91.5% of KLA shares are owned by company insiders. Comparatively, 36.9% of Greenland Technologies shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
KLA	$13.10 billion	25.75	$4.06 billion	$3.53	73.12
Greenland Technologies	$90.69 million	0.14	$4.93 million	$0.25	2.41

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

Summary

KLA beats Greenland Technologies on 14 of the 14 factors compared between the two stocks.

About KLA

KLA Corporation, together with its subsidiaries, engages in the design, manufacture, and marketing of process control, process-enabling, and yield management solutions for the semiconductor and related electronics industries worldwide. It operates through three segments: Semiconductor Process Control; Specialty Semiconductor Process; and PCB and Component Inspection. The company offers inspection and review tools to identify, locate, characterize, review, and analyze defects on various surfaces of patterned and unpatterned wafers; metrology systems that are used to measure pattern dimensions, film thickness, film stress, layer-to-layer alignment, pattern placement, surface topography, and electro-optical properties for wafers; chemical process control equipment; wired and wireless sensor wafers and reticles; wafer defect inspection, review, and metrology systems; reticle inspection and metrology systems; and semiconductor software solutions that provide run-time process control, defect excursion identification, process corrections, and defect classification to accelerate yield learning rates and reduce production risk. It also provides etch, plasma dicing, deposition, and other wafer processing technologies and solutions for the semiconductor and microelectronics industry. In addition, the company offers direct imaging, inspection, optical shaping, inkjet and additive printing, UV laser drilling, and computer-aided manufacturing and engineering solutions for the PCB market; inspection and electrical testing systems to identify and classify defects, as well as systems to repair defects for the display market; and inspection and metrology systems for quality control and yield improvement in advanced and traditional semiconductor packaging markets. The company was formerly known as KLA-Tencor Corporation and changed its name to KLA Corporation in July 2019. KLA Corporation was incorporated in 1975 and is headquartered in Milpitas, California.

About Greenland Technologies

Greenland Technologies Holding Corporation designs, develops, manufactures, and sells components and products for material handling industries worldwide. The company offers transmission products, such as transmission systems and integrated powertrain primarily for electric forklift trucks; electric industrial heavy equipment, including electric wheeled front loader, electric excavator, and electric lithium forklifts; and provides charging solutions. Its products are used in manufacturing and logistic applications, such as factories, workshops, warehouses, fulfillment centers, shipyards, and seaports. Greenland Technologies Holding Corporation was and is headquartered in East Windsor, New Jersey.