Comparing Silicom (SILC) & Its Rivals

Silicom (NASDAQ:SILC) is one of 110 public companies in the “Communications Equipment” industry, but how does it contrast to its competitors? We will compare Silicom to related businesses based on the strength of its institutional ownership, earnings, dividends, risk, profitability, valuation and analyst recommendations.

Volatility & Risk

Silicom has a beta of 1.68, meaning that its stock price is 68% more volatile than the S&P 500. Comparatively, Silicom’s competitors have a beta of 1.17, meaning that their average stock price is 17% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Silicom	-8.47%	-6.31%	-4.65%
Silicom Competitors	5.57%	-5.33%	3.13%

Institutional and Insider Ownership

52.8% of Silicom shares are held by institutional investors. Comparatively, 44.4% of shares of all “Communications Equipment” companies are held by institutional investors. 25.4% of Silicom shares are held by insiders. Comparatively, 18.4% of shares of all “Communications Equipment” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

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

	Gross Revenue	Net Income	Price/Earnings Ratio
Silicom	$61.93 million	-$11.48 million	-25.91
Silicom Competitors	$2.74 billion	$292.54 million	4.72

Silicom’s competitors have higher revenue and earnings than Silicom. Silicom 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.

Analyst Ratings

This is a summary of current ratings for Silicom and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Silicom	1	0	1	0	2.00
Silicom Competitors	1077	4036	7105	383	2.54

Silicom currently has a consensus price target of $60.00, indicating a potential upside of 80.91%. As a group, “Communications Equipment” companies have a potential upside of 38.60%. Given Silicom’s higher probable upside, research analysts plainly believe Silicom is more favorable than its competitors.

Summary

Silicom competitors beat Silicom on 9 of the 13 factors compared.

About Silicom

Silicom Ltd. is an Israel-based technology company that designs and manufactures high-performance networking and data infrastructure solutions. Its products are used to improve network connectivity, traffic management, security, and processing in servers, appliances, and communications systems. The company’s product portfolio includes server and network interface adapters, bypass solutions, network appliances, packet-processing platforms, and other specialized connectivity products. Silicom also develops solutions for cloud computing, edge computing, cybersecurity, telecommunications, and service-provider applications, often working with original equipment manufacturers and system integrators.