Head-To-Head Contrast: SiTime (NASDAQ:SITM) and Hon Hai Precision Industry Co., Ltd. Sponsored GDR (OTCMKTS:HNHPF)

Hon Hai Precision Industry Co., Ltd. Sponsored GDR (OTCMKTS:HNHPF) and SiTime (NASDAQ:SITM) are both computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, profitability, earnings, valuation, dividends, institutional ownership and risk.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Hon Hai Precision Industry Co., Ltd. Sponsored GDR and SiTime, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hon Hai Precision Industry Co., Ltd. Sponsored GDR	0	0	1	0	3.00
SiTime	1	1	7	0	2.67

SiTime has a consensus price target of $409.38, suggesting a potential upside of 2.89%. Given SiTime’s higher possible upside, analysts plainly believe SiTime is more favorable than Hon Hai Precision Industry Co., Ltd. Sponsored GDR.

Earnings and Valuation

This table compares Hon Hai Precision Industry Co., Ltd. Sponsored GDR and SiTime”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hon Hai Precision Industry Co., Ltd. Sponsored GDR	$213.33 billion	N/A	$4.75 billion	N/A	N/A
SiTime	$326.66 million	32.03	-$42.90 million	($1.82)	-218.62

Hon Hai Precision Industry Co., Ltd. Sponsored GDR has higher revenue and earnings than SiTime.

Institutional and Insider Ownership

84.3% of SiTime shares are held by institutional investors. 2.1% of SiTime shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Volatility & Risk

Hon Hai Precision Industry Co., Ltd. Sponsored GDR has a beta of 0.87, meaning that its share price is 13% less volatile than the S&P 500. Comparatively, SiTime has a beta of 2.51, meaning that its share price is 151% more volatile than the S&P 500.

Profitability

This table compares Hon Hai Precision Industry Co., Ltd. Sponsored GDR and SiTime’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hon Hai Precision Industry Co., Ltd. Sponsored GDR	2.46%	11.43%	4.68%
SiTime	-13.13%	-2.06%	-1.77%

Summary

Hon Hai Precision Industry Co., Ltd. Sponsored GDR beats SiTime on 6 of the 11 factors compared between the two stocks.

About Hon Hai Precision Industry Co., Ltd. Sponsored GDR

Hon Hai Precision Industry Co., Ltd. provides electronic OEM services. The company offers consumer electronics comprising of television sets, game consoles, set-top boxes, and speakers. It also provides cloud networking products consisting of routers, servers, edge computing, data centers, and satellite communications and other related equipment. In addition, the company offers desktop computers, notebook computers, tablets, business machines, printers, etc. Further, it provides connectors, precision optical components, lenses, electronic components, semiconductor products, automotive electronic parts, cutting tools/mold fixtures, and mechanical equipment. The company operates in Taiwan, Mainland China, India, Japan, Vietnam, Malaysia, Singapore, the Czech Republic, Hungary, Slovakia, the United States, Brazil, and Mexico. Hon Hai Precision Industry Co., Ltd. was founded in 1974 and is headquartered in New Taipei City, Taiwan.

About SiTime

SiTime Corporation designs, develops, and sells silicon timing systems solutions in Taiwan, Hong Kong, the United States, Singapore, and internationally. The company provides resonators and clock integrated circuits, and various types of oscillators. It serves various markets, including communications, datacenter, enterprise, automotive, industrial, internet of things, mobile, consumer, and aerospace and defense. The company sells its products directly to customers, distributors, and resellers. SiTime Corporation was incorporated in 2003 and is based in Santa Clara, California.