AXT (NASDAQ:AXTI) and Maxeon Solar Technologies (NASDAQ:MAXN) Financial Review

AXT (NASDAQ:AXTIGet Free Report) and Maxeon Solar Technologies (NASDAQ:MAXNGet Free Report) are both small-cap computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, analyst recommendations, earnings, profitability, valuation, risk and institutional ownership.

Volatility & Risk

AXT has a beta of 2.28, meaning that its share price is 128% more volatile than the S&P 500. Comparatively, Maxeon Solar Technologies has a beta of 1.62, meaning that its share price is 62% more volatile than the S&P 500.

Profitability

This table compares AXT and Maxeon Solar Technologies’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
AXT -21.01% -7.40% -4.76%
Maxeon Solar Technologies -13.56% -115.75% -12.51%

Valuation and Earnings

This table compares AXT and Maxeon Solar Technologies’ revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
AXT $75.79 million 2.07 -$17.88 million ($0.40) -8.85
Maxeon Solar Technologies $1.06 billion 0.13 -$267.42 million ($3.62) -0.71

AXT has higher earnings, but lower revenue than Maxeon Solar Technologies. AXT is trading at a lower price-to-earnings ratio than Maxeon Solar Technologies, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

49.5% of AXT shares are owned by institutional investors. Comparatively, 47.7% of Maxeon Solar Technologies shares are owned by institutional investors. 8.4% of AXT shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and target prices for AXT and Maxeon Solar Technologies, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
AXT 0 0 4 0 3.00
Maxeon Solar Technologies 1 7 1 0 2.00

AXT presently has a consensus price target of $5.38, suggesting a potential upside of 51.84%. Maxeon Solar Technologies has a consensus price target of $6.59, suggesting a potential upside of 157.57%. Given Maxeon Solar Technologies’ higher possible upside, analysts plainly believe Maxeon Solar Technologies is more favorable than AXT.

Summary

AXT beats Maxeon Solar Technologies on 10 of the 14 factors compared between the two stocks.

About AXT

(Get Free Report)

AXT, Inc. designs, develops, manufactures, and distributes compound and single element semiconductor substrates. The company offers indium phosphide for use in data center connectivity using light/lasers, high-speed data transfer in data centers, 5G communications, fiber optic lasers and detectors, consumer devices, passive optical networks, silicon photonics, photonic integrated circuits, thermo-photovoltaics, RF amplifier and switching, infrared light-emitting diode (LEDS) motion control, lidar for robotics and autonomous vehicles, and infrared thermal imaging. It also provides semi-insulating gallium arsenide (GaAs) substrates for use in Wi-Fi and IoT devices, transistors, direct broadcast television, power amplifiers, satellite communications, and solar cells; and semi-conducting GaAs substrates that are used in LEDs, screen displays using micro-LEDs, printer head lasers and LEDs, 3-D sensing using VCSELs, data center communication using VCSELs, sensors for industrial robotics/near-infrared sensors, optical couplers, solar cells, night vision goggles, lidar for robotics and autonomous vehicles, and other lasers, as well as laser machining, cutting, and drilling. In addition, the company offers germanium substrates for use in multi-junction solar cells for satellites, optical sensors and detectors, terrestrial concentrated photo voltaic cells, infrared detectors, and carrier wafer for LED. Further, it provides 6N+ and 7N+ purified gallium, boron trioxide, gallium-magnesium alloy, pyrolytic boron nitride (pBN) crucibles, and pBN insulating parts. It sells its products through direct salesforce in the United States, China, and Europe, as well as through independent sales representatives and distributors in Japan, Taiwan, Korea, and internationally. The company was formerly known as American Xtal Technology, Inc. and changed its name to AXT, Inc. in July 2000. AXT, Inc. was incorporated in 1986 and is headquartered in Fremont, California.

About Maxeon Solar Technologies

(Get Free Report)

Maxeon Solar Technologies, Ltd. designs, manufactures, markets, and sells solar panels and related solar system components worldwide. The company provides interdigitated back contact and shingled solar cells and panels under the SunPower brand. It offers its products to dealers, project developers, system integrators, distributors, resellers, and residential and small-scale commercial customers. The company was incorporated in 2019 and is headquartered in Singapore.

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