Comparing Chipmos Technologies (IMOS) and Brooks Automation (BRKS)

Chipmos Technologies (NASDAQ: IMOS) and Brooks Automation (NASDAQ:BRKS) are both computer and technology companies, but which is the better stock? We will compare the two companies based on the strength of their risk, profitability, earnings, institutional ownership, analyst recommendations, valuation and dividends.

Insider and Institutional Ownership

19.3% of Chipmos Technologies shares are owned by institutional investors. Comparatively, 89.8% of Brooks Automation shares are owned by institutional investors. 2.2% of Brooks Automation shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares Chipmos Technologies and Brooks Automation’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Chipmos Technologies $617.49 million 27.28 $184.54 million $2.52 7.81
Brooks Automation $668.56 million 3.36 $95.89 million $0.80 41.78

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

Analyst Ratings

This is a breakdown of recent ratings and target prices for Chipmos Technologies and Brooks Automation, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Chipmos Technologies 0 0 0 0 N/A
Brooks Automation 0 2 4 0 2.67

Brooks Automation has a consensus target price of $30.17, indicating a potential downside of 9.73%. Given Brooks Automation’s higher possible upside, analysts plainly believe Brooks Automation is more favorable than Chipmos Technologies.

Volatility & Risk

Chipmos Technologies has a beta of 0.46, suggesting that its share price is 54% less volatile than the S&P 500. Comparatively, Brooks Automation has a beta of 1.1, suggesting that its share price is 10% more volatile than the S&P 500.

Dividends

Chipmos Technologies pays an annual dividend of $1.49 per share and has a dividend yield of 7.6%. Brooks Automation pays an annual dividend of $0.40 per share and has a dividend yield of 1.2%. Chipmos Technologies pays out 59.1% of its earnings in the form of a dividend. Brooks Automation pays out 50.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Profitability

This table compares Chipmos Technologies and Brooks Automation’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Chipmos Technologies 19.20% 9.74% 5.09%
Brooks Automation 8.34% 11.25% 8.96%

Summary

Brooks Automation beats Chipmos Technologies on 10 of the 15 factors compared between the two stocks.

Chipmos Technologies Company Profile

ChipMOS TECHNOLOGIES INC is a Taiwan-based company principally engaged in the integrated circuits packaging and testing business. The Company mainly provides thin small outline packaging (TSOP), fine-pitch ball grid array (FBGA) packaging, tape carrier packaging (TCP) and chip on film (COF) packaging services, as well as gold bumping services, among others. The Company’s products and services are used in information products, personal computers, communications equipment, office automation and consumer electronics. It mainly operates its business within domestic market, and in overseas markets, including the rest of Asia and the Americas.

Brooks Automation Company Profile

Brooks Automation, Inc. is a provider of automation and cryogenic solutions for various applications and markets. The Company operates through two segments: Brooks Semiconductor Solutions Group and Brooks Life Science Systems. The Brooks Semiconductor Solutions Group segment offers critical automated transport, vacuum and contamination controls solutions and services. Its product offerings include robots and integrated automation systems for handling of substrates. It is also a provider of cryogenic components to create vacuum and thermal stability within critical operating environments in the manufacturing process. It also offers equipment for automated contamination control, conditioning and metrology solutions for wafer and reticle carriers. The Brooks Life Science Systems segment offers sample life cycle management solutions that provide life science and bioscience customers with a range of sample management solutions for scientific research and support drug development.

What are top analysts saying about Chipmos Technologies Ltd.? - Enter your email address in the form below to receive our free daily email newsletter that contains the latest headlines and analysts' recommendations for for Chipmos Technologies Ltd. and related companies.

Comments

Leave a Reply


share news on Facebook
tweet this investment news
share on linkedin
share on StockTwits
share on Google Plus
share on reddit