Seek Returns logo

ALAB vs. OLED: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at ALAB and OLED, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

ALAB’s market capitalization of 14.97 billion USD is substantially larger than OLED’s 7.61 billion USD, indicating a significant difference in their market valuations.

With betas of 1.40 for ALAB and 1.51 for OLED, both stocks show similar sensitivity to overall market movements.

SymbolALABOLED
Company NameAstera Labs, Inc. Common StockUniversal Display Corporation
CountryUSUS
SectorTechnologyTechnology
IndustrySemiconductorsSemiconductors
CEOJitendra MohanSteven V. Abramson
Price90.8 USD160.11 USD
Market Cap14.97 billion USD7.61 billion USD
Beta1.401.51
ExchangeNASDAQNASDAQ
IPO DateMarch 20, 2024April 11, 1996
ADRNoNo

Historical Performance

This chart compares the performance of ALAB and OLED by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ALAB vs. OLED: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ALAB

4.43%

Semiconductors Industry

Max
41.84%
Q3
15.81%
Median
6.31%
Q1
-5.54%
Min
-30.12%

ALAB’s Return on Equity of 4.43% is on par with the norm for the Semiconductors industry, indicating its profitability relative to shareholder equity is typical for the sector.

OLED

14.37%

Semiconductors Industry

Max
41.84%
Q3
15.81%
Median
6.31%
Q1
-5.54%
Min
-30.12%

OLED’s Return on Equity of 14.37% is on par with the norm for the Semiconductors industry, indicating its profitability relative to shareholder equity is typical for the sector.

ALAB vs. OLED: A comparison of their ROE against the Semiconductors industry benchmark.

Return on Invested Capital

ALAB

-4.25%

Semiconductors Industry

Max
30.91%
Q3
11.34%
Median
4.08%
Q1
-2.17%
Min
-19.59%

ALAB has a negative Return on Invested Capital of -4.25%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.

OLED

12.99%

Semiconductors Industry

Max
30.91%
Q3
11.34%
Median
4.08%
Q1
-2.17%
Min
-19.59%

In the upper quartile for the Semiconductors industry, OLED’s Return on Invested Capital of 12.99% signifies a highly effective use of its capital to generate profits when compared to its peers.

ALAB vs. OLED: A comparison of their ROIC against the Semiconductors industry benchmark.

Net Profit Margin

ALAB

8.44%

Semiconductors Industry

Max
51.69%
Q3
19.67%
Median
8.56%
Q1
-5.44%
Min
-38.60%

ALAB’s Net Profit Margin of 8.44% is aligned with the median group of its peers in the Semiconductors industry. This indicates its ability to convert revenue into profit is typical for the sector.

OLED

35.39%

Semiconductors Industry

Max
51.69%
Q3
19.67%
Median
8.56%
Q1
-5.44%
Min
-38.60%

A Net Profit Margin of 35.39% places OLED in the upper quartile for the Semiconductors industry, signifying strong profitability and more effective cost management than most of its peers.

ALAB vs. OLED: A comparison of their Net Profit Margin against the Semiconductors industry benchmark.

Operating Profit Margin

ALAB

-4.45%

Semiconductors Industry

Max
58.03%
Q3
22.12%
Median
8.40%
Q1
-3.73%
Min
-36.14%

ALAB has a negative Operating Profit Margin of -4.45%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

OLED

37.86%

Semiconductors Industry

Max
58.03%
Q3
22.12%
Median
8.40%
Q1
-3.73%
Min
-36.14%

An Operating Profit Margin of 37.86% places OLED in the upper quartile for the Semiconductors industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ALAB vs. OLED: A comparison of their Operating Margin against the Semiconductors industry benchmark.

Profitability at a Glance

SymbolALABOLED
Return on Equity (TTM)4.43%14.37%
Return on Assets (TTM)3.69%12.31%
Return on Invested Capital (TTM)-4.25%12.99%
Net Profit Margin (TTM)8.44%35.39%
Operating Profit Margin (TTM)-4.45%37.86%
Gross Profit Margin (TTM)75.76%75.49%

Financial Strength

Current Ratio

ALAB

13.92

Semiconductors Industry

Max
9.10
Q3
5.23
Median
3.09
Q1
2.49
Min
1.02

ALAB’s Current Ratio of 13.92 is exceptionally high, placing it well outside the typical range for the Semiconductors industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

OLED

9.00

Semiconductors Industry

Max
9.10
Q3
5.23
Median
3.09
Q1
2.49
Min
1.02

OLED’s Current Ratio of 9.00 is in the upper quartile for the Semiconductors industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

ALAB vs. OLED: A comparison of their Current Ratio against the Semiconductors industry benchmark.

Debt-to-Equity Ratio

ALAB

--

Semiconductors Industry

Max
0.97
Q3
0.46
Median
0.21
Q1
0.05
Min
0.00

Debt-to-Equity Ratio data for ALAB is currently unavailable.

OLED

--

Semiconductors Industry

Max
0.97
Q3
0.46
Median
0.21
Q1
0.05
Min
0.00

Debt-to-Equity Ratio data for OLED is currently unavailable.

ALAB vs. OLED: A comparison of their D/E Ratio against the Semiconductors industry benchmark.

Interest Coverage Ratio

ALAB

--

Semiconductors Industry

Max
36.25
Q3
29.12
Median
7.01
Q1
-1.22
Min
-18.18

Interest Coverage Ratio data for ALAB is currently unavailable.

OLED

--

Semiconductors Industry

Max
36.25
Q3
29.12
Median
7.01
Q1
-1.22
Min
-18.18

Interest Coverage Ratio data for OLED is currently unavailable.

ALAB vs. OLED: A comparison of their Interest Coverage against the Semiconductors industry benchmark.

Financial Strength at a Glance

SymbolALABOLED
Current Ratio (TTM)13.929.00
Quick Ratio (TTM)13.267.26
Debt-to-Equity Ratio (TTM)----
Debt-to-Asset Ratio (TTM)----
Net Debt-to-EBITDA Ratio (TTM)4.76-0.58
Interest Coverage Ratio (TTM)----

Growth

The following charts compare key year-over-year (YoY) growth metrics for ALAB and OLED. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ALAB vs. OLED: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ALAB vs. OLED: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ALAB vs. OLED: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ALAB

0.00%

Semiconductors Industry

Max
6.48%
Q3
0.93%
Median
0.00%
Q1
0.00%
Min
0.00%

ALAB currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

OLED

1.06%

Semiconductors Industry

Max
6.48%
Q3
0.93%
Median
0.00%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 1.06%, OLED offers a more attractive income stream than most of its peers in the Semiconductors industry, signaling a strong commitment to shareholder returns.

ALAB vs. OLED: A comparison of their Dividend Yield against the Semiconductors industry benchmark.

Dividend Payout Ratio

ALAB

0.00%

Semiconductors Industry

Max
204.29%
Q3
31.85%
Median
0.00%
Q1
0.00%
Min
0.00%

ALAB has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

OLED

34.00%

Semiconductors Industry

Max
204.29%
Q3
31.85%
Median
0.00%
Q1
0.00%
Min
0.00%

OLED’s Dividend Payout Ratio of 34.00% is in the upper quartile for the Semiconductors industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

ALAB vs. OLED: A comparison of their Payout Ratio against the Semiconductors industry benchmark.

Dividend at a Glance

SymbolALABOLED
Dividend Yield (TTM)0.00%1.06%
Dividend Payout Ratio (TTM)0.00%34.00%

Valuation

Price-to-Earnings Ratio

ALAB

357.98

Semiconductors Industry

Max
86.15
Q3
47.38
Median
27.87
Q1
18.89
Min
4.73

At 357.98, ALAB’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Semiconductors industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

OLED

33.17

Semiconductors Industry

Max
86.15
Q3
47.38
Median
27.87
Q1
18.89
Min
4.73

OLED’s P/E Ratio of 33.17 is within the middle range for the Semiconductors industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ALAB vs. OLED: A comparison of their P/E Ratio against the Semiconductors industry benchmark.

Forward P/E to Growth Ratio

ALAB

10.80

Semiconductors Industry

Max
4.73
Q3
2.80
Median
1.11
Q1
0.68
Min
0.01

The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.

OLED

1.68

Semiconductors Industry

Max
4.73
Q3
2.80
Median
1.11
Q1
0.68
Min
0.01

The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.

ALAB vs. OLED: A comparison of their Forward PEG Ratio against the Semiconductors industry benchmark.

Price-to-Sales Ratio

ALAB

30.53

Semiconductors Industry

Max
21.96
Q3
10.21
Median
4.45
Q1
2.32
Min
0.48

With a P/S Ratio of 30.53, ALAB trades at a valuation that eclipses even the highest in the Semiconductors industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

OLED

11.73

Semiconductors Industry

Max
21.96
Q3
10.21
Median
4.45
Q1
2.32
Min
0.48

OLED’s P/S Ratio of 11.73 is in the upper echelon for the Semiconductors industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ALAB vs. OLED: A comparison of their P/S Ratio against the Semiconductors industry benchmark.

Price-to-Book Ratio

ALAB

14.23

Semiconductors Industry

Max
13.12
Q3
6.49
Median
3.31
Q1
1.74
Min
0.23

At 14.23, ALAB’s P/B Ratio is at an extreme premium to the Semiconductors industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

OLED

4.59

Semiconductors Industry

Max
13.12
Q3
6.49
Median
3.31
Q1
1.74
Min
0.23

OLED’s P/B Ratio of 4.59 is within the conventional range for the Semiconductors industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

ALAB vs. OLED: A comparison of their P/B Ratio against the Semiconductors industry benchmark.

Valuation at a Glance

SymbolALABOLED
Price-to-Earnings Ratio (P/E, TTM)357.9833.17
Forward PEG Ratio (TTM)10.801.68
Price-to-Sales Ratio (P/S, TTM)30.5311.73
Price-to-Book Ratio (P/B, TTM)14.234.59
Price-to-Free Cash Flow Ratio (P/FCF, TTM)138.4446.50
EV-to-EBITDA (TTM)-820.3227.56
EV-to-Sales (TTM)30.3511.49