Lam Research (NASDAQ:LRCX) versus IQE (OTCMKTS:IQEPF) Head-To-Head Contrast

IQE (OTCMKTS:IQEPF) and Lam Research (NASDAQ:LRCX) 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, institutional ownership, profitability, earnings, valuation, analyst recommendations and dividends.

Valuation and Earnings

This table compares IQE and Lam Research”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
IQE	$150.84 million	0.80	-$48.79 million	N/A	N/A
Lam Research	$18.44 billion	14.85	$5.36 billion	$4.54	48.00

Lam Research has higher revenue and earnings than IQE.

Volatility & Risk

IQE has a beta of 1.5, suggesting that its share price is 50% more volatile than the S&P 500. Comparatively, Lam Research has a beta of 1.77, suggesting that its share price is 77% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for IQE and Lam Research, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
IQE	0	0	0	0	0.00
Lam Research	0	7	27	1	2.83

Lam Research has a consensus target price of $200.52, indicating a potential downside of 7.99%. Given Lam Research’s stronger consensus rating and higher probable upside, analysts plainly believe Lam Research is more favorable than IQE.

Institutional and Insider Ownership

84.6% of Lam Research shares are owned by institutional investors. 0.3% of Lam Research shares are owned by company 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.

Profitability

This table compares IQE and Lam Research’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
IQE	N/A	N/A	N/A
Lam Research	29.66%	60.60%	28.00%

Summary

Lam Research beats IQE on 13 of the 13 factors compared between the two stocks.

About IQE

IQE plc, together with its subsidiaries, develops, manufactures, and sells advanced semiconductor materials. It operates through three segments: Wireless, Photonics, and CMOS++. The company manufactures and sells compound semiconductor materials for the wireless market which includes radio frequency devices for wireless communications, and photonics market, that includes applications that transmit and sense visible and infrared lights, as well as advanced semiconductor materials related to silicon. It operates in the United States, rest of the Americas, France, Germany, Israel, the United Kingdom, rest of Europe, the Middle East, Africa, the People's Republic of China, Japan, Taiwan, and rest of the Asia-Pacific. The company was founded in 1988 and is headquartered in Cardiff, the United Kingdom.

About Lam Research

Lam Research Corporation designs, manufactures, markets, refurbishes, and services semiconductor processing equipment used in the fabrication of integrated circuits. The company offers ALTUS systems to deposit conformal films for tungsten metallization applications; SABRE electrochemical deposition products for copper interconnect transition that offers copper damascene manufacturing; SOLA ultraviolet thermal processing products for film treatments; and VECTOR plasma-enhanced CVD ALD products. It also provides SPEED gapfill high-density plasma chemical vapor deposition products; and Striker single-wafer atomic layer deposition products for dielectric film solutions. In addition, the company offers Flex for dielectric etch applications; Kiyo for conductor etch applications; Syndion for through-silicon via etch applications; and Versys metal products for metal etch processes. Further, it provides Coronus bevel clean products to enhance die yield; Da Vinci, DV-Prime, EOS, and SP series products to address various wafer cleaning applications; and Metryx mass metrology systems for high precision in-line mass measurement in semiconductor wafer manufacturing. The company sells its products and services to semiconductors industry in the United States, China, Europe, Japan, Korea, Southeast Asia, Taiwan, and internationally. The company was incorporated in 1980 and is headquartered in Fremont, California.