Head to Head Survey: Vicor (NASDAQ:VICR) vs. TDK (OTCMKTS:TTDKY)

TDK (OTCMKTS:TTDKY) and Vicor (NASDAQ:VICR) are both computer and technology companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, risk, earnings, profitability, institutional ownership, dividends and analyst recommendations.

Analyst Ratings

This is a summary of current ratings for TDK and Vicor, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TDK	0	0	0	1	4.00
Vicor	0	2	3	0	2.60

Vicor has a consensus price target of $118.33, indicating a potential downside of 20.14%. Given Vicor’s higher probable upside, analysts plainly believe Vicor is more favorable than TDK.

Volatility and Risk

TDK has a beta of 0.78, meaning that its share price is 22% less volatile than the S&P 500. Comparatively, Vicor has a beta of 1.9, meaning that its share price is 90% more volatile than the S&P 500.

Insider and Institutional Ownership

47.5% of Vicor shares are held by institutional investors. 0.0% of TDK shares are held by company insiders. Comparatively, 31.3% of Vicor shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares TDK and Vicor’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TDK	7.85%	10.07%	5.01%
Vicor	18.63%	13.77%	12.14%

Earnings and Valuation

This table compares TDK and Vicor”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TDK	$14.48 billion	1.86	$1.10 billion	$0.66	20.97
Vicor	$359.06 million	18.43	$6.13 million	$1.83	80.97

TDK has higher revenue and earnings than Vicor. TDK is trading at a lower price-to-earnings ratio than Vicor, indicating that it is currently the more affordable of the two stocks.

Summary

Vicor beats TDK on 11 of the 15 factors compared between the two stocks.

About TDK

TDK Corporation, together with its subsidiaries, engages in manufacture and sale of electronic components in Japan, Europe, China, Asia, the Americas, and internationally. The company operates through Passive Components, Sensor Application Products, Magnetic Application Products, Energy Application Products, and Other segments. The Passive Components segment offers ceramic capacitors, aluminum electrolytic capacitors, film capacitors, high-frequency components, piezoelectric materials, and circuit protection components, as well as inductive devices, including ferrite cores, coils, and transformers. The Sensor Application Products segment provides temperature and pressure, magnetic, and MEMS sensors. The Magnetic Application Products segment offers hard disk drives (HDD) heads, HDD suspension assemblies, and magnets. The Energy Application Products segment provides energy devices comprising rechargeable batteries, and power supplies. The Other segment provides mechatronics production equipment and camera module micro actuators for smartphones and other products. The company also engages in engages in insurance and real estate agency businesses. The company was formerly known as Tokyo Denki Kagaku Kogyo K.K. and changed its name to TDK Corporation in 1983. TDK Corporation was founded in 1935 and is headquartered in Tokyo, Japan.

About Vicor

Vicor Corporation, together with its subsidiaries, designs, develops, manufactures, and markets modular power components and power systems for converting electrical power in the United States, Europe, the Asia Pacific, and internationally. The company offers a range of brick-format DC-DC converters; complementary components provide AC line rectification, input filtering, power factor correction, and transient protection; and input and output voltage, and output power products, as well as electrical and mechanical accessories. It also design, sells, and service custom power systems solutions. The company serves independent manufacturers of electronic devices, original equipment manufacturers, and their contract manufacturers in the aerospace and aviation, defense electronics, satellites, factory automation, instrumentation, test equipment, transportation, telecommunications and networking infrastructure and vehicles, and transportation markets. Vicor Corporation was incorporated in 1981 and is headquartered in Andover, Massachusetts.