Critical Review: ASUSTeK Computer (ASUUY) vs. Its Peers

ASUSTeK Computer (OTCMKTS:ASUUY) is one of 81 publicly-traded companies in the “Technology Hardware, Storage & Peripherals” industry, but how does it compare to its peers? We will compare ASUSTeK Computer to similar companies based on the strength of its dividends, valuation, profitability, institutional ownership, risk, analyst recommendations and earnings.

Dividends

ASUSTeK Computer pays an annual dividend of $77.44 per share and has a dividend yield of 67.3%. ASUSTeK Computer pays out 56.0% of its earnings in the form of a dividend. As a group, “Technology Hardware, Storage & Peripherals” companies pay a dividend yield of 3.5% and pay out 41.5% of their earnings in the form of a dividend.

Profitability

This table compares ASUSTeK Computer and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ASUSTeK Computer	N/A	N/A	N/A
ASUSTeK Computer Competitors	-493.26%	-14.53%	4.44%

Institutional & Insider Ownership

0.1% of ASUSTeK Computer shares are owned by institutional investors. Comparatively, 51.5% of shares of all “Technology Hardware, Storage & Peripherals” companies are owned by institutional investors. 10.8% of shares of all “Technology Hardware, Storage & Peripherals” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Valuation & Earnings

This table compares ASUSTeK Computer and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
ASUSTeK Computer	N/A	N/A	0.83
ASUSTeK Computer Competitors	$25.50 billion	$3.81 billion	6.31

ASUSTeK Computer’s peers have higher revenue and earnings than ASUSTeK Computer. ASUSTeK Computer is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a summary of recent recommendations for ASUSTeK Computer and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ASUSTeK Computer	0	1	0	0	2.00
ASUSTeK Computer Competitors	1050	4281	7556	357	2.55

As a group, “Technology Hardware, Storage & Peripherals” companies have a potential upside of 20.13%. Given ASUSTeK Computer’s peers stronger consensus rating and higher probable upside, analysts clearly believe ASUSTeK Computer has less favorable growth aspects than its peers.

Summary

ASUSTeK Computer peers beat ASUSTeK Computer on 10 of the 13 factors compared.

About ASUSTeK Computer

ASUSTeK Computer Inc. researches and develops, designs, manufactures, sells, and repairs computers, communications, and consumer electronic products in Taiwan, China, Singapore, Europe, the United States, and internationally. The company offers Internet information services; maintenance and operating services for information hardware; services information technology and communication products; and leases real estate property. It provides ink-jet print heads and digital image output technology, high-speed analog circuits, integrated circuits, industrial and medical computers, interface cards, and medical robots; invests in computer peripheral, Internet service, and automotive electronics businesses; and researches, develops, sells, and consults information system software; provides marketing support and repair services for medical computers and peripherals. ASUSTeK Computer Inc. was founded in 1989 and is headquartered in Taipei, Taiwan.