Comparing Gauzy (NASDAQ:GAUZ) and Teradyne (NASDAQ:TER)

Gauzy (NASDAQ:GAUZ) and Teradyne (NASDAQ:TER) are both computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, risk, institutional ownership, profitability and dividends.

Profitability

This table compares Gauzy and Teradyne’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gauzy	N/A	N/A	N/A
Teradyne	17.37%	22.68%	16.19%

Volatility & Risk

Gauzy has a beta of -1.38, meaning that its share price is 238% less volatile than the S&P 500. Comparatively, Teradyne has a beta of 1.79, meaning that its share price is 79% more volatile than the S&P 500.

Institutional and Insider Ownership

99.8% of Teradyne shares are held by institutional investors. 0.2% of Teradyne shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and recommmendations for Gauzy and Teradyne, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gauzy	1	0	2	0	2.33
Teradyne	0	6	10	1	2.71

Gauzy presently has a consensus target price of $11.50, suggesting a potential upside of 1,496.11%. Teradyne has a consensus target price of $275.53, suggesting a potential downside of 23.10%. Given Gauzy’s higher possible upside, equities research analysts clearly believe Gauzy is more favorable than Teradyne.

Earnings & Valuation

This table compares Gauzy and Teradyne”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gauzy	$103.53 million	0.13	-$53.18 million	($2.05)	-0.35
Teradyne	$3.19 billion	17.58	$554.05 million	$3.48	102.96

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

Summary

Teradyne beats Gauzy on 14 of the 15 factors compared between the two stocks.

About Gauzy

Gauzy Ltd. is a fully-integrated light and vision control company which focused on the research, development, manufacturing and marketing of vision and light control technologies. It operates principally in Germany, France, the United States, Canada, China, Singapore and Dubai. Gauzy Ltd. is headquartered in Tel Aviv, Israel.

About Teradyne

Teradyne, Inc. designs, develops, manufactures, and sells automated test systems and robotics products worldwide. It operates through four segments; Semiconductor Test, System Test, Robotics, and Wireless Test. The Semiconductor Test segment offers products and services for wafer level and device package testing of semiconductor devices in automotive, industrial, communications, consumer, smartphones, cloud, computer and electronic game, and other applications. This segment also provides FLEX test platform systems; J750 test system to address the volume semiconductor devices, including microcontrollers; Magnum platform that tests memory devices, such as flash memory and DRAM; and ETS platform for semiconductor manufacturers, and assembly and test subcontractors in the analog/mixed signal markets. It serves integrated device manufacturers that integrate the fabrication of silicon wafers into their business; fabless companies that outsource the manufacturing of silicon wafers; foundries; and semiconductor assembly and test providers. The System Test segment offers defense/aerospace test instrumentation and systems; storage and system level test systems; and circuit-board test and inspection systems. The Wireless Test segment provides wireless test solutions for silicon validation, wireless module manufacturing, and wireless end device manufacturing under the LitePoint brand. This segment also offers IQxel-MX and IQxel-MW7G series products for edge measurement performance in the manufacturing of connectivity products; IQxstream-5G and IQgig-5G family products to support 4G and 5G technologies; and IQgig-UWB+ for certification and manufacturing test support for ultra wideband products. The Robotics segment provides collaborative robotic arms, autonomous mobile robots, and advanced robotic control software for manufacturing, logistics, and industrial customers. The company was incorporated in 1960 and is headquartered in North Reading, Massachusetts.