AXT Inc (AXTI)vsTeradyne Inc (TER)
AXTI
AXT Inc
$64.77
+0.11%
TECHNOLOGY · Cap: $4.25B
TER
Teradyne Inc
$379.72
+2.57%
TECHNOLOGY · Cap: $59.37B
Smart Verdict
WallStSmart Research — data-driven comparison
Teradyne Inc generates 3457% more annual revenue ($4.46B vs $125.51M). TER leads profitability with a 25.8% profit margin vs 3.2%. TER appears more attractively valued with a PEG of 0.68. TER earns a higher WallStSmart Score of 79/100 (B+).
AXTI
Hold43
out of 100
Grade: D
TER
Strong Buy79
out of 100
Grade: B+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 164.8% year-over-year
Conservative balance sheet, low leverage
Strong operational efficiency at 21.9%
Every $100 of equity generates 33 in profit
Strong operational efficiency at 33.2%
Revenue surging 103.9% year-over-year
Earnings expanding 385.8% YoY
Conservative balance sheet, low leverage
Large-cap with strong market position
Areas to Watch
3.2% margin — thin
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 18.9x book value
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : AXTI
The strongest argument for AXTI centers on Revenue Growth, Debt/Equity, Operating Margin. Revenue growth of 164.8% demonstrates continued momentum.
Bull Case : TER
The strongest argument for TER centers on Return on Equity, Operating Margin, Revenue Growth. Profitability is solid with margins at 25.8% and operating margin at 33.2%. Revenue growth of 103.9% demonstrates continued momentum.
Bear Case : AXTI
The primary concerns for AXTI are Profit Margin, Piotroski F-Score, PEG Ratio. A P/E of 2159.0x leaves little room for execution misses. Thin 3.2% margins leave little buffer for downturns.
Bear Case : TER
The primary concerns for TER are Price/Book, P/E Ratio. A P/E of 50.8x leaves little room for execution misses.
Key Dynamics to Monitor
AXTI profiles as a hypergrowth stock while TER is a growth play — different risk/reward profiles.
AXTI carries more volatility with a beta of 1.92 — expect wider price swings.
AXTI is growing revenue faster at 164.8% — sustainability is the question.
TER generates stronger free cash flow (378M), providing more financial flexibility.
Bottom Line
TER scores higher overall (79/100 vs 43/100), backed by strong 25.8% margins and 103.9% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
AXT Inc
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
AXT, Inc. designs, develops, manufactures and distributes single element and composite semiconductor substrates. The company is headquartered in Fremont, California.
Teradyne Inc
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
Teradyne, Inc. is an American automatic test equipment (ATE) designer and manufacturer based in North Reading, Massachusetts.
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