Nova (NASDAQ:NVMI) vs. Entegris (NASDAQ:ENTG) Head-To-Head Contrast

Nova (NASDAQ:NVMI) and Entegris (NASDAQ:ENTG) are both large-cap technology companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, earnings, profitability, valuation and dividends.

Analyst Recommendations

This is a summary of current ratings and target prices for Nova and Entegris, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nova	0	2	8	1	2.91
Entegris	0	1	9	2	3.08

Nova currently has a consensus target price of $514.44, suggesting a potential upside of 29.87%. Entegris has a consensus target price of $170.89, suggesting a potential upside of 2.65%. Given Nova’s higher probable upside, research analysts plainly believe Nova is more favorable than Entegris.

Profitability

This table compares Nova and Entegris’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nova	28.84%	21.41%	11.95%
Entegris	9.18%	12.25%	5.84%

Insider and Institutional Ownership

83.0% of Nova shares are owned by institutional investors. 1.0% of Nova shares are owned by company insiders. Comparatively, 0.5% of Entegris shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Nova and Entegris”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nova	$937.50 million	13.43	$259.22 million	$8.08	49.02
Entegris	$3.20 billion	7.94	$235.60 million	$1.99	83.65

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

Volatility and Risk

Nova has a beta of 1.79, indicating that its stock price is 79% more volatile than the S&P 500. Comparatively, Entegris has a beta of 1.4, indicating that its stock price is 40% more volatile than the S&P 500.

Summary

Nova beats Entegris on 10 of the 15 factors compared between the two stocks.

About Nova

Nova Ltd. designs, develops, produces, and sells process control systems used in the manufacture of semiconductors in Israel, Taiwan, the United States, China, Korea, and internationally. Its product portfolio includes a set of metrology platforms for dimensional, films, and materials and chemical metrology measurements for process control for various semiconductor manufacturing process steps, including lithography, etch, chemical mechanical planarization, deposition, electrochemical plating, and advanced packaging. The company serves various sectors of the integrated circuit manufacturing industry, including logic, foundries, and memory manufacturers, as well as process equipment manufacturers. Nova Ltd. was formerly known as Nova Measuring Instruments Ltd. and changed its name to Nova Ltd. in July 2021. Nova Ltd. was incorporated in 1993 and is headquartered in Rehovot, Israel.

About Entegris

Entegris, Inc. develops, manufactures, and supplies microcontamination control products, specialty chemicals, and advanced materials handling solutions in North America, Taiwan, China, South Korea, Japan, Europe, and Southeast Asia. It operates in three segments: Materials Solutions (MS); Microcontamination Control (MC); and Advanced Materials Handling (AMH). The MC segment solutions to purify critical liquid chemistries and process gases used in semiconductor manufacturing processes and other high-technology industries; integrated circuit chemical mechanical polishing solutions, high-performance etch and clean chemistries, gases and materials, and safe and materials delivery systems. The MS segment provides materials-based solutions, such as chemical mechanical planarization slurries, pads, deposition materials, process chemistries and gases, formulated cleans, etchants, and other specialty materials. The Advanced Materials Handling segment develops solutions for customers' yields by protecting critical materials during manufacturing, transportation, and storage, which include monitor, protect, transport and deliver critical liquid chemistries, wafers, and other substrates for semiconductor, life sciences and other high-technology industries. The company's customers include logic and memory semiconductor device manufacturers, semiconductor equipment makers, gas and chemical manufacturing companies, and wafer grower companies; and flat panel display equipment makers, panel manufacturers, and manufacturers of hard disk drive components and devices, as well as their related ecosystems. It serves manufacturers and suppliers in the solar and life science industries, electrical discharge machining customers, glass and glass container manufacturers, aerospace manufacturers, and manufacturers of biomedical implantation devices. Entegris, Inc. was founded in 1966 and is headquartered in Billerica, Massachusetts.