Head to Head Review: Paragon ID (OTCMKTS:PAGDF) vs. Ultra Clean (NASDAQ:UCTT)

Paragon ID (OTCMKTS:PAGDF) and Ultra Clean (NASDAQ:UCTT) are both technology companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, profitability, earnings, institutional ownership and dividends.

Analyst Ratings

This is a summary of current ratings and price targets for Paragon ID and Ultra Clean, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paragon ID	0	0	0	0	0.00
Ultra Clean	1	0	5	1	2.86

Ultra Clean has a consensus target price of $129.00, suggesting a potential upside of 75.63%. Given Ultra Clean’s stronger consensus rating and higher possible upside, analysts clearly believe Ultra Clean is more favorable than Paragon ID.

Valuation and Earnings

This table compares Paragon ID and Ultra Clean”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Paragon ID	N/A	N/A	N/A	N/A	N/A
Ultra Clean	$2.20 billion	1.50	-$181.20 million	($0.52)	-141.25

Paragon ID has higher earnings, but lower revenue than Ultra Clean.

Insider & Institutional Ownership

96.1% of Ultra Clean shares are owned by institutional investors. 1.8% of Ultra Clean shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Paragon ID and Ultra Clean’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Paragon ID	N/A	N/A	N/A
Ultra Clean	-1.07%	6.99%	2.89%

Summary

Ultra Clean beats Paragon ID on 9 of the 10 factors compared between the two stocks.

About Paragon ID

Paragon ID SA provides identification solutions worldwide. It offers access control, brand protection, contactless ticketing, label, customer relationship management, magnetic and mobile ticketing, near field communication, operation maintenance, RFID technology, secure application module, smartcard kiosk, stock management, timed use ticketing, transport item tracking, and secure service solutions. The company also provides contactless and dual interface smart cards, identification documents, metal bank cards, passport E-covers, RFID labels, and eTrust that transforms secure paper-based products into intelligent documents, as well as various terminals, including couplers, readers, and accessories. It serves various clients in automotive, aviation, gaming, health, higher education, logistics, luxury products, manufacturing, mass transit and transport, mobility, parking, payment, pharmaceutical, retail, secure ID, and sport and leisure industries. The company was incorporated in 2019 and is headquartered in Mougins, France. Paragon ID SA is a subsidiary of Paragon Group Limited.

About Ultra Clean

Ultra Clean Holdings, Inc. develops and supplies critical subsystems, components and parts, and ultra-high purity cleaning and analytical services for the semiconductor industry in the United States and internationally. The company provides ultra-clean valves, high purity connectors, industrial process connectors and valves, pneumatic actuators, manifolds and safety solutions, hoses, pressure gauges, and gas line and component heaters; chemical delivery modules that deliver gases and reactive chemicals in a liquid or gaseous form from a centralized subsystem to the reaction chamber; and gas delivery systems, such as weldments, filters, mass flow controllers, regulators, pressure transducers and valves, component heaters, and an integrated electronic and/or pneumatic control system. It also offers various industrial and automation production equipment; fluid delivery systems consist of one or more chemical delivery units, including PFA tubing, filters, flow controllers, regulators, component heaters, and an integrated electronic and/or pneumatic control system; precision robotic systems; top-plate assemblies; frame assemblies; process modules, a subsystem of semiconductor manufacturing tools that process integrated circuits onto wafers; and other high-level assemblies. In addition, the company provides tool chamber parts cleaning and coating services; micro-contamination analysis services for tool parts, wafers and depositions, chemicals, cleanroom materials, deionized water, and airborne molecular contamination; and analytical verification services for process tool chamber part cleaning. It primarily serves original equipment manufacturing customers in the semiconductor capital equipment and semiconductor integrated device manufacturing industries, as well as display, consumer, medical, energy, industrial, and research equipment industries. The company was founded in 1991 and is headquartered in Hayward, California.