Head-To-Head Review: SkyWater Technology (NASDAQ:SKYT) vs. Ebang International (NASDAQ:EBON)

Ebang International (NASDAQ:EBON) and SkyWater Technology (NASDAQ:SKYT) are both small-cap industrials companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, institutional ownership, dividends, earnings, profitability and risk.

Volatility and Risk

Ebang International has a beta of 2, meaning that its share price is 100% more volatile than the S&P 500. Comparatively, SkyWater Technology has a beta of 3.38, meaning that its share price is 238% more volatile than the S&P 500.

Earnings & Valuation

This table compares Ebang International and SkyWater Technology”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ebang International	$3.59 million	5.85	-$36.77 million	N/A	N/A
SkyWater Technology	$342.27 million	1.10	-$30.76 million	($0.14)	-56.07

SkyWater Technology has higher revenue and earnings than Ebang International.

Analyst Ratings

This is a breakdown of recent recommendations for Ebang International and SkyWater Technology, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ebang International	0	0	0	0	0.00
SkyWater Technology	0	0	3	0	3.00

SkyWater Technology has a consensus price target of $12.00, suggesting a potential upside of 52.87%. Given SkyWater Technology’s stronger consensus rating and higher probable upside, analysts clearly believe SkyWater Technology is more favorable than Ebang International.

Institutional & Insider Ownership

1.1% of Ebang International shares are held by institutional investors. Comparatively, 70.0% of SkyWater Technology shares are held by institutional investors. 25.4% of Ebang International shares are held by company insiders. Comparatively, 42.5% of SkyWater Technology shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Ebang International and SkyWater Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ebang International	N/A	N/A	N/A
SkyWater Technology	-4.75%	-12.40%	-2.47%

Summary

SkyWater Technology beats Ebang International on 8 of the 12 factors compared between the two stocks.

About Ebang International

Ebang International Holdings Inc., through its subsidiaries, engages in the research, design, and development of application-specific integrated circuit chips and manufacture of Bitcoin mining machines under the Ebit brand in Singapore, Hong Kong, Australia, the Bahamas, and internationally. It also provides mining machine hosting services; and engages in the development of proprietary cryptocurrency exchange platform. In addition, the company offers fiber-optic communication access devices, including multiprotocol label switching fiber-optic access network devices, multi-service access platform integrated business access devices, and wavelength-division multiplexing fiber-optic devices; and enterprise convergent terminal products, which consists gigabit passive optical network, Fiber to the Room products, passive optical network converged gateways, enterprise cloud gateway devices, industrial Internet of Things access devices, and business enterprise smart wireless access devices. It serves the blockchain and telecommunications industries. The company also operates a cross-border payment and foreign exchange platform. It sells its blockchain products directly, as well as through its website; and telecommunication products under the EBANG brand name primarily through supplier contracts. The company was incorporated in 2018 and is headquartered in Hangzhou, China.

About SkyWater Technology

SkyWater Technology, Inc., together with its subsidiaries, operates as a pure-play technology foundry that engages in the provision of semiconductor development, manufacturing, and packaging services in the United States. The company offers engineering and process development support services to co-create technologies with customers; and semiconductor manufacturing services for various silicon-based analog and mixed-signal, micro-electromechanical systems, and rad-hard integrated circuits. It serves customers operating in the computation, aerospace and defense, automotive, bio-health, consumer, and industrial sectors. The company was incorporated in 2016 and is headquartered in Bloomington, Minnesota.