Micron Technology (NASDAQ:MU) versus SiTime (NASDAQ:SITM) Head to Head Comparison

SiTime (NASDAQ:SITM) and Micron Technology (NASDAQ:MU) are both computer and technology companies, but which is the better stock? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, valuation, profitability, risk, earnings and dividends.

Profitability

This table compares SiTime and Micron Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SiTime	-53.55%	-9.89%	-7.56%
Micron Technology	3.10%	1.58%	1.05%

Institutional & Insider Ownership

84.3% of SiTime shares are held by institutional investors. Comparatively, 80.8% of Micron Technology shares are held by institutional investors. 2.3% of SiTime shares are held by insiders. Comparatively, 0.3% of Micron Technology shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility and Risk

SiTime has a beta of 1.86, indicating that its share price is 86% more volatile than the S&P 500. Comparatively, Micron Technology has a beta of 1.16, indicating that its share price is 16% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for SiTime and Micron Technology, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SiTime	1	0	3	0	2.50
Micron Technology	1	1	26	0	2.89

SiTime currently has a consensus price target of $196.25, suggesting a potential downside of 22.20%. Micron Technology has a consensus price target of $143.04, suggesting a potential upside of 39.11%. Given Micron Technology’s stronger consensus rating and higher possible upside, analysts clearly believe Micron Technology is more favorable than SiTime.

Earnings and Valuation

This table compares SiTime and Micron Technology”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SiTime	$176.99 million	33.29	-$80.54 million	($4.14)	-60.93
Micron Technology	$25.11 billion	4.56	$778.00 million	$0.68	151.21

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

Summary

Micron Technology beats SiTime on 10 of the 14 factors compared between the two stocks.

About SiTime

SiTime Corporation designs, develops, and sells silicon timing systems solutions in Taiwan, Hong Kong, the United States, Singapore, and internationally. The company provides resonators and clock integrated circuits, and various types of oscillators. It serves various markets, including communications, datacenter, enterprise, automotive, industrial, internet of things, mobile, consumer, and aerospace and defense. The company sells its products directly to customers, distributors, and resellers. SiTime Corporation was incorporated in 2003 and is based in Santa Clara, California.

About Micron Technology

Micron Technology, Inc. designs, develops, manufactures, and sells memory and storage products worldwide. The company operates through four segments: Compute and Networking Business Unit, Mobile Business Unit, Embedded Business Unit, and Storage Business Unit. It provides memory and storage technologies comprising dynamic random access memory semiconductor devices with low latency that provide high-speed data retrieval; non-volatile and re-writeable semiconductor storage devices; and non-volatile re-writable semiconductor memory devices that provide fast read speeds under the Micron and Crucial brands, as well as through private labels. The company offers memory products for the cloud server, enterprise, client, graphics, networking, industrial, and automotive markets, as well as for smartphone and other mobile-device markets; SSDs and component-level solutions for the enterprise and cloud, client, and consumer storage markets; discrete storage products in component and wafers; and memory and storage products for the automotive, industrial, and consumer markets. It markets its products through its direct sales force, independent sales representatives, distributors, and retailers; and web-based customer direct sales channel, as well as through channel and distribution partners. Micron Technology, Inc. was founded in 1978 and is headquartered in Boise, Idaho.