Head-To-Head Analysis: Valens Semiconductor (NYSE:VLN) & Renesas Electronics (OTCMKTS:RNECY)

Valens Semiconductor (NYSE:VLN) and Renesas Electronics (OTCMKTS:RNECY) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, risk, earnings, dividends, valuation, analyst recommendations and institutional ownership.

Earnings & Valuation

This table compares Valens Semiconductor and Renesas Electronics”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Valens Semiconductor	$84.16 million	2.44	-$19.66 million	($0.24)	-8.21
Renesas Electronics	N/A	N/A	N/A	N/A	N/A

Renesas Electronics has lower revenue, but higher earnings than Valens Semiconductor.

Insider & Institutional Ownership

33.9% of Valens Semiconductor shares are owned by institutional investors. 58.9% of Valens Semiconductor shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations and price targets for Valens Semiconductor and Renesas Electronics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Valens Semiconductor	0	0	1	0	3.00
Renesas Electronics	0	0	0	0	N/A

Valens Semiconductor presently has a consensus target price of $4.00, suggesting a potential upside of 103.05%. Given Valens Semiconductor’s higher possible upside, research analysts clearly believe Valens Semiconductor is more favorable than Renesas Electronics.

Profitability

This table compares Valens Semiconductor and Renesas Electronics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Valens Semiconductor	-46.71%	-17.06%	-15.35%
Renesas Electronics	N/A	N/A	N/A

Summary

Valens Semiconductor beats Renesas Electronics on 5 of the 8 factors compared between the two stocks.

About Valens Semiconductor

Valens Semiconductor Ltd. engages in the provision of semiconductor products for the audio-video and automotive industries. The company offers HDBaseT technology, which enables the simultaneous delivery of ultra-high-definition digital video and audio, Ethernet, USB, control signals, and power through a single long-reach cable. It also provides audio-video solutions for the enterprise, education, industrial, digital signage, industrial, and medical markets. In addition, it offers automotive chipsets that support advanced driver-assistance systems, automotive data solutions, infotainment, telematics, and backbone connectivity. The company’s product series include VS100, VS2000, VS3000, VS6000, VS7000, Valens USB and power extender, Valens VS6320, USB 3.2 Gen1 extension chipset, VA6000, and VA7000. It has a collaboration with iCatch Technology to develop a 360-degree multi-camera videoconferencing solution. The company operates in Israel, China, Hong Kong, the United States, Japan, Germany, Hungary, and internationally. Valens Semiconductor Ltd. is headquartered in Hod Hasharon, Israel.

About Renesas Electronics

Renesas Electronics Corporation researches, develops, designs, manufactures, sells, and services semiconductors in Japan, China, rest of Asia, Europe, North America, and internationally. The company operates through Automotive Business and Industrial/Infrastructure/IoT Business segments. It offers microcontrollers (MCUs) and microprocessors; amplifiers, audio and video, data converters, power line communication, and switches and multiplexer products; and specific clocks, clock distribution and generation, jitter attenuators with frequency translation, and crystal oscillator, and VersaClock programmable clocks. The company also provides buffers, haptic drivers, data compression, industrial Ethernet, IO-link line driver, memory interface, optical interconnect, photocouplers/optocouplers, power line communication, signal integrity, telecom datacom and interface, USB switches and hubs, and wireless connectivity products. In addition, it offers bus switches, first-in, first-out, memory interface, multi-port and SRAMs, non-volatile memory, and standard logic products; and AC/DC & isolated DC/DC converters, battery management, DC converters, digital power, discrete power devices, linear regulators, FET and motor drivers, multi-channel power management ICs, LED backlight drivers, solid state lighting, USB type-C, USB power delivery, and rapid charge, voltage references, and wireless power. Further, the company provides Automotive Radar Sensors, Industrial Radar Sensors, modulators and demodulators, phased array beamformers, transistor arrays, and variable gain amplifiers, as well as RF amplifiers, attenuators, mixers, switches, and synthesizers; and environmental, flow, industrial radar, optical, position, and automotive sensor products, as well as senor signal conditioners products. Additionally, it offers space and harsh environment products and wireless connectivity products. Renesas Electronics Corporation was incorporated in 2002 and is headquartered in Tokyo, Japan.