ATI vs Lam Research

ATI and Lam Research are two prominent players in the semiconductor equipment industry, each with a unique set of strengths and opportunities for investors. ATI specializes in the design and manufacture of advanced materials for semiconductor manufacturing, while Lam Research is a leading provider of wafer fabrication equipment. Both companies have seen significant growth in recent years, with ATI's stock performing particularly well due to increased demand for its products. However, investors should carefully consider factors such as market trends, competition, and financial performance before deciding which stock to invest in.

ATI or Lam Research?

When comparing ATI and Lam Research, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between ATI and Lam Research.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. ATI has a dividend yield of -%, while Lam Research has a dividend yield of 10.87%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. ATI reports a 5-year dividend growth of 0.00% year and a payout ratio of 4.33%. On the other hand, Lam Research reports a 5-year dividend growth of 14.41% year and a payout ratio of 26.62%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with ATI P/E ratio at 21.06 and Lam Research's P/E ratio at 26.06. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. ATI P/B ratio is 5.74 while Lam Research's P/B ratio is 11.68.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, ATI has seen a 5-year revenue growth of 1.12%, while Lam Research's is 1.10%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with ATI's ROE at 28.25% and Lam Research's ROE at 46.64%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $61.70 for ATI and $75.91 for Lam Research. Over the past year, ATI's prices ranged from $35.03 to $68.92, with a yearly change of 96.75%. Lam Research's prices fluctuated between $57.44 and $113.00, with a yearly change of 96.72%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.