https://www.fool.com/investing/2022/04/18/2-semiconductor-gr…
$UCTT
Analysts expect further strength in 2022, with $2.5 billion in revenue and $4.9 in earnings per share in the cards. Yet Ultra Clean stock trades at a price-to-earnings multiple of just 12, which is a 47% discount to its peers in the industry represented by the iShares Semiconductor ETF, which trades at a multiple of 23.
It implies Ultra Clean stock would need to almost double just to trade in line with the broader sector, and if it continues this run of performance, it just might.
$MKSI
Analysts predict further full-year growth during 2022 in both sales and earnings, albeit at a slowing rate – no company can near-double its profits every year forever. However, investors get the benefit of a $0.22 quarterly dividend, so MKS will pay you a return of approximately 0.75% per year to hold its stock. That’s better than money in the bank in most cases.
MKS Instruments stock trades at a price-to-earnings multiple of 11, which is even cheaper than Ultra Clean Holdings, so there’s a similar case for significant upside in order for MKS to trade in line with the broader semiconductor sector.