OSI Systems (NASDAQ:OSIS – Get Rating) and ChipMOS TECHNOLOGIES (NASDAQ:IMOS – Get Rating) are both small-cap computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, profitability, institutional ownership, dividends, valuation and risk.
Volatility & Risk
OSI Systems has a beta of 0.72, indicating that its stock price is 28% less volatile than the S&P 500. Comparatively, ChipMOS TECHNOLOGIES has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500.
Analyst Ratings
This is a breakdown of recent ratings for OSI Systems and ChipMOS TECHNOLOGIES, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| OSI Systems | 0 | 0 | 3 | 0 | 3.00 |
| ChipMOS TECHNOLOGIES | 0 | 0 | 0 | 0 | N/A |
OSI Systems presently has a consensus price target of $122.00, suggesting a potential upside of 28.46%. Given OSI Systems’ higher possible upside, research analysts plainly believe OSI Systems is more favorable than ChipMOS TECHNOLOGIES.
Valuation & Earnings
This table compares OSI Systems and ChipMOS TECHNOLOGIES’s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| OSI Systems | $1.15 billion | 1.41 | $74.05 million | $5.94 | 15.99 |
| ChipMOS TECHNOLOGIES | $987.70 million | 0.86 | $177.98 million | $5.18 | 4.52 |
ChipMOS TECHNOLOGIES has lower revenue, but higher earnings than OSI Systems. ChipMOS TECHNOLOGIES is trading at a lower price-to-earnings ratio than OSI Systems, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares OSI Systems and ChipMOS TECHNOLOGIES’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| OSI Systems | 9.12% | 15.74% | 6.91% |
| ChipMOS TECHNOLOGIES | 19.49% | 22.36% | 12.84% |
Insider & Institutional Ownership
94.0% of OSI Systems shares are owned by institutional investors. Comparatively, 7.4% of ChipMOS TECHNOLOGIES shares are owned by institutional investors. 5.7% of OSI Systems shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Summary
OSI Systems beats ChipMOS TECHNOLOGIES on 8 of the 13 factors compared between the two stocks.
About OSI Systems
OSI Systems, Inc. designs, manufactures, and sells electronic systems and components worldwide. It operates through three segments: Security, Healthcare, and Optoelectronics and Manufacturing. The Security segment offers baggage and parcel inspection, cargo and vehicle inspection, radiation detection, hold baggage and people screening, and explosive and narcotics trace detection systems under the Rapiscan Systems and AS&E names. It also provides site design, installation, training, and technical support services; and security screening solutions under the S2 name. The Healthcare segment offers patient monitoring and diagnostic cardiology systems, and related supplies and accessories under the Spacelabs name for use in critical care, emergency, and perioperative areas within hospitals, physicians’ offices, medical clinics, and ambulatory surgery centers. The Optoelectronics and Manufacturing segment provides optoelectronic devices under the OSI Optoelectronics, OSI LaserDiode, OSI Laserscan, Semicoa, and Advanced Photonix names for the aerospace and defense, avionics, medical imaging and diagnostics, biochemistry analysis, pharmaceutical, nanotechnology, telecommunications, construction, and homeland security markets. It also offers electronics manufacturing services to original equipment manufacturers and end users for medical, automotive, defense, aerospace, industrial, and consumer applications under the OSI Electronics, APlus Products, Altaflex, and PFC names; and LCD displays for medical, industrial, and consumer electronics applications, as well as flex circuits for OEM customers. This segment offers laser-based remote sensing devices to detect and classify vehicles in toll and traffic management systems under the OSI Laserscan and Autosense names; and solid-state laser products for aerospace, defense, telecommunication, and medical applications under the OSI LaserDiode name. The company was incorporated in 1987 and is headquartered in Hawthorne, California.
About ChipMOS TECHNOLOGIES
ChipMOS TECHNOLOGIES INC. engages in the research, development, manufacture, and sale of high-integration and high-precision integrated circuits, and related assembly and testing services in Taiwan, People’s Republic of China, Japan, Singapore, and internationally. It operates through Testing; Assembly; Testing and Assembly for LCD, OLED and other Display Panel Driver Semiconductors; Bumping; and Other segments. The company provides a range of back-end assembly and testing services, including engineering test, wafer probing, and final test of memory and logic/mixed-signal semiconductors, as well as leadframe-based and organic substrate-based package assembly services for memory and logic/mixed-signal semiconductors; and gold bumping, reel to reel assembly, and test services for LCD and other panel display driver semiconductors. Its semiconductors are used in personal computers; graphics applications, such as game consoles; communications equipment; mobile products comprising cellular handsets, tablets, and consumer electronic products; and automotive/industry and display applications, such as display panels. The company was incorporated in 1997 and is headquartered in Hsinchu, Taiwan.
Receive News & Ratings for OSI Systems Daily – Enter your email address below to receive a concise daily summary of the latest news and analysts’ ratings for OSI Systems and related companies with MarketBeat.com’s FREE daily email newsletter.
