Trio-Tech International (NYSE:TRT) vs. Ambiq Micro (NYSE:AMBQ) Financial Contrast

Trio-Tech International (NYSE:TRTGet Free Report) and Ambiq Micro (NYSE:AMBQGet Free Report) are both small-cap technology companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, earnings, dividends, risk, institutional ownership, profitability and valuation.

Valuation & Earnings

This table compares Trio-Tech International and Ambiq Micro”s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Trio-Tech International $58.34 million 1.76 $1.05 million $0.04 253.62
Ambiq Micro $72.51 million 19.19 -$36.46 million ($20.69) -3.15

Trio-Tech International has higher earnings, but lower revenue than Ambiq Micro. Ambiq Micro is trading at a lower price-to-earnings ratio than Trio-Tech International, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Trio-Tech International and Ambiq Micro, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Trio-Tech International 0 0 0 0 0.00
Ambiq Micro 1 3 4 0 2.38

Ambiq Micro has a consensus target price of $71.83, indicating a potential upside of 10.35%. Given Ambiq Micro’s stronger consensus rating and higher possible upside, analysts plainly believe Ambiq Micro is more favorable than Trio-Tech International.

Institutional and Insider Ownership

16.0% of Trio-Tech International shares are owned by institutional investors. 39.5% of Trio-Tech International shares are owned by company insiders. Comparatively, 10.0% of Ambiq Micro shares are owned by company 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.

Profitability

This table compares Trio-Tech International and Ambiq Micro’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Trio-Tech International 1.51% 1.84% 1.40%
Ambiq Micro -46.86% -45.10% -16.29%

Summary

Trio-Tech International beats Ambiq Micro on 8 of the 13 factors compared between the two stocks.

About Trio-Tech International

(Get Free Report)

Trio-Tech International, together with its subsidiaries, offers manufacturing, testing, and distribution services to the semiconductor industry. It operates through four segments: Manufacturing, Testing Services, Distribution, and Real Estate. The company develops and manufactures test equipment used in front-end and back-end manufacturing processes of semiconductors. Its equipment includes leak detectors, autoclaves, centrifuges, burn-in systems and boards, HAST testers, temperature-controlled chucks, and other; and develops team integrated device manufacturers and fabless semiconductor companies in the testing process. In addition, the company provides electrical, environmental, and burn-in testing services to semiconductor manufacturers in testing laboratories in Asia and the United States. Its customers include manufacturers and end users of semiconductors and electronic components; support the asset-light strategy of customers by setting up test facilities; and providing component level, package level and system level testing services. Further, it distributes environmental chambers, mechanical shock and vibration testers, and other semiconductor equipment; components, such as connectors, sockets, cables, LCD displays, and touch screen panels; and invests in and rents real estate properties. The company primarily serves semiconductor chip manufacturers or testing facilities that purchase testing equipment. It operates in the United States, Singapore, Malaysia, Thailand, and China. Trio-Tech International was incorporated in 1958 and is headquartered in Van Nuys, California.

About Ambiq Micro

(Get Free Report)

Our mission is to enable intelligence (artificial intelligence (AI) and beyond) everywhere by delivering the lowest power semiconductor solutions. We are a pioneer and leading provider of ultra-low power semiconductor solutions designed to address the significant power consumption challenges of general purpose and AI compute – especially at the edge. Our customers rely on Ambiq to deliver AI compute closer to end users (edge environments) where power consumption challenges are the most severe. Our leading position is built upon our hardware and software innovations that deliver two to five times lower power consumption than traditional semiconductor designs. Our products power over 270 million devices today. We shipped more than 42 million units in 2024, and we estimate that over 40% of them ran AI algorithms. We seek to drive growth in AI adoption at the edge in the personal devices, medical/healthcare, industrial edge, and smart home and building markets and continue to set new standards in edge AI performance and power efficiency. Over time, we expect to integrate our ultra-low power technology into additional chip products that benefit from greater power efficiency, including high-performance compute applications such as AI data centers and automotive. AI is perhaps the most disruptive and revolutionary technology trend of recent history, estimated to represent $23 trillion of global annual spend by 2040, according to McKinsey. AI use cases continue to permeate our lives and improve our daily productivity by enabling us to interact with devices via voice and gestures, unlock our homes with facial recognition, track health accurately and intelligently, and hold clear calls amidst loud background noise. To date, a majority of AI compute has been deployed in data centers due to its large physical scale and the need for wall plug energy, as AI compute requires enormous and steady energy resources. At the edge, however, power limitations have been especially acute due to small device size and limited battery life. We believe this greatly constrains the potential of AI to improve our daily, on-the-go lives. Enabling AI at the edge – where the action takes place – with vastly improved power efficiency will allow faster real-time decision-making due to data proximity, greater data privacy, higher energy efficiency from reduced network usage, and less dependence on constant costly connections to the cloud. We believe new AI use cases will only be possible if edge devices are much more power efficient. Our proprietary Sub-threshold Power Optimized Technology (SPOT) platform is designed to fundamentally and cost-effectively reduce power consumption of battery- and wireline-powered devices alike. Depending on the application, devices incorporating SPOT demonstrate a two to five times reduction in power consumption compared to conventional integrated circuit designs. SPOT is a ground-breaking approach at the chip design level that incorporates sub- and near-threshold hardware without using expensive manufacturing processes. We provide a full-stack solution encompassing tightly integrated hardware and software. Our solutions include a diverse family of systems-on-chip (SoCs) and the software required to enable on-chip AI processing, general compute, sensing, security, storage, wireless connectivity, and advanced graphics. Our SoC solutions deliver compute at a very small fraction of the power consumed by our competitors’ products. Our ultra-low power SoCs serve a wide range of markets requiring on-device and real-time AI, including smartwatches and fitness trackers, augmented and virtual reality (AR/VR) glasses, smart rings, digital health monitors, security systems and access control, livestock tracking, crop monitoring, and factory automation. These devices increasingly offer on-chip AI-powered features such as speech recognition, domain-specific language models, image and video processing, and sensing, further straining power consumption, which our solutions are positioned to address. As global demand for our SoC solutions accelerates, our sales and marketing efforts are increasingly focused on our end customers in target geographies such as the United States, Europe, and Asia (ex-MainlandChina). We were incorporated in Delaware on January 20, 2010 under the name Cubiq Microchip, Inc., and in October 2012, changed our name to Ambiq Micro, Inc. Our principal executive offices are located in Austin, Texas.

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