Rubicon Technology (NASDAQ:RBCN) and Taitron Components (NASDAQ:TAIT) Financial Analysis

Risk & Volatility

Taitron Components has a beta of 0.49, indicating that its stock price is 51% less volatile than the S&P 500. Comparatively, Rubicon Technology has a beta of 0.87, indicating that its stock price is 13% less volatile than the S&P 500.

Valuation and Earnings

This table compares Taitron Components and Rubicon Technology”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Taitron Components	$6.11 million	2.66	$1.85 million	$0.23	11.74
Rubicon Technology	$3.88 million	0.85	-$10,000.00	$0.19	7.33

Taitron Components has higher revenue and earnings than Rubicon Technology. Rubicon Technology is trading at a lower price-to-earnings ratio than Taitron Components, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Taitron Components and Rubicon Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Taitron Components	30.95%	7.87%	7.34%
Rubicon Technology	-29.90%	-122.29%	-47.56%

Dividends

Taitron Components pays an annual dividend of $0.20 per share and has a dividend yield of 7.4%. Rubicon Technology pays an annual dividend of $11.00 per share and has a dividend yield of 790.2%. Taitron Components pays out 87.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Rubicon Technology pays out 5,789.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Institutional and Insider Ownership

18.1% of Taitron Components shares are owned by institutional investors. Comparatively, 0.0% of Rubicon Technology shares are owned by institutional investors. 60.5% of Taitron Components shares are owned by insiders. Comparatively, 3.6% of Rubicon Technology shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Summary

Taitron Components beats Rubicon Technology on 11 of the 13 factors compared between the two stocks.

About Taitron Components

Taitron Components Incorporated engages in the supply of original designed and manufactured (ODM) electronic components, and distribution of brand name electronic components. It distributes discrete semiconductors, commodity integrated circuits, optoelectronic devices, and passive components. The company also offers value-added engineering and turn-key solutions focusing on providing contract electronic manufacturers (CEMs) and original equipment manufacturers (OEMs) with ODM products for their turn-key projects. It serves other electronic distributors, CEMs, and OEMs in the United States, South Korea, China, Taiwan, and internationally. The company has strategic allies with Teamforce Co. Ltd.; Grand Shine Management; and Zowie Technology Corporation. Taitron Components Incorporated was incorporated in 1989 and is headquartered in Valencia, California.

About Rubicon Technology

Rubicon Technology, Inc. provides monocrystalline sapphire for applications in optical and industrial systems in North America, Asia, and internationally. The company offers optical and industrial sapphire products in various shapes and sizes, including sheets, rods, tubes, core, ingots, and prisms for a range of end markets comprising defense and aerospace, specialty lighting, instrumentation, sensors and detectors, semiconductor process equipment, electronic substrates, medical, and laser applications. It serves defense subcontractors, industrial manufacturers, fabricators, and resellers. The company was incorporated in 2001 and is based in Bensenville, Illinois.