PDF Solutions (NASDAQ:PDFS) versus Technology Solutions (OTCMKTS:TSCC) Critical Contrast

PDF Solutions (NASDAQ:PDFS) and Technology Solutions (OTCMKTS:TSCC) are both computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, valuation, risk, institutional ownership, profitability, analyst recommendations and dividends.

Profitability

This table compares PDF Solutions and Technology Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PDF Solutions	0.76%	4.33%	3.19%
Technology Solutions	N/A	N/A	N/A

Analyst Ratings

This is a summary of current ratings for PDF Solutions and Technology Solutions, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PDF Solutions	0	0	3	0	3.00
Technology Solutions	0	0	0	0	0.00

PDF Solutions presently has a consensus target price of $33.33, indicating a potential upside of 70.42%. Given PDF Solutions’ stronger consensus rating and higher possible upside, equities research analysts clearly believe PDF Solutions is more favorable than Technology Solutions.

Institutional and Insider Ownership

79.5% of PDF Solutions shares are held by institutional investors. 11.1% of PDF Solutions shares are held by company insiders. Comparatively, 6.1% of Technology Solutions shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation

This table compares PDF Solutions and Technology Solutions”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PDF Solutions	$179.46 million	4.27	$4.06 million	$0.03	652.00
Technology Solutions	N/A	N/A	N/A	N/A	N/A

PDF Solutions has higher revenue and earnings than Technology Solutions.

Risk & Volatility

PDF Solutions has a beta of 1.43, suggesting that its stock price is 43% more volatile than the S&P 500. Comparatively, Technology Solutions has a beta of 4.04, suggesting that its stock price is 304% more volatile than the S&P 500.

Summary

PDF Solutions beats Technology Solutions on 9 of the 10 factors compared between the two stocks.

About PDF Solutions

PDF Solutions, Inc. provides proprietary software and physical intellectual property products for integrated circuit designs, electrical measurement hardware tools, proven methodologies, and professional services in the United States, China, Japan, and internationally. The company offers Exensio software products, such as Manufacturing Analytics that store collected data in a common environment with a consistent view for enabling product engineers to identify and analyze production yield, performance, reliability, and other issues; Process Control that provides failure detection and classification capabilities for monitoring, alarming, and controlling manufacturing tool sets; Test Operations that offer data collection and analysis capabilities; and Assembly Operations that provide device manufacturers with the capability to link assembly and packaging data, including fabrication and characterization data over the product life cycle. It also provides Design-For-Inspection (DFI) systems, such as DFI On-Chip Instruments; eProbe Non-Contact E-Beam Tool; and Characterization Vehicle (CV) system, which includes CV Test Chips and pdFasTest Electrical Testers, as well as Exensio characterization software, designed to analyze the measurements collected using the eProbe tool. In addition, the company offers Cimetrix software products that enables equipment manufacturers to provide industry standard interfaces on their products; and software-as-a-service, software related services, and characterization services. It sells its technologies and services through direct sales force, service teams, and strategic alliances to integrated device manufacturers, fabless semiconductor companies, foundries, equipment manufacturers, electronics manufacturing suppliers, original device manufacturers, out-sourced semiconductor assembly and test, and system houses. PDF Solutions, Inc. was founded in 1991 and is headquartered in Santa Clara, California.

About Technology Solutions

Technology Solutions Company provides systems integration and information technology (IT) consulting services to the manufacturing and distribution, healthcare and life sciences, consumer products and retail, and financial services industry. Technology Solutions Company was founded in 1988 and is based in Chicago, Illinois.