Analyzing Valens Semiconductor (NYSE:VLN) and Nano Labs (NASDAQ:NA)

Valens Semiconductor (NYSE:VLN) and Nano Labs (NASDAQ:NA) are both small-cap computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, dividends, valuation, earnings, risk, analyst recommendations and profitability.

Profitability

This table compares Valens Semiconductor and Nano Labs’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Valens Semiconductor	-55.20%	-20.44%	-17.33%
Nano Labs	N/A	N/A	N/A

Earnings & Valuation

This table compares Valens Semiconductor and Nano Labs”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Valens Semiconductor	$57.86 million	4.73	-$36.58 million	($0.33)	-7.80
Nano Labs	$5.65 million	21.69	-$15.75 million	N/A	N/A

Nano Labs has lower revenue, but higher earnings than Valens Semiconductor.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Valens Semiconductor and Nano Labs, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Valens Semiconductor	0	0	1	1	3.50
Nano Labs	0	0	0	0	0.00

Valens Semiconductor currently has a consensus price target of $4.00, suggesting a potential upside of 55.34%. Given Valens Semiconductor’s stronger consensus rating and higher probable upside, analysts plainly believe Valens Semiconductor is more favorable than Nano Labs.

Institutional & Insider Ownership

33.9% of Valens Semiconductor shares are owned by institutional investors. Comparatively, 50.7% of Nano Labs shares are owned by institutional investors. 58.9% of Valens Semiconductor shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Volatility & Risk

Valens Semiconductor has a beta of 0.27, indicating that its share price is 73% less volatile than the S&P 500. Comparatively, Nano Labs has a beta of 3.22, indicating that its share price is 222% more volatile than the S&P 500.

Summary

Nano Labs beats Valens Semiconductor on 7 of the 13 factors compared between the two stocks.

About Valens Semiconductor

Valens Semiconductor Ltd. engages in the provision of semiconductor products for the audio-video and automotive industries. The company offers HDBaseT technology, which enables the simultaneous delivery of ultra-high-definition digital video and audio, Ethernet, USB, control signals, and power through a single long-reach cable. It also provides audio-video solutions for the enterprise, education, industrial, digital signage, industrial, and medical markets. In addition, it offers automotive chipsets that support advanced driver-assistance systems, automotive data solutions, infotainment, telematics, and backbone connectivity. The company’s product series include VS100, VS2000, VS3000, VS6000, VS7000, Valens USB and power extender, Valens VS6320, USB 3.2 Gen1 extension chipset, VA6000, and VA7000. It has a collaboration with iCatch Technology to develop a 360-degree multi-camera videoconferencing solution. The company operates in Israel, China, Hong Kong, the United States, Japan, Germany, Hungary, and internationally. Valens Semiconductor Ltd. is headquartered in Hod Hasharon, Israel.

About Nano Labs

Nano Labs Ltd operates as a fabless integrated circuit design company and product solution provider in the People's Republic of China and internationally. It develops high throughput computing and high-performance computing chips. The company also offers distributed computing and storage solutions, smart network interface cards, and vision computing chips, as well as distributed rendering technology. In addition, it engages in the research and development of software. Its customers include enterprises and individual buyers. The company was founded in 2019 and is headquartered in Hangzhou, the People's Republic of China.