Contrasting Universal Display (NASDAQ:OLED) and Microwave Filter (OTCMKTS:MFCO)

Microwave Filter (OTCMKTS:MFCO) and Universal Display (NASDAQ:OLED) are both computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, valuation, analyst recommendations, risk, dividends, profitability and institutional ownership.

Earnings and Valuation

This table compares Microwave Filter and Universal Display”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Microwave Filter	$2.18 million	0.86	-$260,000.00	N/A	N/A
Universal Display	$647.68 million	8.89	$222.08 million	$4.64	26.10

Universal Display has higher revenue and earnings than Microwave Filter.

Profitability

This table compares Microwave Filter and Universal Display’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Microwave Filter	N/A	N/A	N/A
Universal Display	34.65%	14.10%	12.53%

Risk and Volatility

Microwave Filter has a beta of 0.49, indicating that its stock price is 51% less volatile than the S&P 500. Comparatively, Universal Display has a beta of 1.63, indicating that its stock price is 63% more volatile than the S&P 500.

Insider and Institutional Ownership

78.2% of Universal Display shares are held by institutional investors. 6.9% of Microwave Filter shares are held by company insiders. Comparatively, 2.0% of Universal Display shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current recommendations for Microwave Filter and Universal Display, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Microwave Filter	0	0	0	0	0.00
Universal Display	0	4	2	0	2.33

Universal Display has a consensus price target of $163.25, indicating a potential upside of 34.79%. Given Universal Display’s stronger consensus rating and higher possible upside, analysts plainly believe Universal Display is more favorable than Microwave Filter.

Summary

Universal Display beats Microwave Filter on 11 of the 12 factors compared between the two stocks.

About Microwave Filter

Microwave Filter Company, Inc. designs, develops, manufactures, and sells electronic filters for radio and microwave frequencies primarily in the United States. It manufactures RF filters and related components for eliminating interference and facilitating signal processing for cable television, broadcast, commercial and military communications, avionics, radar, navigation, and defense markets. The company also designs waveguide, stripline/microstrip, transmission line, miniature/subminiature, and lumped constant filters. Its configurations include bandpass, highpass, lowpass, bandstop, multiplexers, tunable notch, tunable bandpass, high power filters, amplitude equalized, delay equalized, and filter networks. The company serves 5G, cable television, television and radio broadcast, satellite broadcast, mobile radio, commercial, and aerospace and defense electronics markets. Microwave Filter Company, Inc. was incorporated in 1967 and is based in East Syracuse, New York.

About Universal Display

Universal Display Corporation engages in the research, development, and commercialization of organic light emitting diode (OLED) technologies and materials for use in display and solid-state lighting applications in the United States and internationally. The company offers PHOLED technologies and materials for displays and lighting products under the UniversalPHOLED brand. It is also involved in the research, development, and commercialization of other OLED device and manufacturing technologies, including FOLED that are flexible OLEDs for the fabrication of OLEDs on flexible substrates; and OVJP, an organic vapor jet printing technology. In addition, the company provides technology development and support services, including third-party collaboration and support to third parties for the commercialization of their OLED products; and contract research services in the areas of chemical synthesis research, development, and commercialization for non-OLED applications, as well as engages in the intellectual property and technology licensing activities. Universal Display Corporation was founded in 1985 and is headquartered in Ewing, New Jersey.