AMSC vs POWI

For growth investors, American Superconductor Corporation (AMSC) is the stronger pick with 53.

0% revenue growth year-over-year, versus 5. 9% for Power Integrations, Inc. (POWI). Power Integrations, Inc. (POWI) offers the better valuation at 200. 6x trailing P/E (60. 5x forward), making it the more compelling value choice. Analysts rate American Superconductor Corporation (AMSC) a "Buy" — based on 15 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Power Integrations, Inc.

(POWI) is the cheapest at 200. 6x versus American Superconductor Corporation at 356. 7x. On forward P/E, American Superconductor Corporation is actually cheaper at 16. 5x — notably different from the trailing picture, reflecting expected earnings growth.

Over the past 5 years, American Superconductor Corporation (AMSC) delivered a total return of +292.

2%, compared to +1. 4% for Power Integrations, Inc. (POWI). Over 10 years, the gap is even starker: AMSC returned +398. 9% versus POWI's +264. 8%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Power Integrations, Inc.

(POWI) is the lower-risk stock at 2. 08β versus American Superconductor Corporation's 2. 90β — meaning AMSC is approximately 39% more volatile than POWI relative to the S&P 500.

By revenue growth (latest reported year), American Superconductor Corporation (AMSC) is pulling ahead at 53.

0% versus 5. 9% for Power Integrations, Inc. (POWI). On earnings-per-share growth, the picture is similar: American Superconductor Corporation grew EPS 143. 2% year-over-year, compared to -30. 4% for Power Integrations, Inc.. Over a 3-year CAGR, AMSC leads at 27. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Power Integrations, Inc.

(POWI) is the more profitable company, earning 5. 0% net margin versus 2. 7% for American Superconductor Corporation — meaning it keeps 5. 0% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: POWI leads at 4. 8% versus -0. 5% for AMSC. At the gross margin level — before operating expenses — POWI leads at 54. 5%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, American Superconductor Corporation (AMSC) trades at 16.

5x forward P/E versus 60. 5x for Power Integrations, Inc. — 44. 0x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for AMSC: 7. 8% to $61. 50.

In this comparison, POWI (1.

1% yield) pays a dividend. AMSC does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Power Integrations, Inc.

(POWI) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (1. 1% yield, +264. 8% 10Y return). American Superconductor Corporation (AMSC) carries a higher beta of 2. 90 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (POWI: +264. 8%, AMSC: +398. 9%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (AMSC (Industrials) and POWI (Technology)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: AMSC is a small-cap high-growth stock; POWI is a small-cap quality compounder stock. POWI pays a dividend while AMSC does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.