DAIO vs COHU

For growth investors, Cohu, Inc.

(COHU) is the stronger pick with 12. 7% revenue growth year-over-year, versus -1. 2% for Data I/O Corporation (DAIO). Analysts rate Cohu, Inc. (COHU) a "Buy" — based on 14 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.

Over the past 5 years, Cohu, Inc.

(COHU) delivered a total return of +22. 2%, compared to -47. 7% for Data I/O Corporation (DAIO). Over 10 years, the gap is even starker: COHU returned +330. 2% versus DAIO's +13. 2%. 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), Data I/O Corporation (DAIO) is the lower-risk stock at 0.

64β versus Cohu, Inc. 's 2. 13β — meaning COHU is approximately 232% more volatile than DAIO relative to the S&P 500. On balance sheet safety, Data I/O Corporation (DAIO) carries a lower debt/equity ratio of 21% versus 46% for Cohu, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Cohu, Inc.

(COHU) is pulling ahead at 12. 7% versus -1. 2% for Data I/O Corporation (DAIO). On earnings-per-share growth, the picture is similar: Cohu, Inc. grew EPS -6. 7% year-over-year, compared to -55. 9% for Data I/O Corporation. Over a 3-year CAGR, DAIO leads at -3. 9% 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.

Cohu, Inc.

(COHU) is the more profitable company, earning -16. 4% net margin versus -23. 2% for Data I/O Corporation — meaning it keeps -16. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: COHU leads at -13. 3% versus -23. 8% for DAIO. At the gross margin level — before operating expenses — DAIO leads at 49. 3%, 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.

None of the stocks in this comparison currently pay a material dividend.

All are effectively zero-yield and should be held for capital appreciation rather than income.

For long-horizon retirement investors, Data I/O Corporation (DAIO) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

64)). Cohu, Inc. (COHU) carries a higher beta of 2. 13 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (DAIO: +13. 2%, COHU: +330. 2%), 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.

Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

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.