FEIM vs MTSI

For growth investors, MACOM Technology Solutions Holdings, Inc.

(MTSI) is the stronger pick with 32. 6% revenue growth year-over-year, versus 26. 3% for Frequency Electronics, Inc. (FEIM). Frequency Electronics, Inc. (FEIM) offers the better valuation at 22. 3x trailing P/E (74. 1x forward), making it the more compelling value choice. Analysts rate MACOM Technology Solutions Holdings, Inc. (MTSI) a "Buy" — based on 23 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 forward P/E, Frequency Electronics, Inc.

is actually cheaper at 74. 1x.

Over the past 5 years, MACOM Technology Solutions Holdings, Inc.

(MTSI) delivered a total return of +513. 6%, compared to +471. 5% for Frequency Electronics, Inc. (FEIM). Over 10 years, the gap is even starker: MTSI returned +795. 9% versus FEIM's +473. 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), MACOM Technology Solutions Holdings, Inc.

(MTSI) is the lower-risk stock at 1. 75β versus Frequency Electronics, Inc. 's 2. 17β — meaning FEIM is approximately 24% more volatile than MTSI relative to the S&P 500. On balance sheet safety, Frequency Electronics, Inc. (FEIM) carries a lower debt/equity ratio of 16% versus 41% for MACOM Technology Solutions Holdings, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), MACOM Technology Solutions Holdings, Inc.

(MTSI) is pulling ahead at 32. 6% versus 26. 3% for Frequency Electronics, Inc. (FEIM). On earnings-per-share growth, the picture is similar: Frequency Electronics, Inc. grew EPS 316. 9% year-over-year, compared to -170. 2% for MACOM Technology Solutions Holdings, Inc.. Over a 3-year CAGR, FEIM leads at 13. 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.

Frequency Electronics, Inc.

(FEIM) is the more profitable company, earning 34. 1% net margin versus -5. 6% for MACOM Technology Solutions Holdings, Inc. — meaning it keeps 34. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: FEIM leads at 16. 8% versus 13. 4% for MTSI. At the gross margin level — before operating expenses — MTSI leads at 54. 9%, 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, Frequency Electronics, Inc.

(FEIM) trades at 74. 1x forward P/E versus 76. 9x for MACOM Technology Solutions Holdings, Inc. — 2. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for FEIM: -19. 7% to $44. 00.

In this comparison, FEIM (1.

8% yield) pays a dividend. MTSI does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Frequency Electronics, Inc.

(FEIM) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (1. 8% yield, +473. 8% 10Y return). MACOM Technology Solutions Holdings, Inc. (MTSI) carries a higher beta of 1. 75 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (FEIM: +473. 8%, MTSI: +795. 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.

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

FEIM pays a dividend while MTSI 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.