UCTT vs MKSI

For growth investors, MKS Inc.

(MKSI) is the stronger pick with 9. 6% revenue growth year-over-year, versus -2. 1% for Ultra Clean Holdings, Inc. (UCTT). MKS Inc. (MKSI) offers the better valuation at 65. 8x trailing P/E (29. 7x forward), making it the more compelling value choice. Analysts rate Ultra Clean Holdings, Inc. (UCTT) a "Buy" — based on 12 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, MKS Inc.

is actually cheaper at 29. 7x.

Over the past 5 years, Ultra Clean Holdings, Inc.

(UCTT) delivered a total return of +72. 2%, compared to +65. 5% for MKS Inc. (MKSI). Over 10 years, the gap is even starker: UCTT returned +1451% versus MKSI's +737. 5%. 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), MKS Inc.

(MKSI) is the lower-risk stock at 2. 64β versus Ultra Clean Holdings, Inc. 's 3. 19β — meaning UCTT is approximately 21% more volatile than MKSI relative to the S&P 500. On balance sheet safety, Ultra Clean Holdings, Inc. (UCTT) carries a lower debt/equity ratio of 103% versus 173% for MKS Inc. — giving it more financial flexibility in a downturn.

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

(MKSI) is pulling ahead at 9. 6% versus -2. 1% for Ultra Clean Holdings, Inc. (UCTT). On earnings-per-share growth, the picture is similar: MKS Inc. grew EPS 55. 5% year-over-year, compared to -869. 2% for Ultra Clean Holdings, Inc.. Over a 3-year CAGR, MKSI leads at 3. 5% 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.

MKS Inc.

(MKSI) is the more profitable company, earning 7. 5% net margin versus -8. 8% for Ultra Clean Holdings, Inc. — meaning it keeps 7. 5% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: MKSI leads at 14. 4% versus 2. 1% for UCTT. At the gross margin level — before operating expenses — MKSI leads at 40. 4%, 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, MKS Inc.

(MKSI) trades at 29. 7x forward P/E versus 36. 0x for Ultra Clean Holdings, Inc. — 6. 3x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for UCTT: 2. 2% to $85. 00.

In this comparison, MKSI (0.

3% yield) pays a dividend. UCTT does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Ultra Clean Holdings, Inc.

(UCTT) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (+1451% 10Y return). MKS Inc. (MKSI) carries a higher beta of 2. 64 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (UCTT: +1451%, MKSI: +737. 5%), 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.