Landon Capital

Taitron Components Incorporated (Nasdaq:TAIT) is a distributor of brand name electronic components and supplier of original designed and manufactured (ODM) electronic components. These products range from semiconductors to small electronic devices. They employ a superstore strategy by carrying a large quantity and variety of inventory to meet the rapid delivery requirements of their customers.

Comps: TESSCO Technologies Incorporated (Nasdaq:TESS), ADDvantage Technologies Group, Inc. (Nasdaq:AEY)

When we look at Taitron Components Incorporated compared to TESSCO Technologies Incorporated and ADDvantage Technologies Group, we see that Taitron Components is superior in terms of earnings per share, profit margins, and return on equity. Moreover, Taitron Components has a lower price relative to earnings per share. Therefore, Taitron Components value as an ODM for OEMs on a large scale allows for a significant advantage on their operations margins.