Advanced Energy Industries, Inc. (AEIS) vs Vertiv Holdings Co. (VRT)

Advanced Energy Industries, Inc. and Vertiv Holdings Co. are both Electrical Equipment & Parts companies. Vertiv Holdings Co. is the larger, with a market value of $82.7B against $10.1B — 8.2× the size. Advanced Energy Industries, Inc. trades at the lower P/E: 41.2× against 45.8×. Vertiv Holdings Co. grew revenue faster over the last twelve months: 26.2% against 24.6%. Vertiv Holdings Co. has the higher net margin (15.1% vs 10.8%) and the higher return on invested capital (29.6% vs 12.7%). Both pay a dividend; Advanced Energy Industries, Inc. yields more (0.17% vs 0.12%). Across the 23 metrics below, Advanced Energy Industries, Inc. leads on 12 and Vertiv Holdings Co. on 11.

Valuation

Metric AEIS VRT Electrical Equipment & Parts median
P/E 41.19 45.77 31.20
P/S 4.54 6.91 2.28
P/B 6.36 16.68 3.19
Price to free cash flow 106.81 27.15 27.15
EV/EBITDA 27.21 30.88 15.80
EV/Sales 4.48 6.90 2.38
Earnings yield 2.43% 2.18% (5.87%)
Free cash flow yield 0.94% 3.68% 0.00%

Profitability

Metric AEIS VRT Electrical Equipment & Parts median
Gross margin 39.28% 38.04% 25.38%
Operating margin 13.21% 18.94% 0.00%
Net margin 10.77% 15.09% 0.00%
Free cash flow margin 4.25% 25.47% 0.00%
Return on equity 16.17% 43.94% 0.14%
Return on assets 7.56% 13.17% (1.50%)
Return on invested capital 12.71% 29.63% 0.00%

Growth

Metric AEIS VRT Electrical Equipment & Parts median
Revenue growth (TTM) 24.58% 26.23% 7.92%
EPS growth (last fiscal year) 168.53% 166.41% 27.37%
Revenue growth, 5-year CAGR 4.90% 18.54% 9.92%
Net income growth, 5-year CAGR 1.96% 0.00% 0.00%

Health

Metric AEIS VRT Electrical Equipment & Parts median
Debt to equity 0.87 0.62 0.16
Current ratio 3.79 1.38 2.31
Net debt to EBITDA (0.96) 0.51 0.26

Dividend

Metric AEIS VRT Electrical Equipment & Parts median
Dividend yield 0.17% 0.12% 0.48%
Payout ratio 0.07 0.06 0.10

Size

Metric AEIS VRT Electrical Equipment & Parts median
Market cap 10.10b 82.68b 157.22m

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