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 $68.1B against $7.5B — 9.0× the size. Advanced Energy Industries, Inc. trades at the lower P/E: 25.4× against 32.5×. Vertiv Holdings Co. grew revenue faster over the last twelve months: 35.3% against 31.7%. Vertiv Holdings Co. has the higher net margin (16.0% vs 12.7%) and the higher return on invested capital (35.0% vs 15.9%). Both pay a dividend; Advanced Energy Industries, Inc. yields more (0.21% vs 0.14%). 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 25.40 32.52 24.14
P/S 3.33 5.21 2.33
P/B 4.75 12.41 2.49
Price to free cash flow 108.15 21.75 22.24
EV/EBITDA 17.09 22.02 12.18
EV/Sales 3.26 5.15 1.79
Earnings yield 3.94% 3.08% (6.07%)
Free cash flow yield 0.92% 4.60% (5.34%)

Profitability

Metric AEIS VRT Electrical Equipment & Parts median
Gross margin 40.30% 38.12% 29.92%
Operating margin 15.99% 20.14% 0.00%
Net margin 12.72% 15.99% 0.00%
Free cash flow margin 3.08% 23.94% 0.00%
Return on equity 19.93% 46.57% 0.00%
Return on assets 9.49% 14.47% 0.00%
Return on invested capital 15.85% 34.99% 0.00%

Growth

Metric AEIS VRT Electrical Equipment & Parts median
Revenue growth (TTM) 31.66% 35.27% 10.59%
EPS growth (last fiscal year) 168.53% 166.41% 24.08%
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 0.80 0.53 0.15
Current ratio 3.62 1.39 2.34
Net debt to EBITDA (0.96) 0.51 0.26

Dividend

Metric AEIS VRT Electrical Equipment & Parts median
Dividend yield 0.21% 0.14% 0.33%
Payout ratio 0.06 0.05 0.09

Size

Metric AEIS VRT Electrical Equipment & Parts median
Market cap 7.52b 68.05b 159.94m

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