Alamo Group, Inc. (ALG) vs Astec Industries, Inc. (ASTE)

Alamo Group, Inc. and Astec Industries, Inc. are both Farm & Heavy Construction Machinery companies. Alamo Group, Inc. is the larger, with a market value of $1.9B against $934.6M — 2.1× the size. Alamo Group, Inc. trades at the lower P/E: 19.0× against 48.0×. Astec Industries, Inc. grew revenue faster over the last twelve months: 18.7% against 4.07%. Alamo Group, Inc. has the higher net margin (6.08% vs 1.26%) and the higher return on invested capital (7.37% vs 3.36%). Both pay a dividend; Astec Industries, Inc. yields more (1.47% vs 0.41%). Across the 23 metrics below, Alamo Group, Inc. leads on 16 and Astec Industries, Inc. on 7.

Valuation

Metric ALG ASTE Farm & Heavy Construction Machinery median
P/E 19.00 48.00 23.38
P/S 1.16 0.61 0.81
P/B 1.62 1.38 1.43
Price to free cash flow 13.90 28.36 25.31
EV/EBITDA 9.68 10.70 12.13
EV/Sales 1.20 0.81 1.20
Earnings yield 5.26% 2.08% 2.73%
Free cash flow yield 7.19% 3.53% 3.02%

Profitability

Metric ALG ASTE Farm & Heavy Construction Machinery median
Gross margin 24.21% 25.68% 24.21%
Operating margin 8.91% 3.43% 4.47%
Net margin 6.08% 1.26% 1.49%
Free cash flow margin 8.46% 2.15% 2.15%
Return on equity 8.77% 2.87% 4.16%
Return on assets 6.16% 1.58% 1.45%
Return on invested capital 7.37% 3.36% 3.36%

Growth

Metric ALG ASTE Farm & Heavy Construction Machinery median
Revenue growth (TTM) 4.07% 18.70% 2.18%
EPS growth (last fiscal year) (10.80%) 784.21% —
Revenue growth, 5-year CAGR 6.63% 6.60% 7.34%
Net income growth, 5-year CAGR 12.42% (3.35%) 0.00%

Health

Metric ALG ASTE Farm & Heavy Construction Machinery median
Debt to equity 0.22 0.55 0.67
Current ratio 4.39 2.52 1.98
Net debt to EBITDA (0.50) 2.36 1.12

Dividend

Metric ALG ASTE Farm & Heavy Construction Machinery median
Dividend yield 0.41% 1.47% 1.45%
Payout ratio 0.08 0.47 0.08

Size

Metric ALG ASTE Farm & Heavy Construction Machinery median
Market cap 1.94b 934.60m 772.81m

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