Alight, Inc. (ALIT) vs 8x8 Inc (EGHT)

Alight, Inc. and 8x8 Inc are both Software Application companies. Alight, Inc. and 8x8 Inc are of similar size ($329.3M and $303.9M). Alight, Inc. has negative trailing earnings, so its P/E is not meaningful; 8x8 Inc trades at 64.6×. 8x8 Inc grew revenue faster over the last twelve months: 3.66% against −3.46%. 8x8 Inc has the higher net margin (0.64% vs −90.9%) and the higher return on invested capital (3.92% vs −51.8%). Across the 20 metrics below, 8x8 Inc leads on 12 and Alight, Inc. on 8.

Valuation

Metric ALIT EGHT Software Application median
P/E n/m 64.61 24.79
P/S 0.13 0.44 2.67
P/B 0.28 2.21 3.01
Price to free cash flow 1.17 7.03 16.59
EV/EBITDA 4.34 6.17 14.40
EV/Sales 0.82 0.73 2.62
Earnings yield (700.36%) 1.55% 0.00%
Free cash flow yield 85.75% 14.23% 1.91%

Profitability

Metric ALIT EGHT Software Application median
Gross margin 32.09% 63.26% 67.03%
Operating margin (95.65%) 3.06% 0.00%
Net margin (90.90%) 0.64% 0.00%
Free cash flow margin 11.16% 6.24% 4.32%
Return on equity (97.81%) 3.45% 0.00%
Return on assets (36.72%) 0.70% 0.00%
Return on invested capital (51.82%) 3.92% 0.00%

Growth

Metric ALIT EGHT Software Application median
Revenue growth (TTM) (3.46%) 3.66% 12.40%
EPS growth (last fiscal year) (1,924.14%) 104.76% —
Revenue growth, 5-year CAGR (3.68%) 6.69% 13.72%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric ALIT EGHT Software Application median
Debt to equity 1.95 2.08 0.02
Current ratio 1.42 1.05 1.55
Net debt to EBITDA 3.35 2.64 0.06

Dividend

Metric ALIT EGHT Software Application median
Dividend yield — — 1.25%
Payout ratio 0.00 0.00 0.00

Size

Metric ALIT EGHT Software Application median
Market cap 303.87m 329.31m 396.11m

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