ARKO Corp. (ARKO) vs Barnes & Noble Education, Inc (BNED)

ARKO Corp. and Barnes & Noble Education, Inc are both Specialty Retail companies. ARKO Corp. is the larger, with a market value of $474.6M against $385.8M — 1.2× the size. Barnes & Noble Education, Inc trades at the lower P/E: 17.5× against 53.5×. Barnes & Noble Education, Inc grew revenue faster over the last twelve months: 5.03% against −2.05%. Barnes & Noble Education, Inc has the higher net margin (1.29% vs 0.11%) and the higher return on invested capital (6.73% vs 5.70%). Across the 22 metrics below, Barnes & Noble Education, Inc leads on 18 and ARKO Corp. on 4.

Valuation

Metric ARKO BNED Specialty Retail median
P/E 53.50 17.48 17.14
P/S 0.06 0.23 0.48
P/B 1.02 1.41 1.71
Price to free cash flow 10.86 8.04 13.04
EV/EBITDA 5.16 9.41 8.92
EV/Sales 0.14 0.43 0.64
Earnings yield 1.87% 5.72% 3.85%
Free cash flow yield 9.21% 12.44% 3.02%

Profitability

Metric ARKO BNED Specialty Retail median
Gross margin 14.68% 21.42% 37.89%
Operating margin 1.23% 2.47% 3.66%
Net margin 0.11% 1.29% 1.42%
Free cash flow margin 0.56% 2.84% 1.44%
Return on equity 2.46% 8.31% 2.58%
Return on assets 0.25% 2.47% 0.25%
Return on invested capital 5.70% 6.73% 0.00%

Growth

Metric ARKO BNED Specialty Retail median
Revenue growth (TTM) (2.05%) 5.03% 3.35%
EPS growth (last fiscal year) 15.38% 119.60% —
Revenue growth, 5-year CAGR 0.60% 4.04% 3.70%
Net income growth, 5-year CAGR (20.49%) 0.00% 0.00%

Health

Metric ARKO BNED Specialty Retail median
Debt to equity 1.85 0.44 0.27
Current ratio 1.60 1.66 1.35
Net debt to EBITDA 3.59 0.86 0.24

Dividend

Metric ARKO BNED Specialty Retail median
Dividend yield 1.49% — 1.73%
Payout ratio 0.31 0.00 0.00

Size

Metric ARKO BNED Specialty Retail median
Market cap 474.55m 385.82m 348.57m

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