Arlo Technologies, Inc. (ARLO) vs Griffon Corporation (GFF)

Arlo Technologies, Inc. and Griffon Corporation are both Building Products & Equipment companies. Griffon Corporation is the larger, with a market value of $4.4B against $1.4B — 3.1× the size. Griffon Corporation trades at the lower P/E: 24.5× against 44.3×. Griffon Corporation grew revenue faster over the last twelve months: 18.2% against 15.7%. Griffon Corporation has the higher net margin (6.98% vs 5.20%) and the lower return on invested capital (22.1% vs 63.0%). Across the 22 metrics below, Griffon Corporation leads on 14 and Arlo Technologies, Inc. on 8.

Valuation

Metric ARLO GFF Building Products & Equipment median
P/E 44.28 24.54 24.54
P/S 2.36 1.69 2.00
P/B 8.76 33.50 3.02
Price to free cash flow 20.76 13.73 18.49
EV/EBITDA 60.17 10.54 12.63
EV/Sales 2.15 2.14 2.14
Earnings yield 2.26% 4.08% 2.74%
Free cash flow yield 4.82% 7.29% 3.58%

Profitability

Metric ARLO GFF Building Products & Equipment median
Gross margin 45.97% 41.40% 29.19%
Operating margin 2.66% 17.61% 6.84%
Net margin 5.20% 6.98% 4.05%
Free cash flow margin 11.39% 12.30% 8.72%
Return on equity 22.07% 185.41% 9.28%
Return on assets 8.80% 9.12% 2.88%
Return on invested capital 63.02% 22.08% 5.16%

Growth

Metric ARLO GFF Building Products & Equipment median
Revenue growth (TTM) 15.65% 18.22% 3.11%
EPS growth (last fiscal year) 145.16% (74.23%) —
Revenue growth, 5-year CAGR 8.19% 4.05% 5.37%
Net income growth, 5-year CAGR 0.00% (0.88%) 0.00%

Health

Metric ARLO GFF Building Products & Equipment median
Debt to equity 0.00 9.75 0.43
Current ratio 1.40 2.41 1.82
Net debt to EBITDA (22.67) 2.52 0.98

Dividend

Metric ARLO GFF Building Products & Equipment median
Dividend yield — 0.89% 1.20%
Payout ratio 0.00 0.13 0.04

Size

Metric ARLO GFF Building Products & Equipment median
Market cap 1.40b 4.37b 1.18b

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