Array Technologies, Inc. (ARRY) vs DAQO New Energy Corp. (DQ)

Array Technologies, Inc. and DAQO New Energy Corp. are both Solar companies. DAQO New Energy Corp. is the larger, with a market value of $774.8M against $613.0M — 1.3× the size. Array Technologies, Inc. grew revenue faster over the last twelve months: 1.18% against −6.28%. Array Technologies, Inc. has the higher net margin (−12.5% vs −34.5%) and the lower return on invested capital (−25.6% vs −4.45%). Across the 18 metrics below, Array Technologies, Inc. leads on 12 and DAQO New Energy Corp. on 6.

Valuation

Metric ARRY DQ Solar median
P/E n/m n/m 10.93
P/S 0.52 0.28 0.54
P/B n/m 0.03 1.44
Price to free cash flow 4.60 n/m 9.91
EV/EBITDA 9.40 4.89 9.90
EV/Sales 0.83 (2.55) 0.74
Earnings yield (24.32%) (24.76%) 0.00%
Free cash flow yield 21.73% (174.96%) 0.00%

Profitability

Metric ARRY DQ Solar median
Gross margin 24.27% (35.45%) 31.92%
Operating margin (5.13%) (52.20%) (9.70%)
Net margin (12.48%) (34.50%) (8.48%)
Free cash flow margin 11.37% (47.06%) (2.95%)
Return on equity 108.38% 0.00% 5.34%
Return on assets (9.62%) (3.04%) (5.36%)
Return on invested capital (25.60%) (4.45%) (5.27%)

Growth

Metric ARRY DQ Solar median
Revenue growth (TTM) 1.18% (6.28%) 16.97%
EPS growth (last fiscal year) 62.56% 51.53% —
Revenue growth, 5-year CAGR 8.03% (0.30%) 14.00%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric ARRY DQ Solar median
Debt to equity (3.25) 0.00 0.09
Current ratio 2.20 5.81 1.33
Net debt to EBITDA 3.36 68.42 0.03

Dividend

Metric ARRY DQ Solar median
Dividend yield — 1.15% —
Payout ratio 0.00 0.00 0.00

Size

Metric ARRY DQ Solar median
Market cap 612.95m 774.82m 43.46m

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