Array Technologies, Inc. (ARRY) vs Sunrun Inc. (RUN)

Array Technologies, Inc. and Sunrun Inc. are both Solar companies. Sunrun Inc. is the larger, with a market value of $1.9B against $613.0M — 3.1× the size. Array Technologies, Inc. has negative trailing earnings, so its P/E is not meaningful; Sunrun Inc. trades at 4.7×. Sunrun Inc. grew revenue faster over the last twelve months: 63.2% against 1.18%. Sunrun Inc. has the higher net margin (11.6% vs −12.5%) and the higher return on invested capital (0.31% vs −25.6%). Across the 18 metrics below, Array Technologies, Inc. leads on 9 and Sunrun Inc. on 9.

Valuation

Metric ARRY RUN Solar median
P/E n/m 4.74 10.93
P/S 0.52 0.56 0.54
P/B n/m 0.44 1.44
Price to free cash flow 4.60 n/m 9.91
EV/EBITDA 9.40 19.02 9.90
EV/Sales 0.83 4.60 0.74
Earnings yield (24.32%) 21.09% 0.00%
Free cash flow yield 21.73% (114.08%) 0.00%

Profitability

Metric ARRY RUN Solar median
Gross margin 24.27% 35.29% 31.92%
Operating margin (5.13%) 2.66% (9.70%)
Net margin (12.48%) 11.59% (8.48%)
Free cash flow margin 11.37% (63.62%) (2.95%)
Return on equity 108.38% 9.92% 5.34%
Return on assets (9.62%) 1.81% (5.36%)
Return on invested capital (25.60%) 0.31% (5.27%)

Growth

Metric ARRY RUN Solar median
Revenue growth (TTM) 1.18% 63.23% 16.97%
EPS growth (last fiscal year) 62.56% 113.35% —
Revenue growth, 5-year CAGR 8.03% 26.24% 14.00%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric ARRY RUN Solar median
Debt to equity (3.25) 3.46 0.09
Current ratio 2.20 1.42 1.33
Net debt to EBITDA 3.36 22.50 0.03

Dividend

Metric ARRY RUN Solar median
Dividend yield — — —
Payout ratio 0.00 0.00 0.00

Size

Metric ARRY RUN Solar median
Market cap 612.95m 1.90b 43.46m

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