Armstrong World Industries, Inc. (AWI) vs Advanced Drainage Systems, Inc. (WMS)

Armstrong World Industries, Inc. and Advanced Drainage Systems, Inc. are both Building Products & Equipment companies. Advanced Drainage Systems, Inc. is the larger, with a market value of $9.3B against $7.1B — 1.3× the size. Armstrong World Industries, Inc. trades at the lower P/E: 22.8× against 23.3×. Advanced Drainage Systems, Inc. grew revenue faster over the last twelve months: 9.18% against 9.11%. Armstrong World Industries, Inc. has the higher net margin (18.4% vs 12.4%) and the higher return on invested capital (21.4% vs 11.9%). Both pay a dividend; Armstrong World Industries, Inc. yields more (0.81% vs 0.62%). Across the 23 metrics below, Armstrong World Industries, Inc. leads on 14 and Advanced Drainage Systems, Inc. on 9.

Valuation

Metric AWI WMS Building Products & Equipment median
P/E 22.79 23.33 23.33
P/S 4.12 2.85 2.09
P/B 8.05 5.22 2.85
Price to free cash flow 33.03 16.89 18.42
EV/EBITDA 13.29 12.37 13.29
EV/Sales 4.37 3.34 2.28
Earnings yield 4.39% 4.29% 3.04%
Free cash flow yield 3.03% 5.92% 4.26%

Profitability

Metric AWI WMS Building Products & Equipment median
Gross margin 39.83% 38.36% 31.88%
Operating margin 25.84% 19.62% 7.18%
Net margin 18.38% 12.44% 4.11%
Free cash flow margin 12.48% 0.00% 6.41%
Return on equity 36.00% 22.36% 5.95%
Return on assets 16.47% 9.49% 3.90%
Return on invested capital 21.35% 11.90% 5.54%

Growth

Metric AWI WMS Building Products & Equipment median
Revenue growth (TTM) 9.11% 9.18% 6.27%
EPS growth (last fiscal year) 17.61% (5.56%) (28.29%)
Revenue growth, 5-year CAGR 11.59% 9.00% 4.81%
Net income growth, 5-year CAGR 0.00% 18.13% 0.00%

Health

Metric AWI WMS Building Products & Equipment median
Debt to equity 0.56 0.97 0.55
Current ratio 1.45 2.13 1.83
Net debt to EBITDA 0.59 1.80 1.45

Dividend

Metric AWI WMS Building Products & Equipment median
Dividend yield 0.81% 0.62% 1.37%
Payout ratio 0.19 0.14 0.28

Size

Metric AWI WMS Building Products & Equipment median
Market cap 7.13b 9.25b 3.22b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack