Acuity, Inc. (AYI) vs Vertiv Holdings Co. (VRT)

Acuity, Inc. and Vertiv Holdings Co. are both Electrical Equipment & Parts companies. Vertiv Holdings Co. is the larger, with a market value of $96.8B against $9.3B — 10.5× the size. Acuity, Inc. trades at the lower P/E: 20.7× against 56.2×. Vertiv Holdings Co. grew revenue faster over the last twelve months: 26.2% against 10.5%. Vertiv Holdings Co. has the higher net margin (15.1% vs 10.3%) and the higher return on invested capital (29.6% vs 13.3%). Both pay a dividend; Acuity, Inc. yields more (0.22% vs 0.03%). Across the 23 metrics below, Acuity, Inc. leads on 13 and Vertiv Holdings Co. on 10.

Valuation

Metric AYI VRT Electrical Equipment & Parts median
P/E 20.67 56.16 36.10
P/S 2.10 8.48 2.73
P/B 3.39 20.47 3.57
Price to free cash flow 15.12 33.31 33.31
EV/EBITDA 12.09 37.91 18.07
EV/Sales 2.18 8.47 2.75
Earnings yield 4.84% 1.78% (5.84%)
Free cash flow yield 6.61% 3.00% 0.00%

Profitability

Metric AYI VRT Electrical Equipment & Parts median
Gross margin 49.31% 38.04% 25.38%
Operating margin 14.49% 18.94% 0.00%
Net margin 10.25% 15.09% 0.00%
Free cash flow margin 13.88% 25.47% 0.00%
Return on equity 17.38% 43.94% 0.94%
Return on assets 10.18% 13.17% (1.50%)
Return on invested capital 13.30% 29.63% 0.00%

Growth

Metric AYI VRT Electrical Equipment & Parts median
Revenue growth (TTM) 10.50% 26.23% 9.28%
EPS growth (last fiscal year) (6.77%) 166.41% —
Revenue growth, 5-year CAGR 5.49% 18.54% 9.80%
Net income growth, 5-year CAGR 9.82% 0.00% 0.00%

Health

Metric AYI VRT Electrical Equipment & Parts median
Debt to equity 0.24 0.62 0.08
Current ratio 2.05 1.38 2.18
Net debt to EBITDA 0.68 0.51 0.26

Dividend

Metric AYI VRT Electrical Equipment & Parts median
Dividend yield 0.22% 0.03% 0.84%
Payout ratio 0.05 0.02 0.00

Size

Metric AYI VRT Electrical Equipment & Parts median
Market cap 9.26b 96.81b 177.98m

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