Baxter International Inc. (BAX) vs Bausch + Lomb Corporation (BLCO)

Baxter International Inc. and Bausch + Lomb Corporation are both Medical Instruments & Supplies companies. Baxter International Inc. is the larger, with a market value of $13.3B against $6.0B — 2.2× the size. Bausch + Lomb Corporation grew revenue faster over the last twelve months: 8.85% against 5.36%. Bausch + Lomb Corporation has the higher net margin (−3.21% vs −9.27%) and the higher return on invested capital (1.81% vs −1.27%). Across the 20 metrics below, Bausch + Lomb Corporation leads on 13 and Baxter International Inc. on 7.

Valuation

Metric BAX BLCO Medical Instruments & Supplies median
P/E n/m n/m 33.75
P/S 1.14 1.10 2.52
P/B 2.12 0.91 2.48
Price to free cash flow 16.07 52.29 25.19
EV/EBITDA 14.03 14.14 14.62
EV/Sales 1.78 1.99 2.88
Earnings yield (8.17%) (2.93%) (2.67%)
Free cash flow yield 6.22% 1.91% 0.09%

Profitability

Metric BAX BLCO Medical Instruments & Supplies median
Gross margin 30.08% 61.44% 54.29%
Operating margin (2.39%) 6.07% 1.07%
Net margin (9.27%) (3.21%) (1.61%)
Free cash flow margin 7.11% 2.57% 1.08%
Return on equity (15.78%) (2.64%) (1.32%)
Return on assets (5.21%) (1.24%) 0.00%
Return on invested capital (1.27%) 1.81% 0.00%

Growth

Metric BAX BLCO Medical Instruments & Supplies median
Revenue growth (TTM) 5.36% 8.85% 8.85%
EPS growth (last fiscal year) (47.24%) (13.33%) 8.65%
Revenue growth, 5-year CAGR (0.75%) 8.38% 9.17%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric BAX BLCO Medical Instruments & Supplies median
Debt to equity 1.53 0.79 0.10
Current ratio 1.95 1.55 2.48
Net debt to EBITDA 5.19 8.49 0.89

Dividend

Metric BAX BLCO Medical Instruments & Supplies median
Dividend yield 0.16% — 1.11%
Payout ratio — — 0.27

Size

Metric BAX BLCO Medical Instruments & Supplies median
Market cap 13.32b 5.95b 619.84m

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