BlackBerry Limited (BB) vs WEX Inc. (WEX)

BlackBerry Limited and WEX Inc. are both Software Infrastructure companies. WEX Inc. is the larger, with a market value of $5.9B against $4.9B — 1.2× the size. WEX Inc. trades at the lower P/E: 15.3× against 62.9×. BlackBerry Limited grew revenue faster over the last twelve months: 14.4% against 9.75%. WEX Inc. has the higher net margin (14.0% vs 13.1%) and the lower return on invested capital (0.00% vs 8.56%). Across the 20 metrics below, WEX Inc. leads on 11 and BlackBerry Limited on 9.

Valuation

Metric BB WEX Software Infrastructure median
P/E 62.90 15.32 24.43
P/S 8.08 2.13 2.81
P/B 6.27 5.31 2.88
Price to free cash flow 57.71 n/m 17.94
EV/EBITDA 49.73 5.00 14.51
EV/Sales 8.05 1.91 2.91
Earnings yield 1.59% 6.53% 0.00%
Free cash flow yield 1.73% (5.72%) 0.49%

Profitability

Metric BB WEX Software Infrastructure median
Gross margin 77.87% 60.39% 57.45%
Operating margin 13.63% 26.61% 0.00%
Net margin 13.09% 14.04% 0.00%
Free cash flow margin 14.01% (12.15%) 0.00%
Return on equity 10.60% 35.63% 0.00%
Return on assets 6.57% 2.64% 0.00%
Return on invested capital 8.56% 0.00% 0.00%

Growth

Metric BB WEX Software Infrastructure median
Revenue growth (TTM) 14.42% 9.75% 14.28%
EPS growth (last fiscal year) 169.23% 12.93% 18.26%
Revenue growth, 5-year CAGR (9.27%) 11.27% 16.15%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric BB WEX Software Infrastructure median
Debt to equity 0.25 3.00 0.02
Current ratio 2.38 1.03 1.53
Net debt to EBITDA (2.47) (2.49) 0.05

Dividend

Metric BB WEX Software Infrastructure median
Dividend yield — — 1.06%
Payout ratio — — 0.29

Size

Metric BB WEX Software Infrastructure median
Market cap 4.91b 5.91b 661.51m

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