Blend Labs, Inc. (BLND) vs Ribbon Communications Inc. (RBBN)

Blend Labs, Inc. and Ribbon Communications Inc. are both Software Application companies. Blend Labs, Inc. and Ribbon Communications Inc. are of similar size ($269.6M and $247.3M). Blend Labs, Inc. has negative trailing earnings, so its P/E is not meaningful; Ribbon Communications Inc. trades at 12.3×. Blend Labs, Inc. grew revenue faster over the last twelve months: 6.65% against −7.78%. Ribbon Communications Inc. has the higher net margin (2.32% vs −14.6%) and the lower return on invested capital (−2.63% vs 0.00%). Across the 18 metrics below, Blend Labs, Inc. leads on 10 and Ribbon Communications Inc. on 8.

Valuation

Metric BLND RBBN Software Application median
P/E n/m 12.29 26.44
P/S 1.77 0.30 2.90
P/B n/m 0.62 2.60
Price to free cash flow 30.49 n/m 17.04
EV/EBITDA n/m 16.82 15.48
EV/Sales 2.50 0.67 3.00
Earnings yield (8.33%) 8.13% 0.20%
Free cash flow yield 3.28% (12.38%) 1.96%

Profitability

Metric BLND RBBN Software Application median
Gross margin 74.78% 48.27% 67.34%
Operating margin (11.99%) (3.62%) 0.00%
Net margin (14.55%) 2.32% 0.00%
Free cash flow margin 5.82% (3.70%) 5.77%
Return on equity 38.95% 4.96% 0.00%
Return on assets (11.56%) 1.65% 0.00%
Return on invested capital 0.00% (2.63%) 0.00%

Growth

Metric BLND RBBN Software Application median
Revenue growth (TTM) 6.65% (7.78%) 12.12%
EPS growth (last fiscal year) 58.33% 170.97% 32.44%
Revenue growth, 5-year CAGR 5.18% 0.02% 14.34%
Net income growth, 5-year CAGR 0.00% (14.86%) 0.00%

Health

Metric BLND RBBN Software Application median
Debt to equity 0.00 0.88 0.04
Current ratio 1.62 1.32 1.53
Net debt to EBITDA 4.19 3.89 0.09

Dividend

Metric BLND RBBN Software Application median
Dividend yield — — 1.07%
Payout ratio — — 0.28

Size

Metric BLND RBBN Software Application median
Market cap 269.63m 247.26m 383.88m

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