Badger Meter, Inc. (BMI) vs Novanta Inc. (NOVT)

Badger Meter, Inc. and Novanta Inc. are both Scientific & Technical Instruments companies. Badger Meter, Inc. and Novanta Inc. are of similar size ($5.0B and $4.6B). Badger Meter, Inc. trades at the lower P/E: 36.3× against 84.6×. Novanta Inc. grew revenue faster over the last twelve months: 7.61% against −2.21%. Badger Meter, Inc. has the higher net margin (14.4% vs 6.00%) and the higher return on invested capital (17.7% vs 5.12%). Across the 22 metrics below, Badger Meter, Inc. leads on 17 and Novanta Inc. on 5.

Valuation

Metric BMI NOVT Scientific & Technical Instruments median
P/E 36.26 84.55 28.21
P/S 5.15 5.35 4.46
P/B 6.96 3.41 3.10
Price to free cash flow 31.85 50.54 24.15
EV/EBITDA 21.98 32.65 18.28
EV/Sales 5.07 4.88 4.64
Earnings yield 2.76% 1.18% 0.68%
Free cash flow yield 3.14% 1.98% 1.98%

Profitability

Metric BMI NOVT Scientific & Technical Instruments median
Gross margin 41.64% 44.54% 47.24%
Operating margin 18.76% 8.96% 8.96%
Net margin 14.36% 6.00% 1.92%
Free cash flow margin 16.16% 10.59% 10.59%
Return on equity 18.70% 5.11% 2.66%
Return on assets 13.17% 3.38% 1.12%
Return on invested capital 17.72% 5.12% 4.79%

Growth

Metric BMI NOVT Scientific & Technical Instruments median
Revenue growth (TTM) (2.21%) 7.61% 9.26%
EPS growth (last fiscal year) 13.24% (16.95%) 13.24%
Revenue growth, 5-year CAGR 16.59% 10.67% 7.89%
Net income growth, 5-year CAGR 23.48% 3.87% 0.00%

Health

Metric BMI NOVT Scientific & Technical Instruments median
Debt to equity 0.00 0.14 0.00
Current ratio 2.48 4.57 2.30
Net debt to EBITDA (1.04) (0.83) 0.45

Dividend

Metric BMI NOVT Scientific & Technical Instruments median
Dividend yield 1.04% — 0.62%
Payout ratio 0.38 — 0.22

Size

Metric BMI NOVT Scientific & Technical Instruments median
Market cap 4.56b 4.99b 549.07m

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