Brady Corporation (BRC) vs Mistras Group Inc (MG)

Brady Corporation and Mistras Group Inc are both Security & Protection Services companies. Brady Corporation is the larger, with a market value of $3.9B against $681.2M — 5.7× the size. Brady Corporation trades at the lower P/E: 19.3× against 25.0×. Brady Corporation grew revenue faster over the last twelve months: 9.78% against 5.23%. Brady Corporation has the higher net margin (12.4% vs 3.65%) and the higher return on invested capital (13.9% vs 7.73%). Across the 22 metrics below, Brady Corporation leads on 18 and Mistras Group Inc on 4.

Valuation

Metric BRC MG Security & Protection Services median
P/E 19.31 25.02 21.88
P/S 2.39 0.93 1.21
P/B 2.93 2.85 2.21
Price to free cash flow 20.62 23.83 20.62
EV/EBITDA 12.37 10.36 12.37
EV/Sales 2.30 1.16 1.86
Earnings yield 5.18% 4.00% 3.67%
Free cash flow yield 4.85% 4.20% 1.13%

Profitability

Metric BRC MG Security & Protection Services median
Gross margin 51.75% 28.53% 41.45%
Operating margin 15.86% 6.87% 8.06%
Net margin 12.36% 3.65% 3.72%
Free cash flow margin 11.59% 3.89% 1.45%
Return on equity 16.11% 11.82% 9.87%
Return on assets 11.45% 4.67% 2.54%
Return on invested capital 13.89% 7.73% 3.11%

Growth

Metric BRC MG Security & Protection Services median
Revenue growth (TTM) 9.78% 5.23% 5.96%
EPS growth (last fiscal year) 9.14% (11.67%) —
Revenue growth, 5-year CAGR 7.74% 4.09% 7.35%
Net income growth, 5-year CAGR 9.64% 0.00% 0.00%

Health

Metric BRC MG Security & Protection Services median
Debt to equity 0.01 0.80 0.20
Current ratio 1.94 1.71 1.93
Net debt to EBITDA (0.56) 2.34 1.55

Dividend

Metric BRC MG Security & Protection Services median
Dividend yield 1.53% — 1.53%
Payout ratio 0.26 0.00 0.00

Size

Metric BRC MG Security & Protection Services median
Market cap 3.88b 681.17m 395.79m

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