Cass Information Systems, Inc (CASS) vs LegalZoom.com, Inc. (LZ)

Cass Information Systems, Inc and LegalZoom.com, Inc. are both Specialty Business Services companies. LegalZoom.com, Inc. is the larger, with a market value of $967.7M against $696.4M — 1.4× the size. Cass Information Systems, Inc trades at the lower P/E: 19.1× against 58.4×. LegalZoom.com, Inc. grew revenue faster over the last twelve months: 12.3% against 6.52%. Cass Information Systems, Inc has the higher net margin (17.1% vs 2.13%) and the higher return on invested capital (176.3% vs 0.00%). Across the 20 metrics below, LegalZoom.com, Inc. leads on 11 and Cass Information Systems, Inc on 9.

Valuation

Metric CASS LZ Specialty Business Services median
P/E 19.06 58.36 23.86
P/S 3.22 1.21 1.06
P/B 2.83 7.52 2.37
Price to free cash flow 16.54 6.39 16.54
EV/EBITDA n/m 9.84 11.51
EV/Sales 2.16 1.01 1.51
Earnings yield 5.25% 1.71% 2.14%
Free cash flow yield 6.05% 15.65% 1.55%

Profitability

Metric CASS LZ Specialty Business Services median
Gross margin 92.56% 66.70% 35.31%
Operating margin 0.00% 4.10% 3.43%
Net margin 17.08% 2.13% 1.67%
Free cash flow margin 19.49% 18.88% 3.28%
Return on equity 15.12% 10.49% 0.58%
Return on assets 1.52% 3.34% 0.33%
Return on invested capital 176.26% 0.00% 0.65%

Growth

Metric CASS LZ Specialty Business Services median
Revenue growth (TTM) 6.52% 12.26% 6.04%
EPS growth (last fiscal year) 87.77% (50.00%) —
Revenue growth, 5-year CAGR 6.97% 9.94% 7.66%
Net income growth, 5-year CAGR 6.88% 16.26% 0.00%

Health

Metric CASS LZ Specialty Business Services median
Debt to equity 0.00 0.00 0.21
Current ratio 0.61 0.67 1.62
Net debt to EBITDA 0.00 (2.80) 1.16

Dividend

Metric CASS LZ Specialty Business Services median
Dividend yield 2.78% — 1.61%
Payout ratio 0.49 0.00 0.00

Size

Metric CASS LZ Specialty Business Services median
Market cap 696.40m 967.65m 879.14m

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