CBIZ, Inc. (CBZ) vs First Advantage Corporation (FA)

CBIZ, Inc. and First Advantage Corporation are both Specialty Business Services companies. First Advantage Corporation is the larger, with a market value of $3.4B against $3.0B — 1.1× the size. CBIZ, Inc. trades at the lower P/E: 25.6× against 135×. First Advantage Corporation grew revenue faster over the last twelve months: 32.9% against 14.3%. CBIZ, Inc. has the higher net margin (4.73% vs 1.51%) and the higher return on invested capital (3.92% vs 3.59%). Across the 22 metrics below, CBIZ, Inc. leads on 15 and First Advantage Corporation on 7.

Valuation

Metric CBZ FA Specialty Business Services median
P/E 25.55 135.27 23.86
P/S 1.18 2.02 1.06
P/B 1.74 2.60 2.37
Price to free cash flow 11.86 17.22 16.54
EV/EBITDA 15.21 11.98 11.51
EV/Sales 1.68 3.12 1.51
Earnings yield 3.91% 0.74% 2.14%
Free cash flow yield 8.43% 5.81% 1.55%

Profitability

Metric CBZ FA Specialty Business Services median
Gross margin 12.21% 45.22% 35.31%
Operating margin 7.38% 10.68% 3.43%
Net margin 4.73% 1.51% 1.67%
Free cash flow margin 9.91% 11.75% 3.28%
Return on equity 6.97% 1.94% 0.58%
Return on assets 2.87% 0.66% 0.33%
Return on invested capital 3.92% 3.59% 0.65%

Growth

Metric CBZ FA Specialty Business Services median
Revenue growth (TTM) 14.32% 32.89% 6.04%
EPS growth (last fiscal year) 134.62% 72.97% —
Revenue growth, 5-year CAGR 23.40% 25.33% 7.66%
Net income growth, 5-year CAGR 8.07% 0.00% 0.00%

Health

Metric CBZ FA Specialty Business Services median
Debt to equity 0.78 1.57 0.21
Current ratio 1.47 2.53 1.62
Net debt to EBITDA 4.14 4.75 1.16

Dividend

Metric CBZ FA Specialty Business Services median
Dividend yield — — 1.61%
Payout ratio 0.00 0.00 0.00

Size

Metric CBZ FA Specialty Business Services median
Market cap 3.00b 3.42b 879.14m

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