Cipher Digital Inc. (CIFR) vs Penguin Solutions, Inc. (PENG)

Cipher Digital Inc. and Penguin Solutions, Inc. are both Information Technology Services companies. Cipher Digital Inc. is the larger, with a market value of $5.6B against $3.7B — 1.5× the size. Cipher Digital Inc. has negative trailing earnings, so its P/E is not meaningful; Penguin Solutions, Inc. trades at 24.9×. Penguin Solutions, Inc. grew revenue faster over the last twelve months: 26.5% against 20.3%. Penguin Solutions, Inc. has the higher net margin (8.74% vs −585.8%) and the higher return on invested capital (15.2% vs −15.9%). Across the 18 metrics below, Penguin Solutions, Inc. leads on 15 and Cipher Digital Inc. on 3.

Valuation

Metric CIFR PENG Information Technology Services median
P/E n/m 24.87 15.42
P/S 28.96 2.45 1.08
P/B 9.85 7.90 1.76
Price to free cash flow n/m n/m 10.62
EV/EBITDA n/m 26.28 8.98
EV/Sales 36.93 2.53 1.23
Earnings yield (21.15%) 4.02% 4.17%
Free cash flow yield (26.08%) (3.85%) 4.44%

Profitability

Metric CIFR PENG Information Technology Services median
Gross margin 56.18% 27.66% 31.05%
Operating margin (278.05%) 9.56% 3.30%
Net margin (585.75%) 8.74% 2.09%
Free cash flow margin (754.87%) (9.44%) 0.00%
Return on equity (170.77%) 32.10% 3.67%
Return on assets (26.27%) 6.88% 0.47%
Return on invested capital (15.94%) 15.24% 0.57%

Growth

Metric CIFR PENG Information Technology Services median
Revenue growth (TTM) 20.30% 26.50% 7.12%
EPS growth (last fiscal year) (1,435.71%) 1,027.96% 3.37%
Revenue growth, 5-year CAGR — 10.41% 7.86%
Net income growth, 5-year CAGR 0.00% 47.95% 0.00%

Health

Metric CIFR PENG Information Technology Services median
Debt to equity 9.86 1.47 0.45
Current ratio 3.00 1.88 1.66
Net debt to EBITDA (1.79) 0.65 0.45

Dividend

Metric CIFR PENG Information Technology Services median
Dividend yield — — 2.13%
Payout ratio — — 0.30

Size

Metric CIFR PENG Information Technology Services median
Market cap 5.60b 3.67b 1.16b

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