CompX International Inc. (CIX) vs NLI Holdings, Inc. (NL)

CompX International Inc. and NLI Holdings, Inc. are both Security & Protection Services companies. CompX International Inc. is the larger, with a market value of $447.3M against $344.3M — 1.3× the size. NLI Holdings, Inc. has negative trailing earnings, so its P/E is not meaningful; CompX International Inc. trades at 21.1×. CompX International Inc. has the higher net margin (13.6% vs −15.8%) and the higher return on invested capital (17.9% vs 3.44%). Both pay a dividend; NLI Holdings, Inc. yields more (5.41% vs 4.26%). Across the 19 metrics below, CompX International Inc. leads on 12 and NLI Holdings, Inc. on 7.

Valuation

Metric CIX NL Security & Protection Services median
P/E 21.12 n/m 21.88
P/S 2.88 2.12 1.21
P/B 3.22 0.90 2.21
Price to free cash flow 21.96 42.34 20.62
EV/EBITDA 13.84 12.64 12.37
EV/Sales 2.56 1.44 1.86
Earnings yield 4.74% (7.41%) 3.67%
Free cash flow yield 4.55% 2.36% 1.13%

Profitability

Metric CIX NL Security & Protection Services median
Gross margin 32.08% 32.08% 41.45%
Operating margin 16.30% 9.25% 8.06%
Net margin 13.60% (15.79%) 3.72%
Free cash flow margin 13.11% 5.01% 1.45%
Return on equity 14.97% (6.40%) 9.87%
Return on assets 13.49% (5.14%) 2.54%
Return on invested capital 17.88% 3.44% 3.11%

Growth

Metric CIX NL Security & Protection Services median
Revenue growth (TTM) 5.96% 5.96% 5.96%
EPS growth (last fiscal year) 17.04% (155.80%) —
Revenue growth, 5-year CAGR 6.68% 6.68% 7.35%
Net income growth, 5-year CAGR 13.54% 0.00% 0.00%

Health

Metric CIX NL Security & Protection Services median
Debt to equity 0.00 0.00 0.20
Current ratio 6.69 9.02 1.93
Net debt to EBITDA (2.06) (7.90) 1.55

Dividend

Metric CIX NL Security & Protection Services median
Dividend yield 4.26% 5.41% 1.53%
Payout ratio 0.62 0.24 0.00

Size

Metric CIX NL Security & Protection Services median
Market cap 447.33m 344.25m 395.79m

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