Cannae Holdings, Inc. (CNNE) vs First Watch Restaurant Group, Inc. (FWRG)

Cannae Holdings, Inc. and First Watch Restaurant Group, Inc. are both Restaurants companies. Cannae Holdings, Inc. and First Watch Restaurant Group, Inc. are of similar size ($673.6M and $642.4M). Cannae Holdings, Inc. has negative trailing earnings, so its P/E is not meaningful; First Watch Restaurant Group, Inc. trades at 33.8×. First Watch Restaurant Group, Inc. grew revenue faster over the last twelve months: 19.3% against −6.54%. First Watch Restaurant Group, Inc. has the higher net margin (1.35% vs −38.2%) and the higher return on invested capital (1.95% vs −8.02%). Across the 18 metrics below, First Watch Restaurant Group, Inc. leads on 14 and Cannae Holdings, Inc. on 4.

Valuation

Metric CNNE FWRG Restaurants median
P/E n/m 33.77 22.14
P/S 1.68 0.47 0.91
P/B 0.75 0.99 2.01
Price to free cash flow n/m n/m 19.41
EV/EBITDA n/m 7.98 11.48
EV/Sales 1.66 0.68 1.20
Earnings yield (19.15%) 2.96% 2.30%
Free cash flow yield (16.08%) (3.50%) 3.92%

Profitability

Metric CNNE FWRG Restaurants median
Gross margin 15.47% 20.63% 38.77%
Operating margin (28.44%) 2.14% 4.30%
Net margin (38.18%) 1.35% 1.85%
Free cash flow margin (10.62%) (1.66%) 3.12%
Return on equity (13.75%) 2.88% 3.07%
Return on assets (10.25%) 1.02% 1.50%
Return on invested capital (8.02%) 1.95% 3.14%

Growth

Metric CNNE FWRG Restaurants median
Revenue growth (TTM) (6.54%) 19.27% 5.16%
EPS growth (last fiscal year) (91.97%) 3.33% —
Revenue growth, 5-year CAGR (6.27%) 28.99% 10.57%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CNNE FWRG Restaurants median
Debt to equity 0.07 0.46 0.10
Current ratio 1.24 0.27 0.81
Net debt to EBITDA 1.27 2.53 0.43

Dividend

Metric CNNE FWRG Restaurants median
Dividend yield — — 2.32%
Payout ratio 0.00 0.00 0.00

Size

Metric CNNE FWRG Restaurants median
Market cap 673.60m 642.36m 482.66m

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