Coherent Corp. (COHR) vs Fortive Corporation (FTV)

Coherent Corp. and Fortive Corporation are both Scientific & Technical Instruments companies. Coherent Corp. is the larger, with a market value of $49.4B against $17.5B — 2.8× the size. Fortive Corporation trades at the lower P/E: 33.6× against 53.5×. Fortive Corporation grew revenue faster over the last twelve months: 43.2% against 22.5%. Fortive Corporation has the higher net margin (12.4% vs 10.8%) and the higher return on invested capital (5.34% vs 4.21%). Across the 21 metrics below, Fortive Corporation leads on 13 and Coherent Corp. on 8.

Valuation

Metric COHR FTV Scientific & Technical Instruments median
P/E 53.54 33.60 33.25
P/S 5.80 4.07 4.50
P/B 3.67 2.90 2.90
Price to free cash flow n/m 18.75 24.81
EV/EBITDA 30.84 17.51 17.92
EV/Sales 5.97 5.01 4.71
Earnings yield 1.87% 2.98% 0.60%
Free cash flow yield (2.48%) 5.33% 1.27%

Profitability

Metric COHR FTV Scientific & Technical Instruments median
Gross margin 37.50% 63.23% 45.75%
Operating margin 11.77% 18.23% 7.34%
Net margin 10.82% 12.38% 1.56%
Free cash flow margin (14.38%) 21.72% 5.84%
Return on equity 8.93% 6.49% 2.87%
Return on assets 4.64% 3.58% 0.99%
Return on invested capital 4.21% 5.34% 3.88%

Growth

Metric COHR FTV Scientific & Technical Instruments median
Revenue growth (TTM) 22.51% 43.22% 11.15%
EPS growth (last fiscal year) 892.31% (26.69%) 11.47%
Revenue growth, 5-year CAGR 18.04% (2.14%) 7.89%
Net income growth, 5-year CAGR 24.22% (17.81%) 0.00%

Health

Metric COHR FTV Scientific & Technical Instruments median
Debt to equity 0.29 0.58 0.00
Current ratio 2.43 1.24 2.24
Net debt to EBITDA 0.87 2.44 0.44

Dividend

Metric COHR FTV Scientific & Technical Instruments median
Dividend yield — 0.43% 0.58%
Payout ratio — 0.15 0.36

Size

Metric COHR FTV Scientific & Technical Instruments median
Market cap 49.35b 17.45b 444.25m

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