Castlight Health, inc. (CSLT) vs Spok Holdings, Inc. (SPOK)

Castlight Health, inc. and Spok Holdings, Inc. are both Health Information Services companies. Castlight Health, inc. is the larger, with a market value of $332.4M against $216.5M — 1.5× the size. Castlight Health, inc. has negative trailing earnings, so its P/E is not meaningful; Spok Holdings, Inc. trades at 17.4×. Castlight Health, inc. grew revenue faster over the last twelve months: −2.43% against −3.39%. Spok Holdings, Inc. has the higher net margin (9.00% vs −6.04%) and the higher return on invested capital (8.20% vs −8.42%). Across the 20 metrics below, Spok Holdings, Inc. leads on 16 and Castlight Health, inc. on 4.

Valuation

Metric CSLT SPOK Health Information Services median
P/E n/m 17.43 39.52
P/S 2.32 1.61 2.65
P/B 2.60 1.56 2.32
Price to free cash flow 16.39 8.60 16.77
EV/EBITDA 39.58 10.20 12.35
EV/Sales 1.88 1.49 3.06
Earnings yield (2.68%) 5.74% (1.68%)
Free cash flow yield 6.10% 11.62% 0.54%

Profitability

Metric CSLT SPOK Health Information Services median
Gross margin 65.21% 78.18% 63.38%
Operating margin (6.17%) 11.89% (8.35%)
Net margin (6.04%) 9.00% (14.70%)
Free cash flow margin 14.13% 18.69% 0.58%
Return on equity (6.91%) 8.42% (6.82%)
Return on assets (5.18%) 6.06% (6.02%)
Return on invested capital (8.42%) 8.20% 0.00%

Growth

Metric CSLT SPOK Health Information Services median
Revenue growth (TTM) (2.43%) (3.39%) 8.62%
EPS growth (last fiscal year) (46.43%) 2.74% —
Revenue growth, 5-year CAGR 14.27% (1.17%) 12.36%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CSLT SPOK Health Information Services median
Debt to equity 0.03 0.00 0.01
Current ratio 2.94 1.09 2.37
Net debt to EBITDA (7.80) (1.09) 0.50

Dividend

Metric CSLT SPOK Health Information Services median
Dividend yield — 7.36% 0.85%
Payout ratio 0.00 0.71 0.00

Size

Metric CSLT SPOK Health Information Services median
Market cap 332.37m 216.50m 352.86m

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