Custom Truck One Source, Inc. (CTOS) vs Vestis Corporation (VSTS)

Custom Truck One Source, Inc. and Vestis Corporation are both Rental & Leasing Services companies. Custom Truck One Source, Inc. is the larger, with a market value of $2.1B against $1.9B — 1.1× the size. Vestis Corporation has negative trailing earnings, so its P/E is not meaningful; Custom Truck One Source, Inc. trades at 71.6×. Custom Truck One Source, Inc. grew revenue faster over the last twelve months: 5.78% against −0.39%. Custom Truck One Source, Inc. has the higher net margin (1.44% vs −0.20%) and the higher return on invested capital (4.27% vs 2.97%). Across the 20 metrics below, Custom Truck One Source, Inc. leads on 11 and Vestis Corporation on 9.

Valuation

Metric CTOS VSTS Rental & Leasing Services median
P/E 71.56 n/m 20.11
P/S 1.03 0.69 1.11
P/B 2.58 2.12 2.44
Price to free cash flow 267.17 12.93 11.04
EV/EBITDA 8.39 12.71 8.70
EV/Sales 1.83 1.13 2.87
Earnings yield 1.40% (0.36%) 3.40%
Free cash flow yield 0.37% 7.73% 0.63%

Profitability

Metric CTOS VSTS Rental & Leasing Services median
Gross margin 22.62% 26.30% 48.46%
Operating margin 8.21% 3.64% 8.37%
Net margin 1.44% (0.20%) 1.97%
Free cash flow margin 0.39% 5.33% 2.91%
Return on equity 3.67% (0.60%) 12.31%
Return on assets 0.83% (0.18%) 0.88%
Return on invested capital 4.27% 2.97% 2.86%

Growth

Metric CTOS VSTS Rental & Leasing Services median
Revenue growth (TTM) 5.78% (0.39%) 4.47%
EPS growth (last fiscal year) (16.67%) (293.75%) 1.04%
Revenue growth, 5-year CAGR 45.05% 1.31% 11.45%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CTOS VSTS Rental & Leasing Services median
Debt to equity 2.01 1.42 1.28
Current ratio 1.28 2.17 1.01
Net debt to EBITDA 4.17 6.12 4.19

Dividend

Metric CTOS VSTS Rental & Leasing Services median
Dividend yield — 0.00% 1.38%
Payout ratio — — 0.24

Size

Metric CTOS VSTS Rental & Leasing Services median
Market cap 2.11b 1.87b 3.37b

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