CTS Corporation (CTS) vs LightPath Technologies, Inc. (LPTH)

CTS Corporation and LightPath Technologies, Inc. are both Electronic Components companies. CTS Corporation is the larger, with a market value of $1.7B against $707.4M — 2.4× the size. LightPath Technologies, Inc. has negative trailing earnings, so its P/E is not meaningful; CTS Corporation trades at 24.6×. LightPath Technologies, Inc. grew revenue faster over the last twelve months: 92.8% against 8.53%. CTS Corporation has the higher net margin (12.4% vs −28.7%) and the higher return on invested capital (11.1% vs −21.6%). Across the 19 metrics below, CTS Corporation leads on 15 and LightPath Technologies, Inc. on 4.

Valuation

Metric CTS LPTH Electronic Components median
P/E 24.63 n/m 39.06
P/S 3.02 7.43 3.22
P/B 2.97 3.56 3.30
Price to free cash flow 18.64 n/m 26.65
EV/EBITDA 12.95 n/m 19.69
EV/Sales 2.93 6.14 3.53
Earnings yield 4.06% (4.01%) 1.34%
Free cash flow yield 5.37% (3.01%) 0.40%

Profitability

Metric CTS LPTH Electronic Components median
Gross margin 39.71% 35.98% 33.21%
Operating margin 16.38% (27.40%) 3.53%
Net margin 12.37% (28.65%) 2.57%
Free cash flow margin 16.20% (22.33%) 0.20%
Return on equity 12.43% (24.89%) 2.60%
Return on assets 8.85% (14.91%) 2.50%
Return on invested capital 11.10% (21.61%) 2.28%

Growth

Metric CTS LPTH Electronic Components median
Revenue growth (TTM) 8.53% 92.79% 12.01%
EPS growth (last fiscal year) 15.87% (5.56%) —
Revenue growth, 5-year CAGR 5.00% 13.27% 7.19%
Net income growth, 5-year CAGR 13.49% 0.00% 0.00%

Health

Metric CTS LPTH Electronic Components median
Debt to equity 0.10 0.00 0.16
Current ratio 2.61 4.96 2.41
Net debt to EBITDA (0.21) 6.38 0.32

Dividend

Metric CTS LPTH Electronic Components median
Dividend yield 0.36% — 1.18%
Payout ratio 0.09 0.00 0.00

Size

Metric CTS LPTH Electronic Components median
Market cap 1.70b 707.36m 780.25m

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