DAQO New Energy Corp. (DQ) vs SolarEdge Technologies, Inc. (SEDG)

DAQO New Energy Corp. and SolarEdge Technologies, Inc. are both Solar companies. SolarEdge Technologies, Inc. is the larger, with a market value of $2.0B against $774.8M — 2.6× the size. SolarEdge Technologies, Inc. grew revenue faster over the last twelve months: 41.7% against −6.28%. SolarEdge Technologies, Inc. has the higher net margin (−20.3% vs −34.5%) and the lower return on invested capital (−59.6% vs −4.45%). Across the 18 metrics below, DAQO New Energy Corp. leads on 9 and SolarEdge Technologies, Inc. on 9.

Valuation

Metric DQ SEDG Solar median
P/E n/m n/m 10.93
P/S 0.28 1.50 0.54
P/B 0.03 4.84 1.44
Price to free cash flow n/m 18.48 9.91
EV/EBITDA 4.89 n/m 9.90
EV/Sales (2.55) 1.57 0.74
Earnings yield (24.76%) (13.77%) 0.00%
Free cash flow yield (174.96%) 5.41% 0.00%

Profitability

Metric DQ SEDG Solar median
Gross margin (35.45%) 23.27% 31.92%
Operating margin (52.20%) (11.60%) (9.70%)
Net margin (34.50%) (20.29%) (8.48%)
Free cash flow margin (47.06%) 8.85% (2.95%)
Return on equity 0.00% (58.42%) 5.34%
Return on assets (3.04%) (11.28%) (5.36%)
Return on invested capital (4.45%) (59.63%) (5.27%)

Growth

Metric DQ SEDG Solar median
Revenue growth (TTM) (6.28%) 41.65% 16.97%
EPS growth (last fiscal year) 51.53% 78.26% —
Revenue growth, 5-year CAGR (0.30%) (4.09%) 14.00%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric DQ SEDG Solar median
Debt to equity 0.00 0.85 0.09
Current ratio 5.81 2.03 1.33
Net debt to EBITDA 68.42 0.84 0.03

Dividend

Metric DQ SEDG Solar median
Dividend yield 1.15% — —
Payout ratio 0.00 0.00 0.00

Size

Metric DQ SEDG Solar median
Market cap 774.82m 1.98b 43.46m

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