Leonardo DRS, Inc. (DRS) vs Embraer-Empresa Brasileira de Aeronautica (EMBJ)

Leonardo DRS, Inc. and Embraer-Empresa Brasileira de Aeronautica are both Aerospace & Defense companies. Embraer-Empresa Brasileira de Aeronautica is the larger, with a market value of $13.2B against $8.8B — 1.5× the size. Leonardo DRS, Inc. trades at the lower P/E: 24.0× against 30.1×. Embraer-Empresa Brasileira de Aeronautica grew revenue faster over the last twelve months: 20.4% against 8.85%. Leonardo DRS, Inc. has the higher net margin (9.40% vs 5.35%) and the lower return on invested capital (9.50% vs 11.8%). Across the 22 metrics below, Leonardo DRS, Inc. leads on 15 and Embraer-Empresa Brasileira de Aeronautica on 7.

Valuation

Metric DRS EMBJ Aerospace & Defense median
P/E 23.95 30.07 28.48
P/S 2.27 1.59 2.95
P/B 3.05 3.47 2.68
Price to free cash flow 25.58 18.95 31.70
EV/EBITDA 16.68 13.34 16.85
EV/Sales 2.24 1.62 2.74
Earnings yield 4.17% 3.33% 0.89%
Free cash flow yield 3.91% 5.28% 0.00%

Profitability

Metric DRS EMBJ Aerospace & Defense median
Gross margin 25.25% 17.89% 26.41%
Operating margin 10.84% 8.93% 3.69%
Net margin 9.40% 5.35% 2.74%
Free cash flow margin 8.88% 8.41% 0.00%
Return on equity 13.18% 11.99% 4.44%
Return on assets 8.47% 3.52% 1.90%
Return on invested capital 9.50% 11.76% 0.26%

Growth

Metric DRS EMBJ Aerospace & Defense median
Revenue growth (TTM) 8.85% 20.38% 18.03%
EPS growth (last fiscal year) 28.75% 0.00% 24.80%
Revenue growth, 5-year CAGR 116.77% 14.98% 9.73%
Net income growth, 5-year CAGR 118.05% 0.00% 0.00%

Health

Metric DRS EMBJ Aerospace & Defense median
Debt to equity 0.06 0.61 0.20
Current ratio 1.88 1.44 2.85
Net debt to EBITDA (0.68) (0.17) 1.29

Dividend

Metric DRS EMBJ Aerospace & Defense median
Dividend yield — 1.13% 0.91%
Payout ratio — 0.34 0.30

Size

Metric DRS EMBJ Aerospace & Defense median
Market cap 8.80b 13.20b 1.78b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack