Drilling Tools International Corp. (DTI) vs Smart Sand (SND)

Drilling Tools International Corp. and Smart Sand are both Oil & Gas Equipment & Services companies. Smart Sand is the larger, with a market value of $165.8M against $49.7M — 3.3× the size. Drilling Tools International Corp. has negative trailing earnings, so its P/E is not meaningful; Smart Sand trades at 14.6×. Smart Sand grew revenue faster over the last twelve months: 26.5% against −5.48%. Smart Sand has the higher net margin (2.71% vs −1.96%) and the higher return on invested capital (2.02% vs 1.42%). Across the 19 metrics below, Smart Sand leads on 13 and Drilling Tools International Corp. on 6.

Valuation

Metric DTI SND Oil & Gas Equipment & Services median
P/E n/m 14.63 20.53
P/S 0.33 0.40 1.08
P/B 0.42 0.65 1.64
Price to free cash flow 9.99 4.48 12.36
EV/EBITDA 3.21 4.11 8.00
EV/Sales 0.66 0.41 1.29
Earnings yield (6.34%) 6.84% 3.88%
Free cash flow yield 10.01% 22.33% 5.18%

Profitability

Metric DTI SND Oil & Gas Equipment & Services median
Gross margin 72.51% 13.46% 22.88%
Operating margin 2.53% 2.03% 7.44%
Net margin (1.96%) 2.71% 4.12%
Free cash flow margin 3.27% 8.95% 3.10%
Return on equity (2.49%) 4.38% 5.46%
Return on assets (1.31%) 3.03% 2.63%
Return on invested capital 1.42% 2.02% 4.26%

Growth

Metric DTI SND Oil & Gas Equipment & Services median
Revenue growth (TTM) (5.48%) 26.53% 4.65%
EPS growth (last fiscal year) (222.22%) (62.50%) (13.00%)
Revenue growth, 5-year CAGR — 21.96% 12.57%
Net income growth, 5-year CAGR — (48.73%) 0.00%

Health

Metric DTI SND Oil & Gas Equipment & Services median
Debt to equity 0.45 0.06 0.44
Current ratio 2.18 1.69 2.04
Net debt to EBITDA 1.10 (0.37) 1.12

Dividend

Metric DTI SND Oil & Gas Equipment & Services median
Dividend yield — 0.00% 1.49%
Payout ratio — 0.00 0.36

Size

Metric DTI SND Oil & Gas Equipment & Services median
Market cap 49.74m 165.78m 1.44b

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