The Elmet Group Co. (ELMT) vs TAT Technologies Ltd. (TATT)

The Elmet Group Co. and TAT Technologies Ltd. are both Aerospace & Defense companies. The Elmet Group Co. is the larger, with a market value of $671.9M against $504.2M — 1.3× the size. The Elmet Group Co. has negative trailing earnings, so its P/E is not meaningful; TAT Technologies Ltd. trades at 24.1×. TAT Technologies Ltd. has the higher net margin (11.3% vs −1.10%) and the higher return on invested capital (8.08% vs 0.17%). Across the 15 metrics below, TAT Technologies Ltd. leads on 14 and The Elmet Group Co. on 1.

Valuation

Metric ELMT TATT Aerospace & Defense median
P/E n/m 24.12 31.60
P/S 2.86 2.70 3.36
P/B 3.33 2.67 2.99
Price to free cash flow n/m 69.53 33.23
EV/EBITDA 76.83 19.12 19.00
EV/Sales 2.59 2.47 3.37
Earnings yield (0.27%) 4.15% 0.90%
Free cash flow yield (1.45%) 1.44% 0.00%

Profitability

Metric ELMT TATT Aerospace & Defense median
Gross margin 21.67% 24.98% 25.95%
Operating margin 0.16% 10.07% 1.21%
Net margin (1.10%) 11.26% 2.11%
Free cash flow margin (4.15%) 4.28% 0.00%
Return on equity 0.00% 11.86% 2.67%
Return on assets (1.68%) 9.14% 1.90%
Return on invested capital 0.17% 8.08% 0.25%

Growth

Metric ELMT TATT Aerospace & Defense median
Revenue growth (TTM) — 12.06% 18.25%
EPS growth (last fiscal year) — 37.00% 24.80%
Revenue growth, 5-year CAGR — 18.76% 9.73%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric ELMT TATT Aerospace & Defense median
Debt to equity 0.06 0.06 0.18
Current ratio 3.03 4.83 2.85
Net debt to EBITDA — (1.65) 1.29

Dividend

Metric ELMT TATT Aerospace & Defense median
Dividend yield — — 0.87%
Payout ratio — — 0.30

Size

Metric ELMT TATT Aerospace & Defense median
Market cap 671.94m 504.20m 1.94b

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