EMCOR Group, Inc. (EME) vs IES Holdings, Inc. (IESC)

EMCOR Group, Inc. and IES Holdings, Inc. are both Engineering & Construction companies. EMCOR Group, Inc. is the larger, with a market value of $35.0B against $12.8B — 2.7× the size. EMCOR Group, Inc. trades at the lower P/E: 23.6× against 28.4×. IES Holdings, Inc. grew revenue faster over the last twelve months: 22.7% against 18.9%. IES Holdings, Inc. has the higher net margin (11.4% vs 7.74%) and the lower return on invested capital (36.6% vs 38.2%). Across the 21 metrics below, EMCOR Group, Inc. leads on 12 and IES Holdings, Inc. on 9.

Valuation

Metric EME IESC Engineering & Construction median
P/E 23.63 28.41 28.59
P/S 1.82 3.24 1.15
P/B 8.30 10.51 3.96
Price to free cash flow 28.80 56.36 25.24
EV/EBITDA 15.54 22.82 14.87
EV/Sales 1.78 3.16 1.42
Earnings yield 4.23% 3.52% 2.47%
Free cash flow yield 3.47% 1.77% 1.91%

Profitability

Metric EME IESC Engineering & Construction median
Gross margin 19.43% 26.31% 18.76%
Operating margin 10.38% 12.37% 6.26%
Net margin 7.74% 11.40% 2.23%
Free cash flow margin 6.32% 5.75% 1.83%
Return on equity 40.35% 45.20% 7.90%
Return on assets 15.51% 24.26% 0.87%
Return on invested capital 38.24% 36.61% 2.52%

Growth

Metric EME IESC Engineering & Construction median
Revenue growth (TTM) 18.92% 22.66% 16.67%
EPS growth (last fiscal year) 30.99% 51.87% —
Revenue growth, 5-year CAGR 14.07% 23.14% 11.76%
Net income growth, 5-year CAGR 57.12% 49.32% 0.00%

Health

Metric EME IESC Engineering & Construction median
Debt to equity 0.00 0.00 0.40
Current ratio 1.28 1.63 1.39
Net debt to EBITDA (0.59) (0.54) 0.38

Dividend

Metric EME IESC Engineering & Construction median
Dividend yield 0.29% — 0.65%
Payout ratio 0.06 0.00 0.00

Size

Metric EME IESC Engineering & Construction median
Market cap 34.98b 12.77b 1.31b

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