EquipmentShare.com Inc. (EQPT) vs McGrath RentCorp (MGRC)

EquipmentShare.com Inc. and McGrath RentCorp are both Rental & Leasing Services companies. EquipmentShare.com Inc. is the larger, with a market value of $4.1B against $2.7B — 1.5× the size. McGrath RentCorp trades at the lower P/E: 18.2× against 19.3×. McGrath RentCorp has the higher net margin (16.4% vs 1.03%) and the lower return on invested capital (12.0% vs 23.5%). Across the 18 metrics below, McGrath RentCorp leads on 11 and EquipmentShare.com Inc. on 7.

Valuation

Metric EQPT MGRC Rental & Leasing Services median
P/E 19.32 18.20 19.17
P/S 0.85 2.97 0.99
P/B 3.62 2.23 2.23
Price to free cash flow n/m 35.10 8.31
EV/EBITDA 3.80 7.94 7.84
EV/Sales 1.51 2.97 2.53
Earnings yield 5.18% 5.49% 0.95%
Free cash flow yield (38.71%) 2.85% 1.43%

Profitability

Metric EQPT MGRC Rental & Leasing Services median
Gross margin 49.70% 48.52% 49.40%
Operating margin 33.57% 25.47% 8.49%
Net margin 1.03% 16.38% 1.01%
Free cash flow margin (32.95%) 8.46% 1.87%
Return on equity 0.00% 12.69% 12.13%
Return on assets 1.49% 6.33% 0.24%
Return on invested capital 23.50% 11.96% 2.80%

Growth

Metric EQPT MGRC Rental & Leasing Services median
Revenue growth (TTM) — (0.92%) 3.21%
EPS growth (last fiscal year) (74.36%) (32.66%) —
Revenue growth, 5-year CAGR — 10.52% 12.97%
Net income growth, 5-year CAGR — 8.92% 0.00%

Health

Metric EQPT MGRC Rental & Leasing Services median
Debt to equity 3.16 0.00 1.48
Current ratio 2.42 0.26 1.36
Net debt to EBITDA 4.59 0.00 4.32

Dividend

Metric EQPT MGRC Rental & Leasing Services median
Dividend yield — 1.43% 1.59%
Payout ratio — 0.40 0.00

Size

Metric EQPT MGRC Rental & Leasing Services median
Market cap 4.14b 2.73b 2.42b

Compare with another peer

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