ESAB Corporation (ESAB) vs Mueller Industries, Inc. (MLI)

ESAB Corporation and Mueller Industries, Inc. are both Metal Fabrication companies. Mueller Industries, Inc. is the larger, with a market value of $13.3B against $4.2B — 3.1× the size. Mueller Industries, Inc. trades at the lower P/E: 15.5× against 25.7×. Mueller Industries, Inc. grew revenue faster over the last twelve months: 14.8% against 9.65%. Mueller Industries, Inc. has the higher net margin (18.3% vs 5.70%) and the higher return on invested capital (30.9% vs 4.75%). Both pay a dividend; Mueller Industries, Inc. yields more (2.13% vs 0.24%). Across the 23 metrics below, Mueller Industries, Inc. leads on 19 and ESAB Corporation on 4.

Valuation

Metric ESAB MLI Metal Fabrication median
P/E 25.67 15.50 17.15
P/S 1.46 2.82 1.14
P/B 1.82 3.68 1.71
Price to free cash flow 22.10 19.24 22.10
EV/EBITDA 14.06 10.32 17.60
EV/Sales 2.19 2.52 1.96
Earnings yield 3.90% 6.45% 2.28%
Free cash flow yield 4.53% 5.20% 0.92%

Profitability

Metric ESAB MLI Metal Fabrication median
Gross margin 36.96% 28.78% 21.08%
Operating margin 12.07% 22.96% 5.14%
Net margin 5.70% 18.25% 4.70%
Free cash flow margin 6.62% 14.67% 1.45%
Return on equity 7.56% 26.11% 0.00%
Return on assets 3.11% 21.96% 1.56%
Return on invested capital 4.75% 30.92% 2.19%

Growth

Metric ESAB MLI Metal Fabrication median
Revenue growth (TTM) 9.65% 14.81% 9.93%
EPS growth (last fiscal year) (14.85%) 29.19% —
Revenue growth, 5-year CAGR 7.83% 11.75% 6.12%
Net income growth, 5-year CAGR 7.57% 40.55% 0.00%

Health

Metric ESAB MLI Metal Fabrication median
Debt to equity 0.93 0.00 0.30
Current ratio 1.96 4.78 2.08
Net debt to EBITDA 2.11 (1.35) 1.02

Dividend

Metric ESAB MLI Metal Fabrication median
Dividend yield 0.24% 2.13% 1.69%
Payout ratio 0.06 0.10 0.06

Size

Metric ESAB MLI Metal Fabrication median
Market cap 4.22b 13.28b 896.96m

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