Elbit Systems Ltd. (ESLT) vs Woodward, Inc. (WWD)

Elbit Systems Ltd. and Woodward, Inc. are both Aerospace & Defense companies. Elbit Systems Ltd. is the larger, with a market value of $32.9B against $19.2B — 1.7× the size. Woodward, Inc. trades at the lower P/E: 35.7× against 53.7×. Woodward, Inc. grew revenue faster over the last twelve months: 22.4% against 13.7%. Woodward, Inc. has the higher net margin (13.2% vs 7.44%) and the lower return on invested capital (12.3% vs 13.3%). Both pay a dividend; Elbit Systems Ltd. yields more (0.98% vs 0.69%). Across the 23 metrics below, Woodward, Inc. leads on 12 and Elbit Systems Ltd. on 11.

Valuation

Metric ESLT WWD Aerospace & Defense median
P/E 53.73 35.71 33.00
P/S 4.02 4.68 3.63
P/B 8.07 7.94 3.24
Price to free cash flow 50.29 52.15 34.01
EV/EBITDA 34.80 26.42 18.69
EV/Sales 3.94 4.89 3.94
Earnings yield 1.86% 2.80% 1.31%
Free cash flow yield 1.99% 1.92% 0.00%

Profitability

Metric ESLT WWD Aerospace & Defense median
Gross margin 25.03% 29.47% 25.48%
Operating margin 9.22% 15.64% 4.54%
Net margin 7.44% 13.17% 2.22%
Free cash flow margin 8.00% 8.98% 0.00%
Return on equity 0.00% 22.34% 6.43%
Return on assets 4.90% 11.14% 2.70%
Return on invested capital 13.26% 12.27% 1.56%

Growth

Metric ESLT WWD Aerospace & Defense median
Revenue growth (TTM) 13.70% 22.35% 18.43%
EPS growth (last fiscal year) 58.64% 19.63% —
Revenue growth, 5-year CAGR 11.23% 7.41% 9.62%
Net income growth, 5-year CAGR 17.59% 12.96% 0.00%

Health

Metric ESLT WWD Aerospace & Defense median
Debt to equity 0.06 0.54 0.24
Current ratio 1.39 1.65 2.72
Net debt to EBITDA (0.57) 0.63 1.12

Dividend

Metric ESLT WWD Aerospace & Defense median
Dividend yield 0.98% 0.69% 1.04%
Payout ratio 0.34 0.25 0.00

Size

Metric ESLT WWD Aerospace & Defense median
Market cap 32.94b 19.24b 2.52b

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