EverCommerce Inc. (EVCM) vs Red Violet, Inc. (RDVT)

EverCommerce Inc. and Red Violet, Inc. are both Software Application companies. EverCommerce Inc. is the larger, with a market value of $1.5B against $1.3B — 1.2× the size. EverCommerce Inc. trades at the lower P/E: 44.7× against 67.7×. Red Violet, Inc. grew revenue faster over the last twelve months: 20.2% against 4.18%. Red Violet, Inc. has the higher net margin (16.5% vs 5.69%) and the higher return on invested capital (18.0% vs 3.36%). Across the 21 metrics below, Red Violet, Inc. leads on 12 and EverCommerce Inc. on 9.

Valuation

Metric EVCM RDVT Software Application median
P/E 44.72 67.72 24.79
P/S 2.38 11.24 2.67
P/B 1.99 9.98 3.01
Price to free cash flow 19.87 52.54 16.59
EV/EBITDA 14.52 37.03 14.40
EV/Sales 3.03 10.77 2.62
Earnings yield 2.24% 1.48% 0.00%
Free cash flow yield 5.03% 1.90% 1.91%

Profitability

Metric EVCM RDVT Software Application median
Gross margin 77.82% 84.70% 67.03%
Operating margin 9.91% 17.89% 0.00%
Net margin 5.69% 16.54% 0.00%
Free cash flow margin 11.99% 21.40% 4.32%
Return on equity 4.67% 15.76% 0.00%
Return on assets 2.45% 14.54% 0.00%
Return on invested capital 3.36% 17.96% 0.00%

Growth

Metric EVCM RDVT Software Application median
Revenue growth (TTM) 4.18% 20.18% 12.40%
EPS growth (last fiscal year) 145.45% 82.00% —
Revenue growth, 5-year CAGR 11.78% 21.15% 13.72%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric EVCM RDVT Software Application median
Debt to equity 0.73 0.00 0.02
Current ratio 2.14 10.88 1.55
Net debt to EBITDA 3.05 (1.83) 0.06

Dividend

Metric EVCM RDVT Software Application median
Dividend yield — — 1.25%
Payout ratio 0.00 0.00 0.00

Size

Metric EVCM RDVT Software Application median
Market cap 1.47b 1.27b 396.11m

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