Evolv Technologies Holdings, Inc. (EVLV) vs NAPCO Security Technologies, Inc. (NSSC)

Evolv Technologies Holdings, Inc. and NAPCO Security Technologies, Inc. are both Security & Protection Services companies. NAPCO Security Technologies, Inc. is the larger, with a market value of $1.1B against $820.5M — 1.3× the size. Evolv Technologies Holdings, Inc. has negative trailing earnings, so its P/E is not meaningful; NAPCO Security Technologies, Inc. trades at 24.4×. Evolv Technologies Holdings, Inc. grew revenue faster over the last twelve months: 41.7% against 8.75%. NAPCO Security Technologies, Inc. has the higher net margin (21.6% vs −3.05%) and the higher return on invested capital (45.3% vs −26.4%). Across the 19 metrics below, NAPCO Security Technologies, Inc. leads on 14 and Evolv Technologies Holdings, Inc. on 5.

Valuation

Metric EVLV NSSC Security & Protection Services median
P/E n/m 24.41 22.53
P/S 4.77 5.30 1.17
P/B 6.88 5.44 2.09
Price to free cash flow n/m 21.50 19.49
EV/EBITDA n/m 19.60 11.17
EV/Sales 4.63 4.66 1.97
Earnings yield (0.66%) 4.10% 3.26%
Free cash flow yield (0.68%) 4.65% 1.46%

Profitability

Metric EVLV NSSC Security & Protection Services median
Gross margin 49.86% 59.71% 38.10%
Operating margin (20.77%) 22.70% 9.80%
Net margin (3.05%) 21.60% 2.88%
Free cash flow margin (3.23%) 24.66% 0.00%
Return on equity (4.94%) 23.44% 8.74%
Return on assets (1.79%) 20.06% 1.21%
Return on invested capital (26.42%) 45.33% 1.98%

Growth

Metric EVLV NSSC Security & Protection Services median
Revenue growth (TTM) 41.67% 8.75% 7.23%
EPS growth (last fiscal year) 41.18% 0.84% 35.69%
Revenue growth, 5-year CAGR 98.08% 12.15% 7.09%
Net income growth, 5-year CAGR 0.00% 22.79% 0.00%

Health

Metric EVLV NSSC Security & Protection Services median
Debt to equity 0.24 0.00 0.20
Current ratio 1.18 7.23 1.92
Net debt to EBITDA 1.68 (2.88) 1.55

Dividend

Metric EVLV NSSC Security & Protection Services median
Dividend yield — 2.03% 1.65%
Payout ratio — 0.49 0.28

Size

Metric EVLV NSSC Security & Protection Services median
Market cap 820.50m 1.07b 408.73m

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