Evertec, Inc. (EVTC) vs Xanadu Quantum Technologies Limited (XNDU)

Evertec, Inc. and Xanadu Quantum Technologies Limited are both Software Infrastructure companies. Evertec, Inc. and Xanadu Quantum Technologies Limited are of similar size ($1.7B and $1.6B). Xanadu Quantum Technologies Limited has negative trailing earnings, so its P/E is not meaningful; Evertec, Inc. trades at 18.3×. Evertec, Inc. has the higher net margin (9.80% vs −1,475.7%) and the higher return on invested capital (6.80% vs −155.2%). Across the 14 metrics below, Evertec, Inc. leads on 11 and Xanadu Quantum Technologies Limited on 3.

Valuation

Metric EVTC XNDU Software Infrastructure median
P/E 18.30 n/m 28.02
P/S 1.72 244.44 3.07
P/B 2.66 4.76 3.36
Price to free cash flow 12.76 n/m 17.12
EV/EBITDA 8.16 n/m 14.91
EV/Sales 2.72 198.49 3.03
Earnings yield 5.46% (18.32%) 0.13%
Free cash flow yield 7.84% (4.77%) 1.15%

Profitability

Metric EVTC XNDU Software Infrastructure median
Gross margin 51.12% 94.26% 61.23%
Operating margin 17.93% (1,337.04%) 0.00%
Net margin 9.80% (1,475.65%) 0.00%
Free cash flow margin 13.51% (1,165.01%) 1.67%
Return on equity 15.49% 0.00% 0.59%
Return on assets 4.39% (46.87%) 0.00%
Return on invested capital 6.80% (155.22%) 0.00%

Growth

Metric EVTC XNDU Software Infrastructure median
Revenue growth (TTM) 12.36% — 13.41%
EPS growth (last fiscal year) 27.17% — —
Revenue growth, 5-year CAGR 12.79% — 15.81%
Net income growth, 5-year CAGR 6.28% — 0.00%

Health

Metric EVTC XNDU Software Infrastructure median
Debt to equity 2.00 0.10 0.06
Current ratio 1.70 25.54 1.55
Net debt to EBITDA 2.36 — 0.08

Dividend

Metric EVTC XNDU Software Infrastructure median
Dividend yield 0.25% — 1.53%
Payout ratio 0.06 — 0.00

Size

Metric EVTC XNDU Software Infrastructure median
Market cap 1.71b 1.57b 835.96m

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