F5, Inc. (FFIV) vs Toast, Inc. (TOST)

F5, Inc. and Toast, Inc. are both Software Infrastructure companies. Toast, Inc. is the larger, with a market value of $20.4B against $17.7B — 1.1× the size. F5, Inc. trades at the lower P/E: 24.6× against 37.6×. Toast, Inc. grew revenue faster over the last twelve months: 22.1% against 10.6%. F5, Inc. has the higher net margin (21.1% vs 7.69%) and the lower return on invested capital (15.3% vs 79.6%). Across the 22 metrics below, F5, Inc. leads on 11 and Toast, Inc. on 11.

Valuation

Metric FFIV TOST Software Infrastructure median
P/E 24.61 37.55 24.43
P/S 5.18 2.86 2.81
P/B 4.42 8.95 2.88
Price to free cash flow 20.96 33.91 17.94
EV/EBITDA 19.14 28.09 14.51
EV/Sales 5.10 2.60 2.91
Earnings yield 4.06% 2.66% 0.00%
Free cash flow yield 4.77% 2.95% 0.49%

Profitability

Metric FFIV TOST Software Infrastructure median
Gross margin 81.88% 26.97% 57.45%
Operating margin 23.95% 7.16% 0.00%
Net margin 21.14% 7.69% 0.00%
Free cash flow margin 25.43% 8.45% 0.00%
Return on equity 19.01% 25.58% 0.00%
Return on assets 10.79% 17.33% 0.00%
Return on invested capital 15.25% 79.60% 0.00%

Growth

Metric FFIV TOST Software Infrastructure median
Revenue growth (TTM) 10.64% 22.09% 14.28%
EPS growth (last fiscal year) 6.12% 1,766.67% 18.26%
Revenue growth, 5-year CAGR 5.59% 49.53% 16.15%
Net income growth, 5-year CAGR 16.87% 0.00% 0.00%

Health

Metric FFIV TOST Software Infrastructure median
Debt to equity 0.23 0.00 0.02
Current ratio 1.73 2.66 1.53
Net debt to EBITDA (0.71) (4.38) 0.05

Dividend

Metric FFIV TOST Software Infrastructure median
Dividend yield — — 1.06%
Payout ratio — — 0.29

Size

Metric FFIV TOST Software Infrastructure median
Market cap 17.71b 20.36b 661.51m

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