Flex Ltd. (FLEX) vs Littelfuse, Inc. (LFUS)

Flex Ltd. and Littelfuse, Inc. are both Electronic Components companies. Flex Ltd. is the larger, with a market value of $42.0B against $10.7B — 3.9× the size. Littelfuse, Inc. has negative trailing earnings, so its P/E is not meaningful; Flex Ltd. trades at 44.3×. Littelfuse, Inc. grew revenue faster over the last twelve months: 15.4% against 12.3%. Flex Ltd. has the higher net margin (3.32% vs −0.31%) and the higher return on invested capital (11.5% vs 2.28%). Only Littelfuse, Inc. pays a dividend (1.09%). Across the 22 metrics below, Littelfuse, Inc. leads on 12 and Flex Ltd. on 10.

Valuation

Metric FLEX LFUS Electronic Components median
P/E 44.28 n/m 39.06
P/S 1.43 4.15 3.22
P/B 7.63 4.15 3.30
Price to free cash flow 50.39 23.69 26.65
EV/EBITDA 22.40 20.29 19.69
EV/Sales 1.54 4.16 3.53
Earnings yield 2.26% (0.09%) 1.34%
Free cash flow yield 1.98% 4.22% 0.40%

Profitability

Metric FLEX LFUS Electronic Components median
Gross margin 9.37% 39.28% 33.21%
Operating margin 4.95% 3.65% 3.53%
Net margin 3.32% (0.31%) 2.57%
Free cash flow margin 2.85% 17.54% 0.20%
Return on equity 18.38% (0.31%) 2.60%
Return on assets 4.39% (0.20%) 2.50%
Return on invested capital 11.49% 2.28% 2.28%

Growth

Metric FLEX LFUS Electronic Components median
Revenue growth (TTM) 12.25% 15.44% 12.01%
EPS growth (last fiscal year) 10.43% (164.08%) —
Revenue growth, 5-year CAGR 2.96% 10.54% 7.19%
Net income growth, 5-year CAGR 7.50% 0.00% 0.00%

Health

Metric FLEX LFUS Electronic Components median
Debt to equity 0.95 0.24 0.16
Current ratio 1.38 2.76 2.41
Net debt to EBITDA 0.71 0.50 0.32

Dividend

Metric FLEX LFUS Electronic Components median
Dividend yield 0.00% 1.09% 1.18%
Payout ratio 0.00 0.18 0.00

Size

Metric FLEX LFUS Electronic Components median
Market cap 42.00b 10.70b 780.25m

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