Friedman Industries Inc. (FRD) vs NWPX Infrastructure, Inc. (NWPX)

Friedman Industries Inc. and NWPX Infrastructure, Inc. are both Steel companies. NWPX Infrastructure, Inc. is the larger, with a market value of $976.6M against $284.7M — 3.4× the size. Friedman Industries Inc. trades at the lower P/E: 10.2× against 20.3×. Friedman Industries Inc. grew revenue faster over the last twelve months: 61.8% against 15.1%. NWPX Infrastructure, Inc. has the higher net margin (8.49% vs 3.59%) and the lower return on invested capital (10.1% vs 15.2%). Across the 21 metrics below, Friedman Industries Inc. leads on 15 and NWPX Infrastructure, Inc. on 6.

Valuation

Metric FRD NWPX Steel median
P/E 10.24 20.32 21.10
P/S 0.37 1.73 0.70
P/B 1.67 2.37 1.39
Price to free cash flow n/m 12.44 23.71
EV/EBITDA 6.25 11.36 10.71
EV/Sales 0.36 1.71 0.85
Earnings yield 9.76% 4.92% 4.56%
Free cash flow yield (2.62%) 8.04% 0.00%

Profitability

Metric FRD NWPX Steel median
Gross margin 10.33% 20.88% 13.91%
Operating margin 5.27% 11.47% 4.77%
Net margin 3.59% 8.49% 3.40%
Free cash flow margin (0.96%) 13.87% 0.00%
Return on equity 17.90% 12.22% 2.21%
Return on assets 9.10% 7.83% 1.83%
Return on invested capital 15.24% 10.06% 2.52%

Growth

Metric FRD NWPX Steel median
Revenue growth (TTM) 61.80% 15.09% 11.33%
EPS growth (last fiscal year) 217.24% 4.71% —
Revenue growth, 5-year CAGR 38.68% 12.97% 6.73%
Net income growth, 5-year CAGR 10.96% 13.20% 0.00%

Health

Metric FRD NWPX Steel median
Debt to equity 0.02 0.02 0.22
Current ratio 2.90 2.71 2.58
Net debt to EBITDA 0.04 0.13 0.10

Dividend

Metric FRD NWPX Steel median
Dividend yield 0.48% — 2.48%
Payout ratio 0.03 0.00 0.04

Size

Metric FRD NWPX Steel median
Market cap 284.69m 976.63m 1.46b

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