Fortive Corporation (FTV) vs Keysight Technologies Inc. (KEYS)

Fortive Corporation and Keysight Technologies Inc. are both Scientific & Technical Instruments companies. Keysight Technologies Inc. is the larger, with a market value of $61.0B against $16.7B — 3.6× the size. Fortive Corporation trades at the lower P/E: 32.6× against 49.3×. Fortive Corporation grew revenue faster over the last twelve months: 43.2% against 25.5%. Keysight Technologies Inc. has the higher net margin (19.1% vs 12.4%) and the higher return on invested capital (12.9% vs 5.34%). Across the 22 metrics below, Keysight Technologies Inc. leads on 13 and Fortive Corporation on 9.

Valuation

Metric FTV KEYS Scientific & Technical Instruments median
P/E 32.61 49.27 35.93
P/S 3.95 9.41 4.46
P/B 2.81 9.42 3.00
Price to free cash flow 18.20 41.51 24.96
EV/EBITDA 17.09 35.83 19.60
EV/Sales 4.89 9.40 4.98
Earnings yield 3.07% 2.03% 0.53%
Free cash flow yield 5.50% 2.41% 1.12%

Profitability

Metric FTV KEYS Scientific & Technical Instruments median
Gross margin 63.23% 64.69% 45.75%
Operating margin 18.23% 20.25% 7.34%
Net margin 12.38% 19.14% 1.56%
Free cash flow margin 21.72% 22.67% 5.84%
Return on equity 6.49% 20.59% 2.87%
Return on assets 3.58% 11.16% 0.99%
Return on invested capital 5.34% 12.85% 3.88%

Growth

Metric FTV KEYS Scientific & Technical Instruments median
Revenue growth (TTM) 43.22% 25.54% 11.28%
EPS growth (last fiscal year) (26.69%) 39.32% —
Revenue growth, 5-year CAGR (2.14%) 4.95% 7.89%
Net income growth, 5-year CAGR (17.81%) 6.27% 0.00%

Health

Metric FTV KEYS Scientific & Technical Instruments median
Debt to equity 0.58 0.38 0.00
Current ratio 1.24 2.02 2.24
Net debt to EBITDA 2.44 0.57 0.44

Dividend

Metric FTV KEYS Scientific & Technical Instruments median
Dividend yield 0.38% — 0.72%
Payout ratio 0.13 0.00 0.00

Size

Metric FTV KEYS Scientific & Technical Instruments median
Market cap 16.74b 61.04b 483.67m

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