Griffon Corporation (GFF) vs Trex Company, Inc. (TREX)

Griffon Corporation and Trex Company, Inc. are both Building Products & Equipment companies. Trex Company, Inc. is the larger, with a market value of $5.7B against $4.6B — 1.2× the size. Griffon Corporation trades at the lower P/E: 25.6× against 32.8×. Trex Company, Inc. grew revenue faster over the last twelve months: 8.58% against −12.0%. Trex Company, Inc. has the higher net margin (13.9% vs 8.08%) and the lower return on invested capital (13.1% vs 22.1%). Across the 22 metrics below, Griffon Corporation leads on 12 and Trex Company, Inc. on 10.

Valuation

Metric GFF TREX Building Products & Equipment median
P/E 25.63 32.85 23.33
P/S 2.04 4.47 2.09
P/B 34.98 5.67 2.85
Price to free cash flow 14.33 29.63 18.42
EV/EBITDA 10.90 18.31 13.29
EV/Sales 2.56 4.61 2.28
Earnings yield 3.90% 3.04% 3.04%
Free cash flow yield 6.98% 3.38% 4.26%

Profitability

Metric GFF TREX Building Products & Equipment median
Gross margin 47.93% 37.09% 31.88%
Operating margin 20.39% 19.17% 7.18%
Net margin 8.08% 13.89% 4.11%
Free cash flow margin 14.23% 15.10% 6.41%
Return on equity 185.41% 17.35% 5.95%
Return on assets 9.12% 11.79% 3.90%
Return on invested capital 22.08% 13.05% 5.54%

Growth

Metric GFF TREX Building Products & Equipment median
Revenue growth (TTM) (12.03%) 8.58% 6.27%
EPS growth (last fiscal year) (74.23%) (19.55%) (28.29%)
Revenue growth, 5-year CAGR 4.05% 5.92% 4.81%
Net income growth, 5-year CAGR (0.88%) 1.63% 0.00%

Health

Metric GFF TREX Building Products & Equipment median
Debt to equity 9.75 0.17 0.55
Current ratio 2.41 1.23 1.83
Net debt to EBITDA 2.52 0.40 1.45

Dividend

Metric GFF TREX Building Products & Equipment median
Dividend yield 0.86% — 1.37%
Payout ratio 0.22 — 0.28

Size

Metric GFF TREX Building Products & Equipment median
Market cap 4.64b 5.71b 3.22b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack