Graham Corporation (GHM) vs Nano Nuclear Energy Inc. (NNE)

Graham Corporation and Nano Nuclear Energy Inc. are both Specialty Industrial Machinery companies. Graham Corporation is the larger, with a market value of $1.0B against $932.2M — 1.1× the size. Nano Nuclear Energy Inc. has negative trailing earnings, so its P/E is not meaningful; Graham Corporation trades at 82.3×. Graham Corporation has the higher net margin (4.53% vs 0.00%) and the higher return on invested capital (5.37% vs −91.5%). Across the 13 metrics below, Graham Corporation leads on 9 and Nano Nuclear Energy Inc. on 4.

Valuation

Metric GHM NNE Specialty Industrial Machinery median
P/E 82.28 n/m 29.62
P/S 3.87 n/m 2.77
P/B 5.26 1.44 3.04
Price to free cash flow n/m n/m 23.81
EV/EBITDA 41.07 n/m 16.05
EV/Sales 3.78 n/m 2.94
Earnings yield 1.22% (4.06%) 3.08%
Free cash flow yield (0.58%) (4.30%) 3.12%

Profitability

Metric GHM NNE Specialty Industrial Machinery median
Gross margin 23.29% — 35.90%
Operating margin 5.44% 0.00% 11.22%
Net margin 4.53% 0.00% 7.80%
Free cash flow margin (2.24%) 0.00% 9.51%
Return on equity 7.49% (8.04%) 11.10%
Return on assets 3.83% (7.88%) 4.63%
Return on invested capital 5.37% (91.47%) 5.37%

Growth

Metric GHM NNE Specialty Industrial Machinery median
Revenue growth (TTM) 21.22% — 6.45%
EPS growth (last fiscal year) 0.90% (171.79%) —
Revenue growth, 5-year CAGR 20.27% — 8.31%
Net income growth, 5-year CAGR 39.41% — 5.04%

Health

Metric GHM NNE Specialty Industrial Machinery median
Debt to equity 0.00 0.00 0.35
Current ratio 1.23 79.18 2.11
Net debt to EBITDA 0.27 4.46 1.32

Dividend

Metric GHM NNE Specialty Industrial Machinery median
Dividend yield 4.94% — 1.12%
Payout ratio 0.00 — 0.17

Size

Metric GHM NNE Specialty Industrial Machinery median
Market cap 1.03b 932.20m 1.97b

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