Genasys Inc. (GNSS) vs Sono-Tek Corporation (SOTK)

Genasys Inc. and Sono-Tek Corporation are both Scientific & Technical Instruments companies. Sono-Tek Corporation is the larger, with a market value of $96.0M against $58.8M — 1.6× the size. Genasys Inc. has negative trailing earnings, so its P/E is not meaningful; Sono-Tek Corporation trades at 50.0×. Genasys Inc. grew revenue faster over the last twelve months: 86.7% against 4.37%. Sono-Tek Corporation has the higher net margin (9.32% vs −10.9%) and the higher return on invested capital (41.5% vs −35.0%). Across the 19 metrics below, Sono-Tek Corporation leads on 13 and Genasys Inc. on 6.

Valuation

Metric GNSS SOTK Scientific & Technical Instruments median
P/E n/m 49.96 33.25
P/S 1.06 4.50 4.50
P/B n/m 4.60 2.90
Price to free cash flow n/m 13.43 24.81
EV/EBITDA 39.25 28.94 17.92
EV/Sales 1.14 3.76 4.71
Earnings yield (10.08%) 2.00% 0.60%
Free cash flow yield (4.33%) 7.45% 1.27%

Profitability

Metric GNSS SOTK Scientific & Technical Instruments median
Gross margin 54.03% 52.48% 45.75%
Operating margin (3.16%) 10.23% 7.34%
Net margin (10.86%) 9.32% 1.56%
Free cash flow margin (4.59%) 33.63% 5.84%
Return on equity (672.00%) 10.08% 2.87%
Return on assets (10.69%) 8.09% 0.99%
Return on invested capital (35.04%) 41.53% 3.88%

Growth

Metric GNSS SOTK Scientific & Technical Instruments median
Revenue growth (TTM) 86.72% 4.37% 11.15%
EPS growth (last fiscal year) 44.44% 37.50% 11.47%
Revenue growth, 5-year CAGR (1.07%) 7.11% 7.89%
Net income growth, 5-year CAGR 0.00% 10.01% 0.00%

Health

Metric GNSS SOTK Scientific & Technical Instruments median
Debt to equity (5.75) 0.00 0.00
Current ratio 0.76 4.42 2.24
Net debt to EBITDA 0.60 (5.94) 0.44

Dividend

Metric GNSS SOTK Scientific & Technical Instruments median
Dividend yield — — 0.58%
Payout ratio — — 0.36

Size

Metric GNSS SOTK Scientific & Technical Instruments median
Market cap 58.75m 95.95m 444.25m

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