Green Plains, Inc. (GPRE) vs Valhi, Inc. (VHI)

Green Plains, Inc. and Valhi, Inc. are both Chemicals companies. Green Plains, Inc. is the larger, with a market value of $1.1B against $422.3M — 2.5× the size. Valhi, Inc. has negative trailing earnings, so its P/E is not meaningful; Green Plains, Inc. trades at 8.0×. Valhi, Inc. grew revenue faster over the last twelve months: 2.10% against −23.7%. Green Plains, Inc. has the higher net margin (6.78% vs −2.30%) and the higher return on invested capital (7.48% vs 0.95%). Across the 20 metrics below, Green Plains, Inc. leads on 12 and Valhi, Inc. on 8.

Valuation

Metric GPRE VHI Chemicals median
P/E 8.01 n/m —
P/S 0.54 0.18 0.41
P/B 1.14 0.29 1.08
Price to free cash flow 3.21 6.02 7.14
EV/EBITDA 5.32 8.10 9.56
EV/Sales 0.69 0.35 0.82
Earnings yield 12.48% (12.60%) (11.64%)
Free cash flow yield 31.17% 16.62% 0.00%

Profitability

Metric GPRE VHI Chemicals median
Gross margin 16.03% 16.72% 16.03%
Operating margin 7.44% 1.22% (0.82%)
Net margin 6.78% (2.30%) (3.05%)
Free cash flow margin 16.88% 3.13% (0.15%)
Return on equity 15.40% (3.61%) (5.24%)
Return on assets 7.58% (1.91%) (2.51%)
Return on invested capital 7.48% 0.95% (0.75%)

Growth

Metric GPRE VHI Chemicals median
Revenue growth (TTM) (23.68%) 2.10% 2.53%
EPS growth (last fiscal year) (39.53%) (153.30%) (39.53%)
Revenue growth, 5-year CAGR 1.69% 2.61% 2.20%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric GPRE VHI Chemicals median
Debt to equity 0.59 0.42 0.71
Current ratio 1.99 3.37 1.99
Net debt to EBITDA 3.49 4.82 3.49

Dividend

Metric GPRE VHI Chemicals median
Dividend yield — 2.25% 4.62%
Payout ratio — — —

Size

Metric GPRE VHI Chemicals median
Market cap 1.06b 422.27m 603.67m

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