Harmonic Inc. (HLIT) vs Telesat Corporation (TSAT)

Harmonic Inc. and Telesat Corporation are both Communication Equipment companies. Harmonic Inc. is the larger, with a market value of $1.2B against $731.2M — 1.7× the size. Harmonic Inc. grew revenue faster over the last twelve months: 11.2% against −25.3%. Harmonic Inc. has the higher net margin (−10.6% vs −102.5%) and the higher return on invested capital (13.6% vs −6.02%). Across the 18 metrics below, Harmonic Inc. leads on 13 and Telesat Corporation on 5.

Valuation

Metric HLIT TSAT Communication Equipment median
P/E n/m n/m 33.61
P/S 2.70 2.80 2.16
P/B 3.32 0.86 2.40
Price to free cash flow 22.19 n/m 25.02
EV/EBITDA 8.94 n/m 13.78
EV/Sales 2.42 12.23 2.27
Earnings yield (3.81%) (37.11%) (0.65%)
Free cash flow yield 4.51% (62.00%) 1.61%

Profitability

Metric HLIT TSAT Communication Equipment median
Gross margin 50.01% 66.30% 39.47%
Operating margin 11.69% (122.29%) 2.39%
Net margin (10.62%) (102.47%) (0.74%)
Free cash flow margin 12.14% (77.77%) 1.39%
Return on equity (11.69%) (21.44%) (1.91%)
Return on assets (6.66%) (5.50%) (0.20%)
Return on invested capital 13.56% (6.02%) 0.72%

Growth

Metric HLIT TSAT Communication Equipment median
Revenue growth (TTM) 11.19% (25.27%) 11.48%
EPS growth (last fiscal year) (215.15%) (65.36%) —
Revenue growth, 5-year CAGR (0.99%) (18.27%) 4.92%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric HLIT TSAT Communication Equipment median
Debt to equity 0.31 3.21 0.06
Current ratio 3.05 0.17 2.01
Net debt to EBITDA (0.15) (19.32) 0.67

Dividend

Metric HLIT TSAT Communication Equipment median
Dividend yield — — 2.63%
Payout ratio 0.00 0.00 0.00

Size

Metric HLIT TSAT Communication Equipment median
Market cap 1.21b 731.17m 563.45m

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