Horizon Quantum Holdings Ltd. (HQ) vs Rackspace Technology, Inc. (RXT)

Horizon Quantum Holdings Ltd. and Rackspace Technology, Inc. are both Software Infrastructure companies. Horizon Quantum Holdings Ltd. and Rackspace Technology, Inc. are of similar size ($811.8M and $752.4M). Horizon Quantum Holdings Ltd. has the higher net margin (0.00% vs −5.88%) and the higher return on invested capital (0.00% vs −3.17%). Across the 12 metrics below, Rackspace Technology, Inc. leads on 7 and Horizon Quantum Holdings Ltd. on 5.

Valuation

Metric HQ RXT Software Infrastructure median
P/E n/m n/m 28.38
P/S n/m 0.26 2.98
P/B 14.98 n/m 2.93
Price to free cash flow n/m 17.26 16.28
EV/EBITDA n/m 13.67 13.92
EV/Sales n/m 1.38 2.90
Earnings yield (107.08%) (22.97%) 0.14%
Free cash flow yield (1.80%) 5.79% 1.24%

Profitability

Metric HQ RXT Software Infrastructure median
Gross margin — 17.92% 61.00%
Operating margin 0.00% (3.26%) 0.00%
Net margin 0.00% (5.88%) 0.00%
Free cash flow margin 0.00% 1.52% 1.67%
Return on equity (1,057.18%) 13.25% 0.60%
Return on assets (170.78%) (5.64%) 0.00%
Return on invested capital 0.00% (3.17%) 0.00%

Growth

Metric HQ RXT Software Infrastructure median
Revenue growth (TTM) — 0.34% 13.41%
EPS growth (last fiscal year) (2,075.05%) 75.26% 27.10%
Revenue growth, 5-year CAGR — (0.16%) 15.57%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric HQ RXT Software Infrastructure median
Debt to equity 0.00 (2.44) 0.05
Current ratio 33.84 0.76 1.55
Net debt to EBITDA (0.54) 11.17 0.08

Dividend

Metric HQ RXT Software Infrastructure median
Dividend yield — — 1.20%
Payout ratio — — 0.29

Size

Metric HQ RXT Software Infrastructure median
Market cap 752.37m 811.77m 752.37m

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