Information Services Group, Inc. (III) vs TeleTech Holdings, Inc. (TTEC)

Information Services Group, Inc. and TeleTech Holdings, Inc. are both Information Technology Services companies. Information Services Group, Inc. is the larger, with a market value of $297.6M against $146.2M — 2.0× the size. TeleTech Holdings, Inc. has negative trailing earnings, so its P/E is not meaningful; Information Services Group, Inc. trades at 24.7×. Information Services Group, Inc. grew revenue faster over the last twelve months: 4.85% against −5.65%. Information Services Group, Inc. has the higher net margin (4.74% vs −9.96%) and the higher return on invested capital (11.2% vs −9.08%). Only Information Services Group, Inc. pays a dividend (2.92%). Across the 21 metrics below, Information Services Group, Inc. leads on 14 and TeleTech Holdings, Inc. on 7.

Valuation

Metric III TTEC Information Technology Services median
P/E 24.66 n/m 17.16
P/S 1.18 0.07 1.18
P/B 3.15 1.71 1.81
Price to free cash flow 15.67 1.83 13.47
EV/EBITDA 12.15 n/m 10.06
EV/Sales 1.30 0.44 1.45
Earnings yield 4.06% (137.23%) 2.56%
Free cash flow yield 6.38% 54.73% 0.07%

Profitability

Metric III TTEC Information Technology Services median
Gross margin 45.20% 21.99% 30.21%
Operating margin 8.88% (5.95%) 2.07%
Net margin 4.74% (9.96%) 0.66%
Free cash flow margin 7.50% 3.98% 0.00%
Return on equity 12.68% (109.46%) 0.00%
Return on assets 5.70% (13.21%) 0.00%
Return on invested capital 11.22% (9.08%) 0.00%

Growth

Metric III TTEC Information Technology Services median
Revenue growth (TTM) 4.85% (5.65%) 3.46%
EPS growth (last fiscal year) 216.67% 40.80% 3.57%
Revenue growth, 5-year CAGR (0.36%) 1.86% 6.93%
Net income growth, 5-year CAGR 27.66% 0.00% 0.00%

Health

Metric III TTEC Information Technology Services median
Debt to equity 0.63 9.70 0.31
Current ratio 2.80 1.76 1.69
Net debt to EBITDA 1.35 (34.61) 0.55

Dividend

Metric III TTEC Information Technology Services median
Dividend yield 2.92% 0.00% 1.68%
Payout ratio 0.76 — 0.30

Size

Metric III TTEC Information Technology Services median
Market cap 297.57m 146.17m 996.48m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack