Knowles Corporation (KN) vs Universal Display Corporation (OLED)

Knowles Corporation and Universal Display Corporation are both Electronic Components companies. Knowles Corporation and Universal Display Corporation are of similar size ($3.4B and $3.1B). Universal Display Corporation trades at the lower P/E: 18.6× against 47.5×. Knowles Corporation grew revenue faster over the last twelve months: 12.8% against −8.32%. Universal Display Corporation has the higher net margin (32.2% vs 10.6%) and the higher return on invested capital (10.7% vs 6.57%). Across the 22 metrics below, Universal Display Corporation leads on 18 and Knowles Corporation on 4.

Valuation

Metric KN OLED Electronic Components median
P/E 47.51 18.65 39.06
P/S 5.07 5.95 3.22
P/B 4.04 2.14 3.30
Price to free cash flow 50.65 21.24 26.65
EV/EBITDA 25.61 12.19 19.69
EV/Sales 5.31 5.17 3.53
Earnings yield 2.10% 5.36% 1.34%
Free cash flow yield 1.97% 4.71% 0.40%

Profitability

Metric KN OLED Electronic Components median
Gross margin 44.74% 75.33% 33.21%
Operating margin 14.52% 34.07% 3.53%
Net margin 10.63% 32.22% 2.57%
Free cash flow margin 10.00% 28.01% 0.20%
Return on equity 8.76% 11.51% 2.60%
Return on assets 6.24% 10.24% 2.50%
Return on invested capital 6.57% 10.66% 2.28%

Growth

Metric KN OLED Electronic Components median
Revenue growth (TTM) 12.77% (8.32%) 12.01%
EPS growth (last fiscal year) 118.94% 9.25% —
Revenue growth, 5-year CAGR (4.94%) 8.69% 7.19%
Net income growth, 5-year CAGR 46.28% 12.82% 0.00%

Health

Metric KN OLED Electronic Components median
Debt to equity 0.16 0.00 0.16
Current ratio 3.20 8.50 2.41
Net debt to EBITDA 0.54 (2.04) 0.32

Dividend

Metric KN OLED Electronic Components median
Dividend yield — 0.75% 1.18%
Payout ratio 0.00 0.30 0.00

Size

Metric KN OLED Electronic Components median
Market cap 3.14b 3.38b 780.25m

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