Kornit Digital Ltd. (KRNT) vs Tennant Company (TNC)

Kornit Digital Ltd. and Tennant Company are both Specialty Industrial Machinery companies. Tennant Company is the larger, with a market value of $1.1B against $737.7M — 1.5× the size. Kornit Digital Ltd. has negative trailing earnings, so its P/E is not meaningful; Tennant Company trades at 62.8×. Kornit Digital Ltd. grew revenue faster over the last twelve months: 3.95% against −2.91%. Tennant Company has the higher net margin (1.50% vs −9.42%) and the higher return on invested capital (2.98% vs −10.6%). Across the 19 metrics below, Tennant Company leads on 11 and Kornit Digital Ltd. on 8.

Valuation

Metric KRNT TNC Specialty Industrial Machinery median
P/E n/m 62.84 28.39
P/S 3.37 0.91 2.70
P/B 1.02 2.06 3.02
Price to free cash flow 135.38 n/m 23.32
EV/EBITDA n/m 14.03 15.39
EV/Sales 1.38 1.14 2.81
Earnings yield (2.77%) 1.59% 3.12%
Free cash flow yield 0.74% (0.13%) 3.24%

Profitability

Metric KRNT TNC Specialty Industrial Machinery median
Gross margin 44.09% 38.77% 35.90%
Operating margin (18.54%) 3.20% 11.22%
Net margin (9.42%) 1.50% 7.80%
Free cash flow margin 2.69% (0.10%) 9.51%
Return on equity 0.00% 3.08% 10.50%
Return on assets (2.68%) 1.46% 4.60%
Return on invested capital (10.60%) 2.98% 5.36%

Growth

Metric KRNT TNC Specialty Industrial Machinery median
Revenue growth (TTM) 3.95% (2.91%) 6.45%
EPS growth (last fiscal year) 14.29% (46.12%) 4.97%
Revenue growth, 5-year CAGR 1.49% 3.75% 8.31%
Net income growth, 5-year CAGR 0.00% 5.38% 5.04%

Health

Metric KRNT TNC Specialty Industrial Machinery median
Debt to equity 0.00 0.67 0.35
Current ratio 8.81 2.04 2.11
Net debt to EBITDA 20.19 1.32 1.32

Dividend

Metric KRNT TNC Specialty Industrial Machinery median
Dividend yield — 1.90% 1.10%
Payout ratio — 1.22 0.31

Size

Metric KRNT TNC Specialty Industrial Machinery median
Market cap 737.74m 1.13b 1.91b

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