Life360, Inc. (LIF) vs Q2 Holdings, Inc. (QTWO)

Life360, Inc. and Q2 Holdings, Inc. are both Software Application companies. Life360, Inc. and Q2 Holdings, Inc. are of similar size ($3.5B and $3.3B). Life360, Inc. trades at the lower P/E: 22.1× against 37.9×. Life360, Inc. grew revenue faster over the last twelve months: 34.0% against 13.9%. Life360, Inc. has the higher net margin (25.7% vs 10.9%) and the lower return on invested capital (0.89% vs 9.92%). Across the 20 metrics below, Life360, Inc. leads on 11 and Q2 Holdings, Inc. on 9.

Valuation

Metric LIF QTWO Software Application median
P/E 22.05 37.93 24.79
P/S 5.83 4.14 2.67
P/B 5.45 5.45 3.01
Price to free cash flow 34.19 18.58 16.59
EV/EBITDA n/m 23.99 14.40
EV/Sales 5.57 4.73 2.62
Earnings yield 4.53% 2.64% 0.00%
Free cash flow yield 2.92% 5.38% 1.91%

Profitability

Metric LIF QTWO Software Application median
Gross margin 77.59% 56.99% 67.03%
Operating margin 1.14% 10.03% 0.00%
Net margin 25.72% 10.87% 0.00%
Free cash flow margin 17.38% 22.34% 4.32%
Return on equity 30.06% 14.98% 0.00%
Return on assets 16.32% 7.82% 0.00%
Return on invested capital 0.89% 9.92% 0.00%

Growth

Metric LIF QTWO Software Application median
Revenue growth (TTM) 33.96% 13.90% 12.40%
EPS growth (last fiscal year) 3,050.00% 225.00% —
Revenue growth, 5-year CAGR 43.42% 14.56% 13.72%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric LIF QTWO Software Application median
Debt to equity 0.51 0.00 0.02
Current ratio 5.60 0.94 1.55
Net debt to EBITDA 2.17 (1.05) 0.06

Dividend

Metric LIF QTWO Software Application median
Dividend yield — — 1.25%
Payout ratio — 0.00 0.00

Size

Metric LIF QTWO Software Application median
Market cap 3.32b 3.52b 396.11m

Compare with another peer

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