Lemonade, Inc. (LMND) vs Porch Group, Inc. (PRCH)

Lemonade, Inc. and Porch Group, Inc. are both Insurance Property & Casualty companies. Lemonade, Inc. is the larger, with a market value of $3.2B against $2.5B — 1.3× the size. Lemonade, Inc. has negative trailing earnings, so its P/E is not meaningful; Porch Group, Inc. trades at 363×. Lemonade, Inc. grew revenue faster over the last twelve months: 62.3% against 15.6%. Porch Group, Inc. has the higher net margin (1.81% vs −14.2%) and the higher return on invested capital (7.73% vs −25.6%). Across the 18 metrics below, Porch Group, Inc. leads on 12 and Lemonade, Inc. on 6.

Valuation

Metric LMND PRCH Insurance Property & Casualty median
P/E n/m 363.47 11.87
P/S 3.27 4.62 1.26
P/B 6.38 82.62 1.99
Price to free cash flow 393.19 25.67 8.12
EV/EBITDA — — —
EV/Sales — — —
Earnings yield (4.42%) 0.28% 8.04%
Free cash flow yield 0.25% 3.90% 11.85%

Profitability

Metric LMND PRCH Insurance Property & Casualty median
Gross margin 51.65% 72.06% 41.66%
Operating margin (13.67%) 7.97% 14.71%
Net margin (14.19%) 1.81% 10.84%
Free cash flow margin 0.83% 18.60% 17.46%
Return on equity (26.96%) 47.80% 16.87%
Return on assets (7.01%) 1.16% 3.57%
Return on invested capital (25.59%) 7.73% 12.03%

Growth

Metric LMND PRCH Insurance Property & Casualty median
Revenue growth (TTM) 62.31% 15.64% 5.92%
EPS growth (last fiscal year) 21.40% 90.90% 39.61%
Revenue growth, 5-year CAGR 50.87% 46.17% 9.23%
Net income growth, 5-year CAGR 0.00% 0.00% 10.09%

Health

Metric LMND PRCH Insurance Property & Casualty median
Debt to equity 0.41 13.63 0.25
Current ratio 0.81 1.46 0.42
Net debt to EBITDA 1.58 5.36 0.08

Dividend

Metric LMND PRCH Insurance Property & Casualty median
Dividend yield — — 1.44%
Payout ratio — — 0.14

Size

Metric LMND PRCH Insurance Property & Casualty median
Market cap 3.20b 2.46b 2.61b

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