Merlin Inc (MRLN) vs SIFCO Industries, Inc. (SIF)

Merlin Inc and SIFCO Industries, Inc. are both Aerospace & Defense companies. SIFCO Industries, Inc. is the larger, with a market value of $105.5M against $78.3M — 1.3× the size. Merlin Inc has negative trailing earnings, so its P/E is not meaningful; SIFCO Industries, Inc. trades at 25.8×. SIFCO Industries, Inc. has the higher net margin (4.00% vs −3,463.5%) and the higher return on invested capital (7.52% vs 0.00%). Across the 16 metrics below, SIFCO Industries, Inc. leads on 11 and Merlin Inc on 5.

Valuation

Metric MRLN SIF Aerospace & Defense median
P/E n/m 25.81 28.48
P/S 9.93 1.04 2.95
P/B n/m 2.49 2.68
Price to free cash flow n/m 30.38 31.70
EV/EBITDA 1.01 10.90 16.85
EV/Sales (11.24) 1.05 2.74
Earnings yield (394.76%) 3.87% 0.89%
Free cash flow yield (94.27%) 3.29% 0.00%

Profitability

Metric MRLN SIF Aerospace & Defense median
Gross margin 26.34% 16.57% 26.41%
Operating margin (1,156.90%) 5.16% 3.69%
Net margin (3,463.45%) 4.00% 2.74%
Free cash flow margin (936.31%) 3.43% 0.00%
Return on equity 0.00% 10.27% 4.44%
Return on assets (239.99%) 5.05% 1.90%
Return on invested capital 0.00% 7.52% 0.26%

Growth

Metric MRLN SIF Aerospace & Defense median
Revenue growth (TTM) — 18.78% 18.03%
EPS growth (last fiscal year) 85.03% 86.67% 24.80%
Revenue growth, 5-year CAGR — (5.67%) 9.73%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric MRLN SIF Aerospace & Defense median
Debt to equity 0.00 0.05 0.20
Current ratio 14.67 1.77 2.85
Net debt to EBITDA 0.24 0.11 1.29

Dividend

Metric MRLN SIF Aerospace & Defense median
Dividend yield — — 0.91%
Payout ratio — — 0.30

Size

Metric MRLN SIF Aerospace & Defense median
Market cap 78.34m 105.50m 1.78b

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