Strategy Inc (MSTR) vs Snowflake Inc. (SNOW)

Strategy Inc and Snowflake Inc. are both Software Application companies. Snowflake Inc. is the larger, with a market value of $95.1B against $54.6B — 1.7× the size. Snowflake Inc. grew revenue faster over the last twelve months: 32.0% against 4.24%. Snowflake Inc. has the higher net margin (−20.1% vs −3,008.0%) and the lower return on invested capital (−37.0% vs −21.5%). Across the 18 metrics below, Snowflake Inc. leads on 11 and Strategy Inc on 7.

Valuation

Metric MSTR SNOW Software Application median
P/E n/m n/m 25.90
P/S 105.41 17.41 3.04
P/B 0.94 44.01 2.60
Price to free cash flow n/m 79.35 17.17
EV/EBITDA n/m n/m 15.48
EV/Sales 107.04 17.40 2.89
Earnings yield (44.36%) (1.17%) 0.00%
Free cash flow yield (32.45%) 1.26% 1.98%

Profitability

Metric MSTR SNOW Software Application median
Gross margin 67.84% 67.03% 66.89%
Operating margin (3,905.89%) (22.76%) 0.00%
Net margin (3,007.96%) (20.07%) 0.00%
Free cash flow margin (3,420.37%) 21.94% 5.77%
Return on equity (27.64%) (48.17%) 0.00%
Return on assets (19.75%) (12.92%) 0.00%
Return on invested capital (21.49%) (37.00%) 0.00%

Growth

Metric MSTR SNOW Software Application median
Revenue growth (TTM) 4.24% 32.04% 12.27%
EPS growth (last fiscal year) (151.32%) (2.33%) 32.11%
Revenue growth, 5-year CAGR (0.15%) 51.23% 14.34%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric MSTR SNOW Software Application median
Debt to equity 0.12 1.06 0.02
Current ratio 4.04 0.94 1.53
Net debt to EBITDA (1.09) 1.61 0.09

Dividend

Metric MSTR SNOW Software Application median
Dividend yield — — 1.10%
Payout ratio — — 0.28

Size

Metric MSTR SNOW Software Application median
Market cap 54.61b 95.09b 487.58m

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