Matrix Service Company (MTRX) vs INNOVATE Corp. (VATE)

Matrix Service Company and INNOVATE Corp. are both Engineering & Construction companies. Matrix Service Company is the larger, with a market value of $286.9M against $84.7M — 3.4× the size. INNOVATE Corp. grew revenue faster over the last twelve months: 52.4% against 13.6%. Matrix Service Company has the higher net margin (−0.30% vs −1.58%) and the lower return on invested capital (0.00% vs 13.1%). Across the 18 metrics below, INNOVATE Corp. leads on 12 and Matrix Service Company on 6.

Valuation

Metric MTRX VATE Engineering & Construction median
P/E n/m n/m 29.24
P/S 0.32 0.05 1.09
P/B 2.00 n/m 3.39
Price to free cash flow 84.23 0.75 24.81
EV/EBITDA n/m 5.01 14.38
EV/Sales 0.08 0.40 1.37
Earnings yield (0.90%) (30.67%) 2.83%
Free cash flow yield 1.19% 132.46% 2.28%

Profitability

Metric MTRX VATE Engineering & Construction median
Gross margin 7.32% 15.93% 18.76%
Operating margin (1.10%) 4.28% 6.26%
Net margin (0.30%) (1.58%) 2.23%
Free cash flow margin 0.39% 7.01% 1.83%
Return on equity (1.81%) 11.03% 7.90%
Return on assets (0.43%) (2.53%) 0.87%
Return on invested capital 0.00% 13.11% 2.52%

Growth

Metric MTRX VATE Engineering & Construction median
Revenue growth (TTM) 13.56% 52.38% 16.67%
EPS growth (last fiscal year) 91.51% (57.14%) 13.42%
Revenue growth, 5-year CAGR 5.34% 11.69% 11.76%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric MTRX VATE Engineering & Construction median
Debt to equity 0.00 (2.81) 0.40
Current ratio 0.98 0.44 1.39
Net debt to EBITDA 227.98 6.64 0.38

Dividend

Metric MTRX VATE Engineering & Construction median
Dividend yield — — 0.63%
Payout ratio — — 0.17

Size

Metric MTRX VATE Engineering & Construction median
Market cap 286.88m 84.71m 1.09b

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