NN, Inc. (NNBR) vs RCM Technologies, Inc. (RCMT)

NN, Inc. and RCM Technologies, Inc. are both Conglomerates companies. NN, Inc. and RCM Technologies, Inc. are of similar size ($297.3M and $288.6M). NN, Inc. has negative trailing earnings, so its P/E is not meaningful; RCM Technologies, Inc. trades at 17.5×. RCM Technologies, Inc. grew revenue faster over the last twelve months: 11.2% against 5.09%. RCM Technologies, Inc. has the higher net margin (5.13% vs −10.5%) and the higher return on invested capital (24.6% vs −2.92%). Across the 20 metrics below, RCM Technologies, Inc. leads on 18 and NN, Inc. on 2.

Valuation

Metric NNBR RCMT Conglomerates median
P/E n/m 17.47 17.47
P/S 0.40 0.86 0.88
P/B 8.70 5.88 1.40
Price to free cash flow 19.94 12.58 12.58
EV/EBITDA 13.90 10.90 11.36
EV/Sales 0.73 0.91 1.37
Earnings yield (26.16%) 5.73% 0.65%
Free cash flow yield 5.01% 7.95% 0.00%

Profitability

Metric NNBR RCMT Conglomerates median
Gross margin 15.01% 26.91% 33.55%
Operating margin (3.01%) 7.73% 3.36%
Net margin (10.51%) 5.13% 0.97%
Free cash flow margin 2.03% 6.84% (0.94%)
Return on equity (118.69%) 39.51% 0.75%
Return on assets (10.54%) 12.69% 0.10%
Return on invested capital (2.92%) 24.58% 0.73%

Growth

Metric NNBR RCMT Conglomerates median
Revenue growth (TTM) 5.09% 11.24% 8.17%
EPS growth (last fiscal year) 3.60% 27.38% —
Revenue growth, 5-year CAGR (0.25%) 16.26% 6.01%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric NNBR RCMT Conglomerates median
Debt to equity 1.16 0.48 0.48
Current ratio 1.79 1.92 1.79
Net debt to EBITDA 8.01 0.82 1.36

Dividend

Metric NNBR RCMT Conglomerates median
Dividend yield — — 2.53%
Payout ratio 0.00 0.00 0.00

Size

Metric NNBR RCMT Conglomerates median
Market cap 297.29m 288.63m 519.65m

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