Newell Brands Inc. (NWL) vs Spectrum Brands Holdings Inc. (SPB)

Newell Brands Inc. and Spectrum Brands Holdings Inc. are both Household & Personal Products companies. Newell Brands Inc. is the larger, with a market value of $2.2B against $1.9B — 1.2× the size. Newell Brands Inc. has negative trailing earnings, so its P/E is not meaningful; Spectrum Brands Holdings Inc. trades at 26.3×. Spectrum Brands Holdings Inc. grew revenue faster over the last twelve months: 0.82% against 0.79%. Spectrum Brands Holdings Inc. has the higher net margin (2.76% vs −4.42%) and the higher return on invested capital (3.28% vs 0.65%). Both pay a dividend; Newell Brands Inc. yields more (4.69% vs 2.16%). Across the 22 metrics below, Spectrum Brands Holdings Inc. leads on 19 and Newell Brands Inc. on 3.

Valuation

Metric NWL SPB Household & Personal Products median
P/E n/m 26.30 24.25
P/S 0.35 0.70 1.25
P/B 1.04 1.09 2.87
Price to free cash flow 47.97 6.90 19.90
EV/EBITDA 9.23 7.72 13.21
EV/Sales 1.04 0.82 1.23
Earnings yield (12.90%) 3.80% 0.90%
Free cash flow yield 2.08% 14.50% 3.97%

Profitability

Metric NWL SPB Household & Personal Products median
Gross margin 35.58% 39.65% 47.14%
Operating margin 0.98% 4.03% 0.89%
Net margin (4.42%) 2.76% 2.23%
Free cash flow margin 0.72% 10.15% 3.44%
Return on equity 0.00% 4.24% 4.24%
Return on assets (2.91%) 2.23% 0.00%
Return on invested capital 0.65% 3.28% 0.00%

Growth

Metric NWL SPB Household & Personal Products median
Revenue growth (TTM) 0.79% 0.82% 3.23%
EPS growth (last fiscal year) (30.77%) (5.85%) (4.17%)
Revenue growth, 5-year CAGR (5.15%) 1.39% 1.14%
Net income growth, 5-year CAGR 0.00% 0.43% 0.00%

Health

Metric NWL SPB Household & Personal Products median
Debt to equity 2.05 0.33 0.49
Current ratio 1.27 2.41 1.65
Net debt to EBITDA 6.42 1.96 1.38

Dividend

Metric NWL SPB Household & Personal Products median
Dividend yield 4.69% 2.16% 2.67%
Payout ratio — 0.57 0.82

Size

Metric NWL SPB Household & Personal Products median
Market cap 2.21b 1.92b 675.76m

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