OPENLANE, Inc. (OPLN) vs Valvoline (VVV)

OPENLANE, Inc. and Valvoline are both Auto & Truck Dealerships companies. OPENLANE, Inc. is the larger, with a market value of $4.2B against $3.6B — 1.2× the size. OPENLANE, Inc. has negative trailing earnings, so its P/E is not meaningful; Valvoline trades at 36.2×. Valvoline grew revenue faster over the last twelve months: 16.1% against 11.8%. Valvoline has the higher net margin (5.17% vs −3.08%) and the higher return on invested capital (9.72% vs 7.90%). Across the 21 metrics below, OPENLANE, Inc. leads on 12 and Valvoline on 9.

Valuation

Metric OPLN VVV Auto & Truck Dealerships median
P/E n/m 36.15 16.07
P/S 1.92 1.88 0.43
P/B 2.54 8.87 2.36
Price to free cash flow 11.29 27.32 10.48
EV/EBITDA 9.68 11.77 8.50
EV/Sales 2.08 2.65 0.89
Earnings yield (2.38%) 2.77% 2.72%
Free cash flow yield 8.86% 3.66% 2.83%

Profitability

Metric OPLN VVV Auto & Truck Dealerships median
Gross margin 45.85% 38.28% 19.56%
Operating margin 16.61% 15.33% 3.73%
Net margin (3.08%) 5.17% 1.07%
Free cash flow margin 17.05% 6.89% 2.34%
Return on equity (4.29%) 27.80% 10.04%
Return on assets (1.33%) 3.36% 0.61%
Return on invested capital 7.90% 9.72% 6.85%

Growth

Metric OPLN VVV Auto & Truck Dealerships median
Revenue growth (TTM) 11.77% 16.08% 1.46%
EPS growth (last fiscal year) (313.33%) 1.86% —
Revenue growth, 5-year CAGR 7.83% 18.66% 10.46%
Net income growth, 5-year CAGR 0.00% (7.82%) 0.00%

Health

Metric OPLN VVV Auto & Truck Dealerships median
Debt to equity 0.34 3.84 0.55
Current ratio 1.17 0.70 1.15
Net debt to EBITDA 0.86 2.01 1.34

Dividend

Metric OPLN VVV Auto & Truck Dealerships median
Dividend yield — 1.55% 1.37%
Payout ratio 0.00 0.31 0.00

Size

Metric OPLN VVV Auto & Truck Dealerships median
Market cap 4.24b 3.62b 2.10b

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