Progress Software Corporation (PRGS) vs Radware Ltd. (RDWR)

Progress Software Corporation and Radware Ltd. are both Software Infrastructure companies. Progress Software Corporation is the larger, with a market value of $1.7B against $1.3B — 1.3× the size. Progress Software Corporation trades at the lower P/E: 18.8× against 75.7×. Progress Software Corporation grew revenue faster over the last twelve months: 15.5% against 10.1%. Progress Software Corporation has the higher net margin (8.87% vs 5.33%) and the higher return on invested capital (6.41% vs 5.22%). Across the 21 metrics below, Progress Software Corporation leads on 16 and Radware Ltd. on 5.

Valuation

Metric PRGS RDWR Software Infrastructure median
P/E 18.82 75.72 28.02
P/S 1.64 3.88 3.07
P/B 3.26 3.43 3.36
Price to free cash flow 5.40 n/m 17.12
EV/EBITDA 8.69 46.92 14.91
EV/Sales 2.84 3.09 3.03
Earnings yield 5.31% 1.32% 0.13%
Free cash flow yield 18.52% (2.23%) 1.15%

Profitability

Metric PRGS RDWR Software Infrastructure median
Gross margin 81.79% 80.55% 61.23%
Operating margin 17.33% 2.91% 0.00%
Net margin 8.87% 5.33% 0.00%
Free cash flow margin 30.41% 10.22% 1.67%
Return on equity 18.57% 4.59% 0.59%
Return on assets 3.74% 2.58% 0.00%
Return on invested capital 6.41% 5.22% 0.00%

Growth

Metric PRGS RDWR Software Infrastructure median
Revenue growth (TTM) 15.50% 10.10% 13.41%
EPS growth (last fiscal year) 7.79% 221.43% —
Revenue growth, 5-year CAGR 17.20% 3.84% 15.81%
Net income growth, 5-year CAGR (1.71%) 16.02% 0.00%

Health

Metric PRGS RDWR Software Infrastructure median
Debt to equity 2.55 0.00 0.06
Current ratio 0.81 1.63 1.55
Net debt to EBITDA 3.04 (11.14) 0.08

Dividend

Metric PRGS RDWR Software Infrastructure median
Dividend yield 1.23% — 1.53%
Payout ratio 0.40 0.00 0.00

Size

Metric PRGS RDWR Software Infrastructure median
Market cap 1.65b 1.25b 835.96m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack