Quad Graphics, Inc (QUAD) vs Transcat, Inc. (TRNS)

Quad Graphics, Inc and Transcat, Inc. are both Specialty Business Services companies. Transcat, Inc. is the larger, with a market value of $806.2M against $476.9M — 1.7× the size. Quad Graphics, Inc trades at the lower P/E: 14.5× against 237×. Transcat, Inc. grew revenue faster over the last twelve months: 20.9% against −8.02%. Quad Graphics, Inc has the higher net margin (1.31% vs 0.99%) and the higher return on invested capital (11.6% vs 1.79%). Across the 22 metrics below, Quad Graphics, Inc leads on 15 and Transcat, Inc. on 7.

Valuation

Metric QUAD TRNS Specialty Business Services median
P/E 14.51 237.11 23.86
P/S 0.19 2.36 1.06
P/B 3.63 2.71 2.37
Price to free cash flow 5.51 32.35 16.54
EV/EBITDA 5.03 23.54 11.51
EV/Sales 0.36 2.66 1.51
Earnings yield 6.89% 0.42% 2.14%
Free cash flow yield 18.14% 3.09% 1.55%

Profitability

Metric QUAD TRNS Specialty Business Services median
Gross margin 21.64% 32.50% 35.31%
Operating margin 4.05% 3.34% 3.43%
Net margin 1.31% 0.99% 1.67%
Free cash flow margin 3.45% 7.28% 3.28%
Return on equity 29.48% 1.16% 0.58%
Return on assets 2.56% 0.78% 0.33%
Return on invested capital 11.61% 1.79% 0.65%

Growth

Metric QUAD TRNS Specialty Business Services median
Revenue growth (TTM) (8.02%) 20.91% 6.04%
EPS growth (last fiscal year) 150.47% (63.69%) —
Revenue growth, 5-year CAGR (3.75%) 13.87% 7.66%
Net income growth, 5-year CAGR 0.00% (7.15%) 0.00%

Health

Metric QUAD TRNS Specialty Business Services median
Debt to equity 3.21 0.36 0.21
Current ratio 0.87 2.49 1.62
Net debt to EBITDA 1.73 2.40 1.16

Dividend

Metric QUAD TRNS Specialty Business Services median
Dividend yield — — 1.61%
Payout ratio 0.00 0.00 0.00

Size

Metric QUAD TRNS Specialty Business Services median
Market cap 476.88m 806.16m 879.14m

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