Radware Ltd. (RDWR) vs Tuya Inc. Sponsored ADR (TUYA)

Radware Ltd. and Tuya Inc. Sponsored ADR are both Software Infrastructure companies. Radware Ltd. is the larger, with a market value of $1.3B against $950.2M — 1.3× the size. Tuya Inc. Sponsored ADR trades at the lower P/E: 15.4× against 75.7×. Radware Ltd. grew revenue faster over the last twelve months: 10.1% against 7.00%. Tuya Inc. Sponsored ADR has the higher net margin (20.2% vs 5.33%) and the higher return on invested capital (33.5% vs 5.22%). Across the 21 metrics below, Tuya Inc. Sponsored ADR leads on 17 and Radware Ltd. on 4.

Valuation

Metric RDWR TUYA Software Infrastructure median
P/E 75.72 15.36 28.02
P/S 3.88 3.05 3.07
P/B 3.43 1.01 3.36
Price to free cash flow n/m 20.37 17.12
EV/EBITDA 46.92 3.24 14.91
EV/Sales 3.09 0.19 3.03
Earnings yield 1.32% 6.51% 0.13%
Free cash flow yield (2.23%) 4.91% 1.15%

Profitability

Metric RDWR TUYA Software Infrastructure median
Gross margin 80.55% 47.24% 61.23%
Operating margin 2.91% 8.40% 0.00%
Net margin 5.33% 20.16% 0.00%
Free cash flow margin 10.22% 19.39% 1.67%
Return on equity 4.59% 6.74% 0.59%
Return on assets 2.58% 6.05% 0.00%
Return on invested capital 5.22% 33.49% 0.00%

Growth

Metric RDWR TUYA Software Infrastructure median
Revenue growth (TTM) 10.10% 7.00% 13.41%
EPS growth (last fiscal year) 221.43% 800.00% —
Revenue growth, 5-year CAGR 3.84% 12.34% 15.81%
Net income growth, 5-year CAGR 16.02% 0.00% 0.00%

Health

Metric RDWR TUYA Software Infrastructure median
Debt to equity 0.00 0.01 0.06
Current ratio 1.63 8.74 1.55
Net debt to EBITDA (11.14) (74.76) 0.08

Dividend

Metric RDWR TUYA Software Infrastructure median
Dividend yield — — 1.53%
Payout ratio 0.00 0.00 0.00

Size

Metric RDWR TUYA Software Infrastructure median
Market cap 1.25b 950.18m 835.96m

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