RELX PLC (RELX) vs UL Solutions Inc. (ULS)

RELX PLC and UL Solutions Inc. are both Specialty Business Services companies. RELX PLC is the larger, with a market value of $66.7B against $15.0B — 4.4× the size. RELX PLC trades at the lower P/E: 17.9× against 29.2×. RELX PLC grew revenue faster over the last twelve months: 10.3% against 6.61%. RELX PLC has the higher net margin (19.7% vs 16.1%) and the lower return on invested capital (0.00% vs 23.6%). Both pay a dividend; RELX PLC yields more (2.34% vs 0.77%). Across the 18 metrics below, RELX PLC leads on 9 and UL Solutions Inc. on 9.

Valuation

Metric RELX ULS Specialty Business Services median
P/E 17.87 29.21 24.35
P/S n/m 4.71 1.05
P/B n/m 9.14 2.27
Price to free cash flow n/m 33.96 16.71
EV/EBITDA 1.51 19.58 11.55
EV/Sales 0.55 4.68 1.53
Earnings yield 5.60% 3.42% 1.82%
Free cash flow yield 0.00% 2.94% 1.51%

Profitability

Metric RELX ULS Specialty Business Services median
Gross margin 60.78% 50.41% 35.31%
Operating margin 0.00% 17.86% 3.43%
Net margin 19.65% 16.05% 1.67%
Free cash flow margin 0.00% 13.86% 3.28%
Return on equity 0.00% 36.96% 0.00%
Return on assets 0.00% 16.72% 0.00%
Return on invested capital 0.00% 23.62% 0.65%

Growth

Metric RELX ULS Specialty Business Services median
Revenue growth (TTM) 10.29% 6.61% 6.30%
EPS growth (last fiscal year) 12.12% (1.23%) 6.56%
Revenue growth, 5-year CAGR 6.73% — 7.66%
Net income growth, 5-year CAGR 11.62% — 0.00%

Health

Metric RELX ULS Specialty Business Services median
Debt to equity 7.10 0.19 0.21
Current ratio 0.45 1.42 1.62
Net debt to EBITDA 1.89 0.28 1.16

Dividend

Metric RELX ULS Specialty Business Services median
Dividend yield 2.34% 0.77% 2.27%
Payout ratio — 0.23 0.35

Size

Metric RELX ULS Specialty Business Services median
Market cap 66.73b 15.02b 796.45m

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