Resolute Holdings Management, Inc. (RHLD) vs Transcat, Inc. (TRNS)

Resolute Holdings Management, Inc. and Transcat, Inc. are both Specialty Business Services companies. Resolute Holdings Management, Inc. is the larger, with a market value of $997.0M against $806.2M — 1.2× the size. Resolute Holdings Management, Inc. trades at the lower P/E: 22.8× against 237×. Resolute Holdings Management, Inc. grew revenue faster over the last twelve months: 159.5% against 20.9%. Resolute Holdings Management, Inc. has the higher net margin (4.21% vs 0.99%) and the lower return on invested capital (1.30% vs 1.79%). Across the 20 metrics below, Resolute Holdings Management, Inc. leads on 14 and Transcat, Inc. on 6.

Valuation

Metric RHLD TRNS Specialty Business Services median
P/E 22.76 237.11 23.86
P/S 0.91 2.36 1.06
P/B 0.33 2.71 2.37
Price to free cash flow 13.63 32.35 16.54
EV/EBITDA 12.99 23.54 11.51
EV/Sales 2.75 2.66 1.51
Earnings yield 4.39% 0.42% 2.14%
Free cash flow yield 7.34% 3.09% 1.55%

Profitability

Metric RHLD TRNS Specialty Business Services median
Gross margin 40.87% 32.50% 35.31%
Operating margin 9.51% 3.34% 3.43%
Net margin 4.21% 0.99% 1.67%
Free cash flow margin 6.66% 7.28% 3.28%
Return on equity 3.09% 1.16% 0.58%
Return on assets 1.48% 0.78% 0.33%
Return on invested capital 1.30% 1.79% 0.65%

Growth

Metric RHLD TRNS Specialty Business Services median
Revenue growth (TTM) 159.46% 20.91% 6.04%
EPS growth (last fiscal year) (105.34%) (63.69%) —
Revenue growth, 5-year CAGR — 13.87% 7.66%
Net income growth, 5-year CAGR — (7.15%) 0.00%

Health

Metric RHLD TRNS Specialty Business Services median
Debt to equity 0.71 0.36 0.21
Current ratio 1.35 2.49 1.62
Net debt to EBITDA (0.14) 2.40 1.16

Dividend

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

Size

Metric RHLD TRNS Specialty Business Services median
Market cap 997.00m 806.16m 879.14m

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