Shoals Technologies Group, Inc. (SHLS) vs TOYO Co., Ltd. (TOYO)

Shoals Technologies Group, Inc. and TOYO Co., Ltd. are both Solar companies. Shoals Technologies Group, Inc. is the larger, with a market value of $1.3B against $188.0M — 6.6× the size. TOYO Co., Ltd. trades at the lower P/E: 3.8× against 39.7×. Shoals Technologies Group, Inc. has the higher net margin (5.41% vs 0.00%) and the higher return on invested capital (4.89% vs 0.00%). Across the 14 metrics below, TOYO Co., Ltd. leads on 10 and Shoals Technologies Group, Inc. on 4.

Valuation

Metric SHLS TOYO Solar median
P/E 39.69 3.85 10.93
P/S 2.13 n/m 0.54
P/B 2.03 0.81 1.44
Price to free cash flow n/m 2.13 9.91
EV/EBITDA 18.19 2.09 9.90
EV/Sales 2.45 n/m 0.74
Earnings yield 2.52% 26.00% 0.00%
Free cash flow yield (4.11%) 47.04% 0.00%

Profitability

Metric SHLS TOYO Solar median
Gross margin 31.92% — 31.92%
Operating margin 10.63% — (9.70%)
Net margin 5.41% 0.00% (8.48%)
Free cash flow margin (8.77%) 0.00% (2.95%)
Return on equity 5.34% 31.92% 5.34%
Return on assets 3.51% 15.99% (5.36%)
Return on invested capital 4.89% 0.00% (5.27%)

Growth

Metric SHLS TOYO Solar median
Revenue growth (TTM) 46.88% — 16.97%
EPS growth (last fiscal year) 42.86% (10.09%) —
Revenue growth, 5-year CAGR 22.05% — 14.00%
Net income growth, 5-year CAGR (0.11%) — 0.00%

Health

Metric SHLS TOYO Solar median
Debt to equity 0.32 0.28 0.09
Current ratio 2.25 1.12 1.33
Net debt to EBITDA 1.83 0.19 0.03

Dividend

Metric SHLS TOYO Solar median
Dividend yield — — —
Payout ratio 0.00 0.00 0.00

Size

Metric SHLS TOYO Solar median
Market cap 1.25b 187.97m 43.46m

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