Southland Holdings, Inc. (SLND) vs INNOVATE Corp. (VATE)

Southland Holdings, Inc. and INNOVATE Corp. are both Engineering & Construction companies. INNOVATE Corp. is the larger, with a market value of $102.6M against $35.2M — 2.9× the size. INNOVATE Corp. grew revenue faster over the last twelve months: 52.4% against −32.7%. INNOVATE Corp. has the higher net margin (−1.58% vs −67.1%) and the higher return on invested capital (13.1% vs −81.2%). Across the 16 metrics below, INNOVATE Corp. leads on 12 and Southland Holdings, Inc. on 4.

Valuation

Metric SLND VATE Engineering & Construction median
P/E n/m n/m 28.59
P/S 0.06 0.07 1.15
P/B n/m n/m 3.96
Price to free cash flow n/m 0.98 25.24
EV/EBITDA n/m 5.21 14.87
EV/Sales 0.89 0.42 1.42
Earnings yield (1,130.30%) (23.68%) 2.47%
Free cash flow yield (410.43%) 102.29% 1.91%

Profitability

Metric SLND VATE Engineering & Construction median
Gross margin (44.06%) 15.93% 18.76%
Operating margin (54.55%) 4.28% 6.26%
Net margin (67.05%) (1.58%) 2.23%
Free cash flow margin (24.37%) 7.01% 1.83%
Return on equity 977.56% 11.03% 7.90%
Return on assets (41.05%) (2.53%) 0.87%
Return on invested capital (81.20%) 13.11% 2.52%

Growth

Metric SLND VATE Engineering & Construction median
Revenue growth (TTM) (32.66%) 52.38% 16.67%
EPS growth (last fiscal year) (158.90%) (57.14%) —
Revenue growth, 5-year CAGR — 11.69% 11.76%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric SLND VATE Engineering & Construction median
Debt to equity (2.20) (2.81) 0.40
Current ratio 1.27 0.44 1.39
Net debt to EBITDA (1.21) 6.64 0.38

Dividend

Metric SLND VATE Engineering & Construction median
Dividend yield — — 0.65%
Payout ratio — 0.00 0.00

Size

Metric SLND VATE Engineering & Construction median
Market cap 35.18m 102.59m 1.31b

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