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AVY vs. VRT: A Head-to-Head Stock Comparison

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Here’s a clear look at AVY and VRT, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

VRT’s market capitalization of 48.72 billion USD is significantly greater than AVY’s 14.32 billion USD, highlighting its more substantial market valuation.

VRT carries a higher beta at 1.73, indicating it’s more sensitive to market moves, while AVY (beta: 0.89) exhibits greater stability.

SymbolAVYVRT
Company NameAvery Dennison CorporationVertiv Holdings Co
CountryUSUS
SectorIndustrialsIndustrials
IndustryBusiness Equipment & SuppliesElectrical Equipment & Parts
CEODeon M. StanderGiordano Albertazzi
Price183.24 USD127.84 USD
Market Cap14.32 billion USD48.72 billion USD
Beta0.891.73
ExchangeNYSENYSE
IPO DateApril 4, 1977August 2, 2018
ADRNoNo

Historical Performance

This chart compares the performance of AVY and VRT by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

AVY vs. VRT: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

AVY

30.48%

Business Equipment & Supplies Industry

Max
16.56%
Q3
16.56%
Median
12.99%
Q1
11.92%
Min
11.92%

AVY’s Return on Equity of 30.48% is exceptionally high, placing it well beyond the typical range for the Business Equipment & Supplies industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

VRT

31.53%

Electrical Equipment & Parts Industry

Max
40.77%
Q3
24.97%
Median
9.16%
Q1
-21.24%
Min
-83.49%

In the upper quartile for the Electrical Equipment & Parts industry, VRT’s Return on Equity of 31.53% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

AVY vs. VRT: A comparison of their ROE against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Return on Invested Capital

AVY

13.21%

Business Equipment & Supplies Industry

Max
13.21%
Q3
11.67%
Median
10.45%
Q1
8.54%
Min
6.64%

In the upper quartile for the Business Equipment & Supplies industry, AVY’s Return on Invested Capital of 13.21% signifies a highly effective use of its capital to generate profits when compared to its peers.

VRT

14.66%

Electrical Equipment & Parts Industry

Max
28.65%
Q3
9.59%
Median
4.18%
Q1
-26.21%
Min
-64.66%

In the upper quartile for the Electrical Equipment & Parts industry, VRT’s Return on Invested Capital of 14.66% signifies a highly effective use of its capital to generate profits when compared to its peers.

AVY vs. VRT: A comparison of their ROIC against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Net Profit Margin

AVY

7.98%

Business Equipment & Supplies Industry

Max
13.49%
Q3
7.98%
Median
5.35%
Q1
3.84%
Min
3.84%

AVY’s Net Profit Margin of 7.98% is aligned with the median group of its peers in the Business Equipment & Supplies industry. This indicates its ability to convert revenue into profit is typical for the sector.

VRT

7.92%

Electrical Equipment & Parts Industry

Max
18.22%
Q3
10.17%
Median
3.30%
Q1
-100.73%
Min
-135.80%

VRT’s Net Profit Margin of 7.92% is aligned with the median group of its peers in the Electrical Equipment & Parts industry. This indicates its ability to convert revenue into profit is typical for the sector.

AVY vs. VRT: A comparison of their Net Profit Margin against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Operating Profit Margin

AVY

12.83%

Business Equipment & Supplies Industry

Max
17.67%
Q3
12.83%
Median
8.01%
Q1
7.07%
Min
5.16%

AVY’s Operating Profit Margin of 12.83% is around the midpoint for the Business Equipment & Supplies industry, indicating that its efficiency in managing core business operations is typical for the sector.

VRT

17.31%

Electrical Equipment & Parts Industry

Max
19.88%
Q3
14.79%
Median
7.23%
Q1
-48.45%
Min
-140.29%

An Operating Profit Margin of 17.31% places VRT in the upper quartile for the Electrical Equipment & Parts industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

AVY vs. VRT: A comparison of their Operating Margin against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Profitability at a Glance

SymbolAVYVRT
Return on Equity (TTM)30.48%31.53%
Return on Assets (TTM)8.36%7.05%
Return on Invested Capital (TTM)13.21%14.66%
Net Profit Margin (TTM)7.98%7.92%
Operating Profit Margin (TTM)12.83%17.31%
Gross Profit Margin (TTM)28.79%36.32%

Financial Strength

Current Ratio

AVY

1.03

Business Equipment & Supplies Industry

Max
1.76
Q3
1.76
Median
1.65
Q1
1.19
Min
1.03

AVY’s Current Ratio of 1.03 falls into the lower quartile for the Business Equipment & Supplies industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

VRT

1.72

Electrical Equipment & Parts Industry

Max
4.74
Q3
3.44
Median
2.63
Q1
1.95
Min
1.17

VRT’s Current Ratio of 1.72 falls into the lower quartile for the Electrical Equipment & Parts industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

AVY vs. VRT: A comparison of their Current Ratio against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Debt-to-Equity Ratio

AVY

1.59

Business Equipment & Supplies Industry

Max
0.69
Q3
0.69
Median
0.61
Q1
0.21
Min
0.01

With a Debt-to-Equity Ratio of 1.59, AVY operates with exceptionally high leverage compared to the Business Equipment & Supplies industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

VRT

1.18

Electrical Equipment & Parts Industry

Max
0.82
Q3
0.68
Median
0.61
Q1
0.47
Min
0.33

With a Debt-to-Equity Ratio of 1.18, VRT operates with exceptionally high leverage compared to the Electrical Equipment & Parts industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

AVY vs. VRT: A comparison of their D/E Ratio against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Interest Coverage Ratio

AVY

9.41

Business Equipment & Supplies Industry

Max
12.58
Q3
10.20
Median
8.76
Q1
6.65
Min
2.29

AVY’s Interest Coverage Ratio of 9.41 is positioned comfortably within the norm for the Business Equipment & Supplies industry, indicating a standard and healthy capacity to cover its interest payments.

VRT

10.65

Electrical Equipment & Parts Industry

Max
21.00
Q3
9.09
Median
3.12
Q1
-7.14
Min
-31.43

VRT’s Interest Coverage Ratio of 10.65 is in the upper quartile for the Electrical Equipment & Parts industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

AVY vs. VRT: A comparison of their Interest Coverage against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Financial Strength at a Glance

SymbolAVYVRT
Current Ratio (TTM)1.031.72
Quick Ratio (TTM)0.681.28
Debt-to-Equity Ratio (TTM)1.591.18
Debt-to-Asset Ratio (TTM)0.410.33
Net Debt-to-EBITDA Ratio (TTM)2.321.15
Interest Coverage Ratio (TTM)9.4110.65

Growth

The following charts compare key year-over-year (YoY) growth metrics for AVY and VRT. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AVY vs. VRT: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AVY vs. VRT: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AVY vs. VRT: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AVY

1.95%

Business Equipment & Supplies Industry

Max
19.11%
Q3
8.38%
Median
3.82%
Q1
2.68%
Min
2.04%

AVY’s Dividend Yield of 1.95% is below the typical range for the Business Equipment & Supplies industry. This indicates that shareholder returns are likely driven more by potential capital appreciation than by dividend income.

VRT

0.11%

Electrical Equipment & Parts Industry

Max
1.81%
Q3
0.50%
Median
0.00%
Q1
0.00%
Min
0.00%

VRT’s Dividend Yield of 0.11% is consistent with its peers in the Electrical Equipment & Parts industry, providing a dividend return that is standard for its sector.

AVY vs. VRT: A comparison of their Dividend Yield against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Dividend Payout Ratio

AVY

40.30%

Business Equipment & Supplies Industry

Max
233.86%
Q3
93.40%
Median
43.44%
Q1
39.85%
Min
38.49%

AVY’s Dividend Payout Ratio of 40.30% is within the typical range for the Business Equipment & Supplies industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

VRT

7.07%

Electrical Equipment & Parts Industry

Max
162.68%
Q3
20.84%
Median
4.65%
Q1
0.00%
Min
0.00%

VRT’s Dividend Payout Ratio of 7.07% is within the typical range for the Electrical Equipment & Parts industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

AVY vs. VRT: A comparison of their Payout Ratio against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Dividend at a Glance

SymbolAVYVRT
Dividend Yield (TTM)1.95%0.11%
Dividend Payout Ratio (TTM)40.30%7.07%

Valuation

Price-to-Earnings Ratio

AVY

20.71

Business Equipment & Supplies Industry

Max
19.85
Q3
17.85
Median
14.65
Q1
11.60
Min
10.05

At 20.71, AVY’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Business Equipment & Supplies industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

VRT

73.08

Electrical Equipment & Parts Industry

Max
27.52
Q3
27.52
Median
24.22
Q1
20.08
Min
9.48

At 73.08, VRT’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Electrical Equipment & Parts industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

AVY vs. VRT: A comparison of their P/E Ratio against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Forward P/E to Growth Ratio

AVY

2.17

Business Equipment & Supplies Industry

Max
2.08
Q3
1.58
Median
1.08
Q1
0.82
Min
0.55

AVY’s Forward PEG Ratio of 2.17 is exceptionally high for the Business Equipment & Supplies industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.

VRT

4.20

Electrical Equipment & Parts Industry

Max
5.30
Q3
4.04
Median
2.62
Q1
2.03
Min
0.01

The Forward PEG Ratio is often not a primary valuation metric in the Electrical Equipment & Parts industry.

AVY vs. VRT: A comparison of their Forward PEG Ratio against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Price-to-Sales Ratio

AVY

1.64

Business Equipment & Supplies Industry

Max
1.62
Q3
1.57
Median
0.91
Q1
0.37
Min
0.20

With a P/S Ratio of 1.64, AVY trades at a valuation that eclipses even the highest in the Business Equipment & Supplies industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

VRT

5.79

Electrical Equipment & Parts Industry

Max
5.76
Q3
5.66
Median
3.18
Q1
1.88
Min
0.31

With a P/S Ratio of 5.79, VRT trades at a valuation that eclipses even the highest in the Electrical Equipment & Parts industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

AVY vs. VRT: A comparison of their P/S Ratio against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Price-to-Book Ratio

AVY

6.67

Business Equipment & Supplies Industry

Max
2.90
Q3
2.90
Median
1.32
Q1
1.26
Min
0.55

At 6.67, AVY’s P/B Ratio is at an extreme premium to the Business Equipment & Supplies industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

VRT

18.26

Electrical Equipment & Parts Industry

Max
10.91
Q3
6.77
Median
3.73
Q1
1.80
Min
0.59

At 18.26, VRT’s P/B Ratio is at an extreme premium to the Electrical Equipment & Parts industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

AVY vs. VRT: A comparison of their P/B Ratio against their respective Business Equipment & Supplies and Electrical Equipment & Parts industry benchmarks.

Valuation at a Glance

SymbolAVYVRT
Price-to-Earnings Ratio (P/E, TTM)20.7173.08
Forward PEG Ratio (TTM)2.174.20
Price-to-Sales Ratio (P/S, TTM)1.645.79
Price-to-Book Ratio (P/B, TTM)6.6718.26
Price-to-Free Cash Flow Ratio (P/FCF, TTM)24.2237.37
EV-to-EBITDA (TTM)12.4934.51
EV-to-Sales (TTM)2.015.99