Seek Returns logo

DRS vs. EME: A Head-to-Head Stock Comparison

Updated on

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

Company Profile

SymbolDRSEME
Company NameLeonardo DRS, Inc.EMCOR Group, Inc.
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryAerospace & DefenseConstruction & Engineering
Market Capitalization11.86 billion USD29.32 billion USD
ExchangeNasdaqGSNYSE
Listing DateJune 24, 1985January 10, 1995
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of DRS and EME 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.

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

Historical Performance at a Glance

SymbolDRSEME
5-Day Price Return5.27%3.67%
13-Week Price Return-1.13%21.43%
26-Week Price Return33.19%65.59%
52-Week Price Return57.97%52.09%
Month-to-Date Return-1.81%4.76%
Year-to-Date Return37.98%43.10%
10-Day Avg. Volume1.02M1.49M
3-Month Avg. Volume1.23M0.53M
3-Month Volatility33.85%28.64%
Beta0.511.27

Profitability

Return on Equity (TTM)

DRS

9.80%

Aerospace & Defense Industry

Max
37.11%
Q3
20.14%
Median
11.72%
Q1
6.30%
Min
-6.24%

DRS’s Return on Equity of 9.80% is on par with the norm for the Aerospace & Defense industry, indicating its profitability relative to shareholder equity is typical for the sector.

EME

37.80%

Construction & Engineering Industry

Max
26.79%
Q3
16.47%
Median
10.66%
Q1
8.46%
Min
-1.86%

EME’s Return on Equity of 37.80% is exceptionally high, placing it well beyond the typical range for the Construction & Engineering industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

DRS vs. EME: A comparison of their Return on Equity (TTM) against their respective Aerospace & Defense and Construction & Engineering industry benchmarks.

Net Profit Margin (TTM)

DRS

7.31%

Aerospace & Defense Industry

Max
13.66%
Q3
8.61%
Median
6.59%
Q1
4.92%
Min
1.01%

DRS’s Net Profit Margin of 7.31% is aligned with the median group of its peers in the Aerospace & Defense industry. This indicates its ability to convert revenue into profit is typical for the sector.

EME

7.07%

Construction & Engineering Industry

Max
11.67%
Q3
6.13%
Median
3.82%
Q1
2.31%
Min
-2.77%

A Net Profit Margin of 7.07% places EME in the upper quartile for the Construction & Engineering industry, signifying strong profitability and more effective cost management than most of its peers.

DRS vs. EME: A comparison of their Net Profit Margin (TTM) against their respective Aerospace & Defense and Construction & Engineering industry benchmarks.

Operating Profit Margin (TTM)

DRS

9.47%

Aerospace & Defense Industry

Max
22.35%
Q3
12.83%
Median
9.29%
Q1
6.38%
Min
-2.15%

DRS’s Operating Profit Margin of 9.47% is around the midpoint for the Aerospace & Defense industry, indicating that its efficiency in managing core business operations is typical for the sector.

EME

9.50%

Construction & Engineering Industry

Max
17.78%
Q3
9.61%
Median
6.19%
Q1
3.73%
Min
-1.78%

EME’s Operating Profit Margin of 9.50% is around the midpoint for the Construction & Engineering industry, indicating that its efficiency in managing core business operations is typical for the sector.

DRS vs. EME: A comparison of their Operating Profit Margin (TTM) against their respective Aerospace & Defense and Construction & Engineering industry benchmarks.

Profitability at a Glance

SymbolDRSEME
Return on Equity (TTM)9.80%37.80%
Return on Assets (TTM)6.17%14.03%
Net Profit Margin (TTM)7.31%7.07%
Operating Profit Margin (TTM)9.47%9.50%
Gross Profit Margin (TTM)23.15%19.49%

Financial Strength

Current Ratio (MRQ)

DRS

2.11

Aerospace & Defense Industry

Max
3.35
Q3
2.03
Median
1.24
Q1
1.04
Min
0.77

DRS’s Current Ratio of 2.11 is in the upper quartile for the Aerospace & Defense industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

EME

1.18

Construction & Engineering Industry

Max
2.17
Q3
1.50
Median
1.23
Q1
1.00
Min
0.65

EME’s Current Ratio of 1.18 aligns with the median group of the Construction & Engineering industry, indicating that its short-term liquidity is in line with its sector peers.

DRS vs. EME: A comparison of their Current Ratio (MRQ) against their respective Aerospace & Defense and Construction & Engineering industry benchmarks.

Debt-to-Equity Ratio (MRQ)

DRS

0.14

Aerospace & Defense Industry

Max
1.72
Q3
0.96
Median
0.63
Q1
0.37
Min
0.03

Falling into the lower quartile for the Aerospace & Defense industry, DRS’s Debt-to-Equity Ratio of 0.14 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

EME

0.08

Construction & Engineering Industry

Max
2.37
Q3
1.24
Median
0.62
Q1
0.31
Min
0.00

Falling into the lower quartile for the Construction & Engineering industry, EME’s Debt-to-Equity Ratio of 0.08 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

DRS vs. EME: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Aerospace & Defense and Construction & Engineering industry benchmarks.

Interest Coverage Ratio (TTM)

DRS

13.57

Aerospace & Defense Industry

Max
36.57
Q3
19.08
Median
7.25
Q1
2.65
Min
-7.63

DRS’s Interest Coverage Ratio of 13.57 is positioned comfortably within the norm for the Aerospace & Defense industry, indicating a standard and healthy capacity to cover its interest payments.

EME

490.27

Construction & Engineering Industry

Max
36.37
Q3
17.88
Median
8.20
Q1
4.98
Min
-6.49

With an Interest Coverage Ratio of 490.27, EME demonstrates a superior capacity to service its debt, placing it well above the typical range for the Construction & Engineering industry. This stems from either robust earnings or a conservative debt load.

DRS vs. EME: A comparison of their Interest Coverage Ratio (TTM) against their respective Aerospace & Defense and Construction & Engineering industry benchmarks.

Financial Strength at a Glance

SymbolDRSEME
Current Ratio (MRQ)2.111.18
Quick Ratio (MRQ)1.671.13
Debt-to-Equity Ratio (MRQ)0.140.08
Interest Coverage Ratio (TTM)13.57490.27

Growth

Revenue Growth

DRS vs. EME: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

DRS vs. EME: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

DRS

0.40%

Aerospace & Defense Industry

Max
2.72%
Q3
1.45%
Median
0.48%
Q1
0.08%
Min
0.00%

DRS’s Dividend Yield of 0.40% is consistent with its peers in the Aerospace & Defense industry, providing a dividend return that is standard for its sector.

EME

0.16%

Construction & Engineering Industry

Max
5.80%
Q3
3.33%
Median
2.22%
Q1
0.21%
Min
0.00%

EME’s Dividend Yield of 0.16% is in the lower quartile for the Construction & Engineering industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

DRS vs. EME: A comparison of their Dividend Yield (TTM) against their respective Aerospace & Defense and Construction & Engineering industry benchmarks.

Dividend Payout Ratio (TTM)

DRS

0.00%

Aerospace & Defense Industry

Max
110.40%
Q3
50.43%
Median
17.11%
Q1
0.46%
Min
0.00%

DRS has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

EME

4.14%

Construction & Engineering Industry

Max
139.17%
Q3
74.39%
Median
51.48%
Q1
15.67%
Min
0.00%

EME’s Dividend Payout Ratio of 4.14% is in the lower quartile for the Construction & Engineering industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

DRS vs. EME: A comparison of their Dividend Payout Ratio (TTM) against their respective Aerospace & Defense and Construction & Engineering industry benchmarks.

Dividend at a Glance

SymbolDRSEME
Dividend Yield (TTM)0.40%0.16%
Dividend Payout Ratio (TTM)0.00%4.14%

Valuation

Price-to-Earnings Ratio (TTM)

DRS

47.46

Aerospace & Defense Industry

Max
67.20
Q3
55.74
Median
33.28
Q1
27.49
Min
15.02

DRS’s P/E Ratio of 47.46 is within the middle range for the Aerospace & Defense industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

EME

26.49

Construction & Engineering Industry

Max
41.00
Q3
26.91
Median
16.02
Q1
13.49
Min
1.65

EME’s P/E Ratio of 26.49 is within the middle range for the Construction & Engineering industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

DRS vs. EME: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Aerospace & Defense and Construction & Engineering industry benchmarks.

Price-to-Sales Ratio (TTM)

DRS

3.47

Aerospace & Defense Industry

Max
9.06
Q3
4.87
Median
2.47
Q1
1.61
Min
0.33

DRS’s P/S Ratio of 3.47 aligns with the market consensus for the Aerospace & Defense industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

EME

1.87

Construction & Engineering Industry

Max
2.93
Q3
1.65
Median
0.71
Q1
0.45
Min
0.11

EME’s P/S Ratio of 1.87 is in the upper echelon for the Construction & Engineering industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

DRS vs. EME: A comparison of their Price-to-Sales Ratio (TTM) against their respective Aerospace & Defense and Construction & Engineering industry benchmarks.

Price-to-Book Ratio (MRQ)

DRS

4.76

Aerospace & Defense Industry

Max
14.90
Q3
8.93
Median
4.70
Q1
3.03
Min
0.83

DRS’s P/B Ratio of 4.76 is within the conventional range for the Aerospace & Defense industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

EME

7.85

Construction & Engineering Industry

Max
7.96
Q3
4.06
Median
1.98
Q1
1.23
Min
0.24

EME’s P/B Ratio of 7.85 is in the upper tier for the Construction & Engineering industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

DRS vs. EME: A comparison of their Price-to-Book Ratio (MRQ) against their respective Aerospace & Defense and Construction & Engineering industry benchmarks.

Valuation at a Glance

SymbolDRSEME
Price-to-Earnings Ratio (TTM)47.4626.49
Price-to-Sales Ratio (TTM)3.471.87
Price-to-Book Ratio (MRQ)4.767.85
Price-to-Free Cash Flow Ratio (TTM)25.7324.23