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ETN vs. MSTR: A Head-to-Head Stock Comparison

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

Company Profile

SymbolETNMSTR
Company NameEaton Corporation plcStrategy Inc
CountryIrelandUnited States
GICS SectorIndustrialsInformation Technology
GICS IndustryElectrical EquipmentSoftware
Market Capitalization146.65 billion USD94.98 billion USD
ExchangeNYSENasdaqGS
Listing DateJune 1, 1972June 11, 1998
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of ETN and MSTR 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.

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

Historical Performance at a Glance

SymbolETNMSTR
5-Day Price Return-0.02%-6.11%
13-Week Price Return4.70%-20.37%
26-Week Price Return44.41%17.19%
52-Week Price Return12.57%77.76%
Month-to-Date Return0.65%2.67%
Year-to-Date Return13.51%14.22%
10-Day Avg. Volume1.80M13.61M
3-Month Avg. Volume2.25M11.51M
3-Month Volatility26.96%54.13%
Beta1.173.43

Profitability

Return on Equity (TTM)

ETN

21.03%

Electrical Equipment Industry

Max
35.67%
Q3
23.64%
Median
11.74%
Q1
6.08%
Min
-4.39%

ETN’s Return on Equity of 21.03% is on par with the norm for the Electrical Equipment industry, indicating its profitability relative to shareholder equity is typical for the sector.

MSTR

18.10%

Software Industry

Max
66.28%
Q3
21.28%
Median
9.33%
Q1
-8.77%
Min
-48.16%

MSTR’s Return on Equity of 18.10% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.

ETN vs. MSTR: A comparison of their Return on Equity (TTM) against their respective Electrical Equipment and Software industry benchmarks.

Net Profit Margin (TTM)

ETN

15.56%

Electrical Equipment Industry

Max
20.60%
Q3
10.26%
Median
5.83%
Q1
2.92%
Min
-0.75%

A Net Profit Margin of 15.56% places ETN in the upper quartile for the Electrical Equipment industry, signifying strong profitability and more effective cost management than most of its peers.

MSTR

1,036.61%

Software Industry

Max
51.92%
Q3
19.23%
Median
6.98%
Q1
-7.14%
Min
-41.00%

MSTR’s Net Profit Margin of 1,036.61% is exceptionally high, placing it well beyond the typical range for the Software industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

ETN vs. MSTR: A comparison of their Net Profit Margin (TTM) against their respective Electrical Equipment and Software industry benchmarks.

Operating Profit Margin (TTM)

ETN

19.27%

Electrical Equipment Industry

Max
26.24%
Q3
14.53%
Median
7.97%
Q1
3.45%
Min
-5.64%

An Operating Profit Margin of 19.27% places ETN in the upper quartile for the Electrical Equipment industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

MSTR

1,435.93%

Software Industry

Max
60.40%
Q3
21.25%
Median
9.90%
Q1
-4.97%
Min
-43.50%

MSTR’s Operating Profit Margin of 1,435.93% is exceptionally high, placing it well above the typical range for the Software industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

ETN vs. MSTR: A comparison of their Operating Profit Margin (TTM) against their respective Electrical Equipment and Software industry benchmarks.

Profitability at a Glance

SymbolETNMSTR
Return on Equity (TTM)21.03%18.10%
Return on Assets (TTM)9.99%13.42%
Net Profit Margin (TTM)15.56%1,036.61%
Operating Profit Margin (TTM)19.27%1,435.93%
Gross Profit Margin (TTM)38.45%70.10%

Financial Strength

Current Ratio (MRQ)

ETN

1.24

Electrical Equipment Industry

Max
3.31
Q3
2.09
Median
1.48
Q1
1.09
Min
0.85

ETN’s Current Ratio of 1.24 aligns with the median group of the Electrical Equipment industry, indicating that its short-term liquidity is in line with its sector peers.

MSTR

0.68

Software Industry

Max
4.29
Q3
2.37
Median
1.40
Q1
1.03
Min
0.25

MSTR’s Current Ratio of 0.68 falls into the lower quartile for the Software industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ETN vs. MSTR: A comparison of their Current Ratio (MRQ) against their respective Electrical Equipment and Software industry benchmarks.

Debt-to-Equity Ratio (MRQ)

ETN

0.59

Electrical Equipment Industry

Max
1.57
Q3
0.96
Median
0.57
Q1
0.30
Min
0.00

ETN’s Debt-to-Equity Ratio of 0.59 is typical for the Electrical Equipment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

MSTR

0.16

Software Industry

Max
2.16
Q3
0.86
Median
0.31
Q1
0.00
Min
0.00

MSTR’s Debt-to-Equity Ratio of 0.16 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

ETN vs. MSTR: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Electrical Equipment and Software industry benchmarks.

Interest Coverage Ratio (TTM)

ETN

36.12

Electrical Equipment Industry

Max
44.15
Q3
19.29
Median
9.38
Q1
0.98
Min
-19.47

ETN’s Interest Coverage Ratio of 36.12 is in the upper quartile for the Electrical Equipment industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

MSTR

-30.23

Software Industry

Max
89.65
Q3
32.64
Median
1.00
Q1
-9.84
Min
-71.23

MSTR has a negative Interest Coverage Ratio of -30.23. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

ETN vs. MSTR: A comparison of their Interest Coverage Ratio (TTM) against their respective Electrical Equipment and Software industry benchmarks.

Financial Strength at a Glance

SymbolETNMSTR
Current Ratio (MRQ)1.240.68
Quick Ratio (MRQ)0.630.55
Debt-to-Equity Ratio (MRQ)0.590.16
Interest Coverage Ratio (TTM)36.12-30.23

Growth

Revenue Growth

ETN vs. MSTR: 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

ETN vs. MSTR: 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)

ETN

1.06%

Electrical Equipment Industry

Max
3.04%
Q3
1.58%
Median
1.00%
Q1
0.00%
Min
0.00%

ETN’s Dividend Yield of 1.06% is consistent with its peers in the Electrical Equipment industry, providing a dividend return that is standard for its sector.

MSTR

0.06%

Software Industry

Max
0.22%
Q3
0.11%
Median
0.00%
Q1
0.00%
Min
0.00%

MSTR’s Dividend Yield of 0.06% is consistent with its peers in the Software industry, providing a dividend return that is standard for its sector.

ETN vs. MSTR: A comparison of their Dividend Yield (TTM) against their respective Electrical Equipment and Software industry benchmarks.

Dividend Payout Ratio (TTM)

ETN

39.77%

Electrical Equipment Industry

Max
165.68%
Q3
71.84%
Median
38.15%
Q1
0.00%
Min
0.00%

ETN’s Dividend Payout Ratio of 39.77% is within the typical range for the Electrical Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

MSTR

0.00%

Software Industry

Max
3.29%
Q3
2.41%
Median
0.00%
Q1
0.00%
Min
0.00%

MSTR 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.

ETN vs. MSTR: A comparison of their Dividend Payout Ratio (TTM) against their respective Electrical Equipment and Software industry benchmarks.

Dividend at a Glance

SymbolETNMSTR
Dividend Yield (TTM)1.06%0.06%
Dividend Payout Ratio (TTM)39.77%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

ETN

37.38

Electrical Equipment Industry

Max
65.02
Q3
38.99
Median
27.41
Q1
19.88
Min
8.37

ETN’s P/E Ratio of 37.38 is within the middle range for the Electrical Equipment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

MSTR

19.48

Software Industry

Max
145.74
Q3
94.88
Median
45.35
Q1
26.66
Min
8.80

In the lower quartile for the Software industry, MSTR’s P/E Ratio of 19.48 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

ETN vs. MSTR: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Electrical Equipment and Software industry benchmarks.

Price-to-Sales Ratio (TTM)

ETN

5.80

Electrical Equipment Industry

Max
7.01
Q3
4.03
Median
1.79
Q1
1.10
Min
0.47

ETN’s P/S Ratio of 5.80 is in the upper echelon for the Electrical Equipment 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.

MSTR

201.92

Software Industry

Max
25.67
Q3
13.68
Median
8.28
Q1
4.95
Min
0.90

With a P/S Ratio of 201.92, MSTR trades at a valuation that eclipses even the highest in the Software industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

ETN vs. MSTR: A comparison of their Price-to-Sales Ratio (TTM) against their respective Electrical Equipment and Software industry benchmarks.

Price-to-Book Ratio (MRQ)

ETN

7.51

Electrical Equipment Industry

Max
10.97
Q3
5.57
Median
3.50
Q1
1.66
Min
0.64

ETN’s P/B Ratio of 7.51 is in the upper tier for the Electrical Equipment 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.

MSTR

2.25

Software Industry

Max
30.67
Q3
14.92
Median
8.52
Q1
3.89
Min
0.38

MSTR’s P/B Ratio of 2.25 is in the lower quartile for the Software industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

ETN vs. MSTR: A comparison of their Price-to-Book Ratio (MRQ) against their respective Electrical Equipment and Software industry benchmarks.

Valuation at a Glance

SymbolETNMSTR
Price-to-Earnings Ratio (TTM)37.3819.48
Price-to-Sales Ratio (TTM)5.80201.92
Price-to-Book Ratio (MRQ)7.512.25
Price-to-Free Cash Flow Ratio (TTM)44.861,591.77