MRCY vs HAYW

For growth investors, Mercury Systems, Inc.

(MRCY) is the stronger pick with 9. 2% revenue growth year-over-year, versus 6. 7% for Hayward Holdings, Inc. (HAYW). Hayward Holdings, Inc. (HAYW) offers the better valuation at 21. 7x trailing P/E (17. 2x forward), making it the more compelling value choice. Analysts rate Mercury Systems, Inc. (MRCY) a "Buy" — based on 19 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On forward P/E, Hayward Holdings, Inc.

is actually cheaper at 17. 2x.

Over the past 5 years, Mercury Systems, Inc.

(MRCY) delivered a total return of +37. 2%, compared to -37. 0% for Hayward Holdings, Inc. (HAYW). Over 10 years, the gap is even starker: MRCY returned +335. 7% versus HAYW's -13. 1%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Hayward Holdings, Inc.

(HAYW) is the lower-risk stock at 1. 14β versus Mercury Systems, Inc. 's 1. 76β — meaning MRCY is approximately 55% more volatile than HAYW relative to the S&P 500. On balance sheet safety, Hayward Holdings, Inc. (HAYW) carries a lower debt/equity ratio of 1% versus 44% for Mercury Systems, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Mercury Systems, Inc.

(MRCY) is pulling ahead at 9. 2% versus 6. 7% for Hayward Holdings, Inc. (HAYW). On earnings-per-share growth, the picture is similar: Mercury Systems, Inc. grew EPS 72. 7% year-over-year, compared to 25. 9% for Hayward Holdings, Inc.. Over a 3-year CAGR, MRCY leads at -2. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Hayward Holdings, Inc.

(HAYW) is the more profitable company, earning 13. 5% net margin versus -4. 2% for Mercury Systems, Inc. — meaning it keeps 13. 5% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: HAYW leads at 21. 1% versus -2. 2% for MRCY. At the gross margin level — before operating expenses — HAYW leads at 45. 6%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Hayward Holdings, Inc.

(HAYW) trades at 17. 2x forward P/E versus 91. 8x for Mercury Systems, Inc. — 74. 6x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for HAYW: 6. 7% to $15. 75.

None of the stocks in this comparison currently pay a material dividend.

All are effectively zero-yield and should be held for capital appreciation rather than income.

For long-horizon retirement investors, Hayward Holdings, Inc.

(HAYW) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 1. 14)). Mercury Systems, Inc. (MRCY) carries a higher beta of 1. 76 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (HAYW: -13. 1%, MRCY: +335. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Industrials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.