Aercap Holdings N.V. (AER) vs Avis Budget Group, Inc. (CAR)

Aercap Holdings N.V. and Avis Budget Group, Inc. are both Rental & Leasing Services companies. Aercap Holdings N.V. is the larger, with a market value of $25.7B against $4.3B — 6.0× the size. Avis Budget Group, Inc. has negative trailing earnings, so its P/E is not meaningful; Aercap Holdings N.V. trades at 8.4×. Aercap Holdings N.V. grew revenue faster over the last twelve months: 8.68% against −0.60%. Aercap Holdings N.V. has the higher net margin (34.5% vs −6.98%) and the higher return on invested capital (3.46% vs 0.00%). Across the 19 metrics below, Aercap Holdings N.V. leads on 10 and Avis Budget Group, Inc. on 9.

Valuation

Metric AER CAR Rental & Leasing Services median
P/E 8.40 n/m 20.11
P/S 2.79 0.36 1.11
P/B 1.36 n/m 2.44
Price to free cash flow 3.82 1.73 11.04
EV/EBITDA 8.34 5.92 8.70
EV/Sales 7.27 2.54 2.87
Earnings yield 11.91% (18.84%) 3.40%
Free cash flow yield 26.18% 57.77% 0.63%

Profitability

Metric AER CAR Rental & Leasing Services median
Gross margin 100.00% 48.11% 48.46%
Operating margin 56.96% 7.10% 8.37%
Net margin 34.46% (6.98%) 1.97%
Free cash flow margin 73.14% 21.06% 2.91%
Return on equity 17.00% 29.16% 12.31%
Return on assets 4.34% (2.54%) 0.88%
Return on invested capital 3.46% 0.00% 2.86%

Growth

Metric AER CAR Rental & Leasing Services median
Revenue growth (TTM) 8.68% (0.60%) 4.47%
EPS growth (last fiscal year) 97.41% 50.71% 1.04%
Revenue growth, 5-year CAGR 13.64% 16.62% 11.45%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric AER CAR Rental & Leasing Services median
Debt to equity 2.32 (0.12) 1.28
Current ratio 0.41 0.70 1.01
Net debt to EBITDA 4.74 5.37 4.19

Dividend

Metric AER CAR Rental & Leasing Services median
Dividend yield 0.88% — 1.38%
Payout ratio 0.08 — 0.24

Size

Metric AER CAR Rental & Leasing Services median
Market cap 25.66b 4.25b 3.37b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack