Aercap Holdings N.V. (AER) vs GATX Corporation (GATX)

Aercap Holdings N.V. and GATX Corporation are both Rental & Leasing Services companies. Aercap Holdings N.V. is the larger, with a market value of $25.7B against $6.5B — 3.9× the size. Aercap Holdings N.V. trades at the lower P/E: 8.4× against 17.4×. GATX Corporation grew revenue faster over the last twelve months: 29.7% against 8.68%. Aercap Holdings N.V. has the higher net margin (34.5% vs 17.4%) and the higher return on invested capital (3.46% vs 2.74%). Both pay a dividend; GATX Corporation yields more (1.38% vs 0.88%). Across the 22 metrics below, Aercap Holdings N.V. leads on 18 and GATX Corporation on 4.

Valuation

Metric AER GATX Rental & Leasing Services median
P/E 8.40 17.35 20.11
P/S 2.79 2.99 1.11
P/B 1.36 1.87 2.44
Price to free cash flow 3.82 n/m 11.04
EV/EBITDA 8.34 14.08 8.70
EV/Sales 7.27 8.26 2.87
Earnings yield 11.91% 5.76% 3.40%
Free cash flow yield 26.18% (67.15%) 0.63%

Profitability

Metric AER GATX Rental & Leasing Services median
Gross margin 100.00% 74.16% 48.46%
Operating margin 56.96% 29.92% 8.37%
Net margin 34.46% 17.41% 1.97%
Free cash flow margin 73.14% (200.95%) 2.91%
Return on equity 17.00% 12.31% 12.31%
Return on assets 4.34% 2.52% 0.88%
Return on invested capital 3.46% 2.74% 2.86%

Growth

Metric AER GATX Rental & Leasing Services median
Revenue growth (TTM) 8.68% 29.67% 4.47%
EPS growth (last fiscal year) 97.41% 17.22% 1.04%
Revenue growth, 5-year CAGR 13.64% 7.55% 11.45%
Net income growth, 5-year CAGR 0.00% 16.72% 0.00%

Health

Metric AER GATX Rental & Leasing Services median
Debt to equity 2.32 3.37 1.28
Current ratio 0.41 2.38 1.01
Net debt to EBITDA 4.74 7.65 4.19

Dividend

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

Size

Metric AER GATX Rental & Leasing Services median
Market cap 25.66b 6.51b 3.37b

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