Aercap Holdings N.V. (AER) vs Sunbelt Rentals Holdings, Inc. (SUNB)

Aercap Holdings N.V. and Sunbelt Rentals Holdings, Inc. are both Rental & Leasing Services companies. Sunbelt Rentals Holdings, Inc. is the larger, with a market value of $31.2B against $25.7B — 1.2× the size. Aercap Holdings N.V. trades at the lower P/E: 8.4× against 22.6×. Aercap Holdings N.V. has the higher net margin (34.5% vs 12.8%) and the lower return on invested capital (3.46% vs 9.04%). Both pay a dividend; Sunbelt Rentals Holdings, Inc. yields more (1.37% vs 0.88%). Across the 20 metrics below, Aercap Holdings N.V. leads on 13 and Sunbelt Rentals Holdings, Inc. on 7.

Valuation

Metric AER SUNB Rental & Leasing Services median
P/E 8.40 22.62 20.11
P/S 2.79 2.82 1.11
P/B 1.36 4.21 2.44
Price to free cash flow 3.82 11.04 11.04
EV/EBITDA 8.34 11.50 8.70
EV/Sales 7.27 3.59 2.87
Earnings yield 11.91% 4.42% 3.40%
Free cash flow yield 26.18% 9.06% 0.63%

Profitability

Metric AER SUNB Rental & Leasing Services median
Gross margin 100.00% 39.08% 48.46%
Operating margin 56.96% 20.78% 8.37%
Net margin 34.46% 12.82% 1.97%
Free cash flow margin 73.14% 25.55% 2.91%
Return on equity 17.00% 0.00% 12.31%
Return on assets 4.34% 12.08% 0.88%
Return on invested capital 3.46% 9.04% 2.86%

Growth

Metric AER SUNB Rental & Leasing Services median
Revenue growth (TTM) 8.68% — 4.47%
EPS growth (last fiscal year) 97.41% (11.37%) 1.04%
Revenue growth, 5-year CAGR 13.64% — 11.45%
Net income growth, 5-year CAGR 0.00% — 0.00%

Health

Metric AER SUNB Rental & Leasing Services median
Debt to equity 2.32 1.15 1.28
Current ratio 0.41 0.94 1.01
Net debt to EBITDA 4.74 1.68 4.19

Dividend

Metric AER SUNB Rental & Leasing Services median
Dividend yield 0.88% 1.37% 1.38%
Payout ratio 0.08 0.31 0.24

Size

Metric AER SUNB Rental & Leasing Services median
Market cap 25.66b 31.20b 3.37b

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