Aercap Holdings N.V. (AER) vs United Rentals, Inc. (URI)

Aercap Holdings N.V. and United Rentals, Inc. are both Rental & Leasing Services companies. United Rentals, Inc. is the larger, with a market value of $64.2B against $22.5B — 2.9× the size. Aercap Holdings N.V. trades at the lower P/E: 7.2× against 25.1×. Aercap Holdings N.V. grew revenue faster over the last twelve months: 12.2% against 6.88%. Aercap Holdings N.V. has the higher net margin (37.9% vs 15.7%) and the lower return on invested capital (3.84% vs 11.2%). Both pay a dividend; United Rentals, Inc. yields more (0.80% vs 0.01%). Across the 23 metrics below, Aercap Holdings N.V. leads on 14 and United Rentals, Inc. on 9.

Valuation

Metric AER URI Rental & Leasing Services median
P/E 7.22 25.14 19.17
P/S 2.60 3.89 0.99
P/B 1.26 7.10 2.23
Price to free cash flow 3.59 31.46 8.31
EV/EBITDA 7.73 10.76 7.84
EV/Sales 7.17 4.73 2.53
Earnings yield 13.85% 3.98% 0.95%
Free cash flow yield 27.82% 3.18% 1.43%

Profitability

Metric AER URI Rental & Leasing Services median
Gross margin 100.00% 38.36% 49.40%
Operating margin 61.91% 24.79% 8.49%
Net margin 37.85% 15.67% 1.01%
Free cash flow margin 72.28% 12.37% 1.87%
Return on equity 18.66% 28.90% 12.13%
Return on assets 4.69% 8.72% 0.24%
Return on invested capital 3.84% 11.17% 2.80%

Growth

Metric AER URI Rental & Leasing Services median
Revenue growth (TTM) 12.24% 6.88% 3.21%
EPS growth (last fiscal year) 97.41% (0.21%) —
Revenue growth, 5-year CAGR 13.64% 13.55% 12.97%
Net income growth, 5-year CAGR 0.00% 22.89% 0.00%

Health

Metric AER URI Rental & Leasing Services median
Debt to equity 2.32 1.54 1.48
Current ratio 0.28 0.76 1.36
Net debt to EBITDA 4.74 1.94 4.32

Dividend

Metric AER URI Rental & Leasing Services median
Dividend yield 0.01% 0.80% 1.59%
Payout ratio 0.00 0.09 0.00

Size

Metric AER URI Rental & Leasing Services median
Market cap 22.46b 64.16b 2.42b

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