Aercap Holdings N.V. (AER) vs WillScot Holdings Corporation (WSC)

Aercap Holdings N.V. and WillScot Holdings Corporation are both Rental & Leasing Services companies. Aercap Holdings N.V. is the larger, with a market value of $22.5B against $3.2B — 7.0× the size. WillScot Holdings Corporation has negative trailing earnings, so its P/E is not meaningful; Aercap Holdings N.V. trades at 7.2×. Aercap Holdings N.V. grew revenue faster over the last twelve months: 12.2% against −2.51%. Aercap Holdings N.V. has the higher net margin (37.9% vs −3.00%) and the higher return on invested capital (3.84% vs 2.13%). Across the 20 metrics below, Aercap Holdings N.V. leads on 17 and WillScot Holdings Corporation on 3.

Valuation

Metric AER WSC Rental & Leasing Services median
P/E 7.22 n/m 19.17
P/S 2.60 1.43 0.99
P/B 1.26 3.61 2.23
Price to free cash flow 3.59 8.87 8.31
EV/EBITDA 7.73 11.94 7.84
EV/Sales 7.17 2.95 2.53
Earnings yield 13.85% (2.04%) 0.95%
Free cash flow yield 27.82% 11.28% 1.43%

Profitability

Metric AER WSC Rental & Leasing Services median
Gross margin 100.00% 64.16% 49.40%
Operating margin 61.91% 6.51% 8.49%
Net margin 37.85% (3.00%) 1.01%
Free cash flow margin 72.28% 16.18% 1.87%
Return on equity 18.66% (7.08%) 12.13%
Return on assets 4.69% (1.15%) 0.24%
Return on invested capital 3.84% 2.13% 2.80%

Growth

Metric AER WSC Rental & Leasing Services median
Revenue growth (TTM) 12.24% (2.51%) 3.21%
EPS growth (last fiscal year) 97.41% (293.33%) —
Revenue growth, 5-year CAGR 13.64% 12.38% 12.97%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric AER WSC Rental & Leasing Services median
Debt to equity 2.32 3.84 1.48
Current ratio 0.28 0.81 1.36
Net debt to EBITDA 4.74 5.73 4.32

Dividend

Metric AER WSC Rental & Leasing Services median
Dividend yield 0.01% — 1.59%
Payout ratio 0.00 0.00 0.00

Size

Metric AER WSC Rental & Leasing Services median
Market cap 22.46b 3.22b 2.42b

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