Alta Equipment Group Inc. (ALTG) vs Willis Lease Finance Corporation (WLFC)

Alta Equipment Group Inc. and Willis Lease Finance Corporation are both Rental & Leasing Services companies. Willis Lease Finance Corporation is the larger, with a market value of $813.0M against $197.0M — 4.1× the size. Alta Equipment Group Inc. has negative trailing earnings, so its P/E is not meaningful; Willis Lease Finance Corporation trades at 9.0×. Willis Lease Finance Corporation grew revenue faster over the last twelve months: 17.3% against −1.80%. Willis Lease Finance Corporation has the higher net margin (11.2% vs −4.58%) and the higher return on invested capital (2.62% vs 1.51%). Only Willis Lease Finance Corporation pays a dividend (1.42%). Across the 20 metrics below, Willis Lease Finance Corporation leads on 13 and Alta Equipment Group Inc. on 7.

Valuation

Metric ALTG WLFC Rental & Leasing Services median
P/E n/m 9.03 18.17
P/S 0.11 1.04 0.92
P/B n/m 1.12 2.15
Price to free cash flow 2.87 n/m 7.80
EV/EBITDA 5.94 7.77 7.72
EV/Sales 0.50 3.85 2.47
Earnings yield (43.27%) 11.07% 1.00%
Free cash flow yield 34.87% (11.88%) 1.43%

Profitability

Metric ALTG WLFC Rental & Leasing Services median
Gross margin 25.90% 85.43% 49.40%
Operating margin 0.90% 32.48% 8.49%
Net margin (4.58%) 11.24% 1.01%
Free cash flow margin 3.74% (11.63%) 1.87%
Return on equity (2,163.64%) 12.96% 12.13%
Return on assets (6.04%) 2.26% 0.24%
Return on invested capital 1.51% 2.62% 2.80%

Growth

Metric ALTG WLFC Rental & Leasing Services median
Revenue growth (TTM) (1.80%) 17.34% 3.21%
EPS growth (last fiscal year) (30.10%) 0.33% (8.44%)
Revenue growth, 5-year CAGR 16.01% 20.39% 12.97%
Net income growth, 5-year CAGR 0.00% 75.97% 0.00%

Health

Metric ALTG WLFC Rental & Leasing Services median
Debt to equity (20.18) 3.27 1.48
Current ratio 1.38 1.63 1.36
Net debt to EBITDA 4.42 5.98 4.32

Dividend

Metric ALTG WLFC Rental & Leasing Services median
Dividend yield 0.00% 1.42% 1.56%
Payout ratio — 0.13 0.22

Size

Metric ALTG WLFC Rental & Leasing Services median
Market cap 196.98m 812.99m 2.43b

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