The Boeing Company (BA) vs GE Aerospace (GE)

The Boeing Company and GE Aerospace are both Aerospace & Defense companies. GE Aerospace is the larger, with a market value of $325.2B against $136.7B — 2.4× the size. The Boeing Company trades at the lower P/E: 17.9× against 36.0×. GE Aerospace grew revenue faster over the last twelve months: 19.6% against 17.5%. GE Aerospace has the higher net margin (17.3% vs 7.70%) and the higher return on invested capital (27.4% vs 19.2%). Across the 22 metrics below, GE Aerospace leads on 14 and The Boeing Company on 8.

Valuation

Metric BA GE Aerospace & Defense median
P/E 17.89 35.97 28.48
P/S 1.44 6.18 2.95
P/B 20.90 18.31 2.68
Price to free cash flow 1,304.86 49.64 31.70
EV/EBITDA 13.49 24.57 16.85
EV/Sales 1.71 6.38 2.74
Earnings yield 5.59% 2.78% 0.89%
Free cash flow yield 0.08% 2.01% 0.00%

Profitability

Metric BA GE Aerospace & Defense median
Gross margin 9.42% 35.22% 26.41%
Operating margin 10.26% 23.56% 3.69%
Net margin 7.70% 17.31% 2.74%
Free cash flow margin 0.12% 15.68% 0.00%
Return on equity (858.49%) 49.51% 4.44%
Return on assets 4.56% 7.13% 1.90%
Return on invested capital 19.15% 27.35% 0.26%

Growth

Metric BA GE Aerospace & Defense median
Revenue growth (TTM) 17.53% 19.62% 18.03%
EPS growth (last fiscal year) 113.51% 35.89% 24.80%
Revenue growth, 5-year CAGR 9.00% (9.57%) 9.73%
Net income growth, 5-year CAGR 0.00% 10.72% 0.00%

Health

Metric BA GE Aerospace & Defense median
Debt to equity 7.00 1.09 0.20
Current ratio 1.13 0.98 2.85
Net debt to EBITDA 3.96 0.65 1.29

Dividend

Metric BA GE Aerospace & Defense median
Dividend yield — 0.56% 0.91%
Payout ratio — 0.20 0.30

Size

Metric BA GE Aerospace & Defense median
Market cap 136.70b 325.23b 1.78b

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