Custom Truck One Source, Inc. (CTOS) vs GATX Corporation (GATX)

Custom Truck One Source, Inc. and GATX Corporation are both Rental & Leasing Services companies. GATX Corporation is the larger, with a market value of $6.5B against $2.1B — 3.1× the size. GATX Corporation trades at the lower P/E: 17.4× against 71.6×. GATX Corporation grew revenue faster over the last twelve months: 29.7% against 5.78%. GATX Corporation has the higher net margin (17.4% vs 1.44%) and the lower return on invested capital (2.74% vs 4.27%). Across the 21 metrics below, GATX Corporation leads on 12 and Custom Truck One Source, Inc. on 9.

Valuation

Metric CTOS GATX Rental & Leasing Services median
P/E 71.56 17.35 20.11
P/S 1.03 2.99 1.11
P/B 2.58 1.87 2.44
Price to free cash flow 267.17 n/m 11.04
EV/EBITDA 8.39 14.08 8.70
EV/Sales 1.83 8.26 2.87
Earnings yield 1.40% 5.76% 3.40%
Free cash flow yield 0.37% (67.15%) 0.63%

Profitability

Metric CTOS GATX Rental & Leasing Services median
Gross margin 22.62% 74.16% 48.46%
Operating margin 8.21% 29.92% 8.37%
Net margin 1.44% 17.41% 1.97%
Free cash flow margin 0.39% (200.95%) 2.91%
Return on equity 3.67% 12.31% 12.31%
Return on assets 0.83% 2.52% 0.88%
Return on invested capital 4.27% 2.74% 2.86%

Growth

Metric CTOS GATX Rental & Leasing Services median
Revenue growth (TTM) 5.78% 29.67% 4.47%
EPS growth (last fiscal year) (16.67%) 17.22% 1.04%
Revenue growth, 5-year CAGR 45.05% 7.55% 11.45%
Net income growth, 5-year CAGR 0.00% 16.72% 0.00%

Health

Metric CTOS GATX Rental & Leasing Services median
Debt to equity 2.01 3.37 1.28
Current ratio 1.28 2.38 1.01
Net debt to EBITDA 4.17 7.65 4.19

Dividend

Metric CTOS GATX Rental & Leasing Services median
Dividend yield — 1.38% 1.38%
Payout ratio — 0.24 0.24

Size

Metric CTOS GATX Rental & Leasing Services median
Market cap 2.11b 6.51b 3.37b

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