Custom Truck One Source, Inc. (CTOS) vs Willis Lease Finance Corporation (WLFC)

Custom Truck One Source, Inc. and Willis Lease Finance Corporation are both Rental & Leasing Services companies. Custom Truck One Source, Inc. is the larger, with a market value of $2.1B against $1.1B — 1.9× the size. Willis Lease Finance Corporation trades at the lower P/E: 13.0× against 105×. Willis Lease Finance Corporation grew revenue faster over the last twelve months: 17.3% against 7.03%. Willis Lease Finance Corporation has the higher net margin (11.2% vs 1.05%) and the lower return on invested capital (2.62% vs 4.12%). Across the 21 metrics below, Willis Lease Finance Corporation leads on 12 and Custom Truck One Source, Inc. on 9.

Valuation

Metric CTOS WLFC Rental & Leasing Services median
P/E 105.00 13.03 19.17
P/S 1.06 1.50 0.99
P/B 2.63 1.62 2.23
Price to free cash flow n/m n/m 8.31
EV/EBITDA 8.64 8.70 7.84
EV/Sales 1.87 4.31 2.53
Earnings yield 0.95% 7.68% 0.95%
Free cash flow yield (2.42%) (8.24%) 1.43%

Profitability

Metric CTOS WLFC Rental & Leasing Services median
Gross margin 22.15% 85.43% 49.40%
Operating margin 7.99% 32.48% 8.49%
Net margin 1.05% 11.24% 1.01%
Free cash flow margin (2.55%) (11.63%) 1.87%
Return on equity 2.67% 12.96% 12.13%
Return on assets 0.60% 2.26% 0.24%
Return on invested capital 4.12% 2.62% 2.80%

Growth

Metric CTOS WLFC Rental & Leasing Services median
Revenue growth (TTM) 7.03% 17.34% 3.21%
EPS growth (last fiscal year) (16.67%) 0.33% —
Revenue growth, 5-year CAGR 45.05% 20.39% 12.97%
Net income growth, 5-year CAGR 0.00% 75.97% 0.00%

Health

Metric CTOS WLFC Rental & Leasing Services median
Debt to equity 2.03 3.27 1.48
Current ratio 1.34 1.63 1.36
Net debt to EBITDA 4.17 5.98 4.32

Dividend

Metric CTOS WLFC Rental & Leasing Services median
Dividend yield — — 1.59%
Payout ratio 0.00 0.00 0.00

Size

Metric CTOS WLFC Rental & Leasing Services median
Market cap 2.10b 1.12b 2.42b

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