GATX Corporation (GATX) vs Ryder System, Inc. (R)

GATX Corporation and Ryder System, Inc. are both Rental & Leasing Services companies. Ryder System, Inc. is the larger, with a market value of $9.1B against $6.5B — 1.4× the size. GATX Corporation trades at the lower P/E: 18.2× against 19.2×. GATX Corporation grew revenue faster over the last twelve months: 22.8% against 1.12%. GATX Corporation has the higher net margin (17.6% vs 3.87%) and the lower return on invested capital (2.46% vs 6.20%). Both pay a dividend; Ryder System, Inc. yields more (2.28% vs 1.85%). Across the 22 metrics below, Ryder System, Inc. leads on 12 and GATX Corporation on 10.

Valuation

Metric GATX R Rental & Leasing Services median
P/E 18.16 19.17 19.17
P/S 3.20 0.71 0.99
P/B 1.83 3.15 2.23
Price to free cash flow n/m 7.76 8.31
EV/EBITDA 15.53 5.69 7.84
EV/Sales 8.89 1.27 2.53
Earnings yield 5.51% 5.22% 0.95%
Free cash flow yield (70.91%) 12.89% 1.43%

Profitability

Metric GATX R Rental & Leasing Services median
Gross margin 73.63% 19.82% 49.40%
Operating margin 29.05% 7.82% 8.49%
Net margin 17.64% 3.87% 1.01%
Free cash flow margin (226.65%) 9.11% 1.87%
Return on equity 11.57% 16.66% 12.13%
Return on assets 2.34% 3.05% 0.24%
Return on invested capital 2.46% 6.20% 2.80%

Growth

Metric GATX R Rental & Leasing Services median
Revenue growth (TTM) 22.81% 1.12% 3.21%
EPS growth (last fiscal year) 17.22% 7.96% —
Revenue growth, 5-year CAGR 7.55% 8.51% 12.97%
Net income growth, 5-year CAGR 16.72% 0.00% 0.00%

Health

Metric GATX R Rental & Leasing Services median
Debt to equity 3.44 2.59 1.48
Current ratio 3.90 0.65 1.36
Net debt to EBITDA 7.65 2.56 4.32

Dividend

Metric GATX R Rental & Leasing Services median
Dividend yield 1.85% 2.28% 1.59%
Payout ratio 0.35 0.22 0.00

Size

Metric GATX R Rental & Leasing Services median
Market cap 6.47b 9.06b 2.42b

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