Ryder System, Inc. (R) vs WillScot Holdings Corporation (WSC)

Ryder System, Inc. and WillScot Holdings Corporation are both Rental & Leasing Services companies. Ryder System, Inc. is the larger, with a market value of $10.3B against $3.2B — 3.2× the size. WillScot Holdings Corporation has negative trailing earnings, so its P/E is not meaningful; Ryder System, Inc. trades at 20.6×. Ryder System, Inc. grew revenue faster over the last twelve months: 3.16% against 0.44%. Ryder System, Inc. has the higher net margin (3.98% vs −2.60%) and the higher return on invested capital (6.45% vs 2.23%). Both pay a dividend; WillScot Holdings Corporation yields more (1.57% vs 1.39%). Across the 21 metrics below, Ryder System, Inc. leads on 15 and WillScot Holdings Corporation on 6.

Valuation

Metric R WSC Rental & Leasing Services median
P/E 20.57 n/m 20.11
P/S 0.79 1.39 1.11
P/B 3.47 3.37 2.44
Price to free cash flow 7.16 8.57 11.04
EV/EBITDA 6.00 11.77 8.70
EV/Sales 1.33 2.87 2.87
Earnings yield 4.86% (1.85%) 3.40%
Free cash flow yield 13.96% 11.67% 0.63%

Profitability

Metric R WSC Rental & Leasing Services median
Gross margin 19.58% 63.84% 48.46%
Operating margin 7.87% 6.73% 8.37%
Net margin 3.98% (2.60%) 1.97%
Free cash flow margin 11.02% 30.51% 2.91%
Return on equity 17.13% (6.01%) 12.31%
Return on assets 3.18% (1.01%) 0.88%
Return on invested capital 6.45% 2.23% 2.86%

Growth

Metric R WSC Rental & Leasing Services median
Revenue growth (TTM) 3.16% 0.44% 4.47%
EPS growth (last fiscal year) 7.96% (293.33%) 1.04%
Revenue growth, 5-year CAGR 8.51% 12.38% 11.45%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric R WSC Rental & Leasing Services median
Debt to equity 2.42 3.60 1.28
Current ratio 0.67 0.78 1.01
Net debt to EBITDA 2.56 5.73 4.19

Dividend

Metric R WSC Rental & Leasing Services median
Dividend yield 1.39% 1.57% 1.38%
Payout ratio 0.29 — 0.24

Size

Metric R WSC Rental & Leasing Services median
Market cap 10.33b 3.23b 3.37b

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