Valor Energy Inc. (VAI) vs Willis Lease Finance Corporation (WLFC)

Valor Energy Inc. and Willis Lease Finance Corporation are both Rental & Leasing Services companies. Willis Lease Finance Corporation is the larger, with a market value of $992.9M against $24.5M — 40.6× the size. Valor Energy Inc. has negative trailing earnings, so its P/E is not meaningful; Willis Lease Finance Corporation trades at 12.9×. Willis Lease Finance Corporation grew revenue faster over the last twelve months: 20.1% against 2.39%. Willis Lease Finance Corporation has the higher net margin (8.86% vs −2,559.6%) and the higher return on invested capital (1.87% vs 0.00%). Across the 19 metrics below, Willis Lease Finance Corporation leads on 12 and Valor Energy Inc. on 7.

Valuation

Metric VAI WLFC Rental & Leasing Services median
P/E n/m 12.89 20.11
P/S 5.80 1.19 1.11
P/B n/m 1.34 2.44
Price to free cash flow n/m n/m 11.04
EV/EBITDA 1.84 9.49 8.70
EV/Sales (2.74) 4.07 2.87
Earnings yield (476.82%) 7.76% 3.40%
Free cash flow yield (25.24%) (27.16%) 0.63%

Profitability

Metric VAI WLFC Rental & Leasing Services median
Gross margin 12.85% 75.41% 48.46%
Operating margin (209.56%) 26.58% 8.37%
Net margin (2,559.63%) 8.86% 1.97%
Free cash flow margin (146.42%) (31.54%) 2.91%
Return on equity 217.02% 10.61% 12.31%
Return on assets (377.44%) 1.96% 0.88%
Return on invested capital 0.00% 1.87% 2.86%

Growth

Metric VAI WLFC Rental & Leasing Services median
Revenue growth (TTM) 2.39% 20.14% 4.47%
EPS growth (last fiscal year) 43.71% 0.33% 1.04%
Revenue growth, 5-year CAGR (6.72%) 20.39% 11.45%
Net income growth, 5-year CAGR 0.00% 75.97% 0.00%

Health

Metric VAI WLFC Rental & Leasing Services median
Debt to equity 0.00 3.45 1.28
Current ratio 0.27 1.13 1.01
Net debt to EBITDA 1.84 5.98 4.19

Dividend

Metric VAI WLFC Rental & Leasing Services median
Dividend yield — 1.15% 1.38%
Payout ratio — 0.16 0.24

Size

Metric VAI WLFC Rental & Leasing Services median
Market cap 24.46m 992.93m 3.37b

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