Seek Returns logo

AAL vs. CARR: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at AAL and CARR, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolAALCARR
Company NameAmerican Airlines Group Inc.Carrier Global Corporation
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryPassenger AirlinesBuilding Products
Market Capitalization8.45 billion USD56.88 billion USD
ExchangeNasdaqGSNYSE
Listing DateSeptember 27, 2005March 19, 2020
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of AAL and CARR by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

AAL vs. CARR: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolAALCARR
5-Day Price Return-0.16%1.64%
13-Week Price Return7.93%-11.86%
26-Week Price Return-18.68%4.98%
52-Week Price Return24.15%-2.62%
Month-to-Date Return11.40%-2.59%
Year-to-Date Return-26.56%-2.08%
10-Day Avg. Volume60.62M4.18M
3-Month Avg. Volume62.18M4.92M
3-Month Volatility53.18%30.65%
Beta1.401.30

Profitability

Return on Equity (TTM)

AAL

265.62%

Passenger Airlines Industry

Max
49.96%
Q3
28.15%
Median
15.41%
Q1
8.29%
Min
-11.01%

AAL’s Return on Equity of 265.62% is exceptionally high, placing it well beyond the typical range for the Passenger Airlines industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

CARR

27.91%

Building Products Industry

Max
48.58%
Q3
27.65%
Median
16.01%
Q1
8.81%
Min
-6.66%

In the upper quartile for the Building Products industry, CARR’s Return on Equity of 27.91% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

AAL vs. CARR: A comparison of their Return on Equity (TTM) against their respective Passenger Airlines and Building Products industry benchmarks.

Net Profit Margin (TTM)

AAL

1.05%

Passenger Airlines Industry

Max
17.65%
Q3
8.90%
Median
5.80%
Q1
2.02%
Min
-3.12%

Falling into the lower quartile for the Passenger Airlines industry, AAL’s Net Profit Margin of 1.05% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

CARR

17.81%

Building Products Industry

Max
26.11%
Q3
15.09%
Median
9.48%
Q1
5.16%
Min
-3.43%

A Net Profit Margin of 17.81% places CARR in the upper quartile for the Building Products industry, signifying strong profitability and more effective cost management than most of its peers.

AAL vs. CARR: A comparison of their Net Profit Margin (TTM) against their respective Passenger Airlines and Building Products industry benchmarks.

Operating Profit Margin (TTM)

AAL

3.82%

Passenger Airlines Industry

Max
22.47%
Q3
12.33%
Median
8.62%
Q1
4.43%
Min
-2.88%

AAL’s Operating Profit Margin of 3.82% is in the lower quartile for the Passenger Airlines industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

CARR

13.66%

Building Products Industry

Max
26.67%
Q3
18.75%
Median
14.89%
Q1
8.70%
Min
-1.00%

CARR’s Operating Profit Margin of 13.66% is around the midpoint for the Building Products industry, indicating that its efficiency in managing core business operations is typical for the sector.

AAL vs. CARR: A comparison of their Operating Profit Margin (TTM) against their respective Passenger Airlines and Building Products industry benchmarks.

Profitability at a Glance

SymbolAALCARR
Return on Equity (TTM)265.62%27.91%
Return on Assets (TTM)0.90%10.49%
Net Profit Margin (TTM)1.05%17.81%
Operating Profit Margin (TTM)3.82%13.66%
Gross Profit Margin (TTM)64.95%27.89%

Financial Strength

Current Ratio (MRQ)

AAL

0.58

Passenger Airlines Industry

Max
1.46
Q3
0.94
Median
0.76
Q1
0.54
Min
0.17

AAL’s Current Ratio of 0.58 aligns with the median group of the Passenger Airlines industry, indicating that its short-term liquidity is in line with its sector peers.

CARR

1.17

Building Products Industry

Max
2.87
Q3
2.03
Median
1.60
Q1
1.32
Min
0.88

CARR’s Current Ratio of 1.17 falls into the lower quartile for the Building Products industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

AAL vs. CARR: A comparison of their Current Ratio (MRQ) against their respective Passenger Airlines and Building Products industry benchmarks.

Debt-to-Equity Ratio (MRQ)

AAL

157.71

Passenger Airlines Industry

Max
9.80
Q3
4.82
Median
1.30
Q1
0.89
Min
0.00

With a Debt-to-Equity Ratio of 157.71, AAL operates with exceptionally high leverage compared to the Passenger Airlines industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

CARR

0.78

Building Products Industry

Max
1.64
Q3
1.02
Median
0.66
Q1
0.32
Min
0.00

CARR’s Debt-to-Equity Ratio of 0.78 is typical for the Building Products industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AAL vs. CARR: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Passenger Airlines and Building Products industry benchmarks.

Interest Coverage Ratio (TTM)

AAL

1.75

Passenger Airlines Industry

Max
22.60
Q3
16.29
Median
6.75
Q1
1.94
Min
-8.55

In the lower quartile for the Passenger Airlines industry, AAL’s Interest Coverage Ratio of 1.75 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

CARR

11.06

Building Products Industry

Max
72.12
Q3
34.39
Median
15.31
Q1
6.06
Min
0.85

CARR’s Interest Coverage Ratio of 11.06 is positioned comfortably within the norm for the Building Products industry, indicating a standard and healthy capacity to cover its interest payments.

AAL vs. CARR: A comparison of their Interest Coverage Ratio (TTM) against their respective Passenger Airlines and Building Products industry benchmarks.

Financial Strength at a Glance

SymbolAALCARR
Current Ratio (MRQ)0.581.17
Quick Ratio (MRQ)0.440.80
Debt-to-Equity Ratio (MRQ)157.710.78
Interest Coverage Ratio (TTM)1.7511.06

Growth

Revenue Growth

AAL vs. CARR: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

AAL vs. CARR: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

AAL

0.00%

Passenger Airlines Industry

Max
6.71%
Q3
3.95%
Median
1.10%
Q1
0.00%
Min
0.00%

AAL currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

CARR

1.28%

Building Products Industry

Max
2.56%
Q3
1.94%
Median
1.04%
Q1
0.66%
Min
0.00%

CARR’s Dividend Yield of 1.28% is consistent with its peers in the Building Products industry, providing a dividend return that is standard for its sector.

AAL vs. CARR: A comparison of their Dividend Yield (TTM) against their respective Passenger Airlines and Building Products industry benchmarks.

Dividend Payout Ratio (TTM)

AAL

0.00%

Passenger Airlines Industry

Max
71.59%
Q3
38.54%
Median
8.16%
Q1
0.00%
Min
0.00%

AAL has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

CARR

18.25%

Building Products Industry

Max
157.36%
Q3
77.74%
Median
29.49%
Q1
16.25%
Min
0.00%

CARR’s Dividend Payout Ratio of 18.25% is within the typical range for the Building Products industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

AAL vs. CARR: A comparison of their Dividend Payout Ratio (TTM) against their respective Passenger Airlines and Building Products industry benchmarks.

Dividend at a Glance

SymbolAALCARR
Dividend Yield (TTM)0.00%1.28%
Dividend Payout Ratio (TTM)0.00%18.25%

Valuation

Price-to-Earnings Ratio (TTM)

AAL

15.38

Passenger Airlines Industry

Max
13.29
Q3
11.94
Median
8.78
Q1
7.42
Min
3.07

At 15.38, AAL’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Passenger Airlines industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

CARR

14.21

Building Products Industry

Max
66.79
Q3
37.37
Median
21.86
Q1
17.57
Min
9.70

In the lower quartile for the Building Products industry, CARR’s P/E Ratio of 14.21 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

AAL vs. CARR: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Passenger Airlines and Building Products industry benchmarks.

Price-to-Sales Ratio (TTM)

AAL

0.16

Passenger Airlines Industry

Max
1.09
Q3
0.74
Median
0.61
Q1
0.44
Min
0.09

In the lower quartile for the Passenger Airlines industry, AAL’s P/S Ratio of 0.16 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

CARR

2.53

Building Products Industry

Max
6.40
Q3
3.25
Median
1.65
Q1
1.11
Min
0.34

CARR’s P/S Ratio of 2.53 aligns with the market consensus for the Building Products industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

AAL vs. CARR: A comparison of their Price-to-Sales Ratio (TTM) against their respective Passenger Airlines and Building Products industry benchmarks.

Price-to-Book Ratio (MRQ)

AAL

75.06

Passenger Airlines Industry

Max
3.44
Q3
2.89
Median
1.84
Q1
1.22
Min
0.56

At 75.06, AAL’s P/B Ratio is at an extreme premium to the Passenger Airlines industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

CARR

4.27

Building Products Industry

Max
13.31
Q3
6.85
Median
3.20
Q1
1.71
Min
0.73

CARR’s P/B Ratio of 4.27 is within the conventional range for the Building Products industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

AAL vs. CARR: A comparison of their Price-to-Book Ratio (MRQ) against their respective Passenger Airlines and Building Products industry benchmarks.

Valuation at a Glance

SymbolAALCARR
Price-to-Earnings Ratio (TTM)15.3814.21
Price-to-Sales Ratio (TTM)0.162.53
Price-to-Book Ratio (MRQ)75.064.27
Price-to-Free Cash Flow Ratio (TTM)4.1647.90