AAL vs. SWK: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AAL and SWK, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AAL’s market capitalization stands at 7.71 billion USD, while SWK’s is 11.00 billion USD, indicating their market valuations are broadly comparable.
With betas of 1.38 for AAL and 1.17 for SWK, both stocks show similar sensitivity to overall market movements.
| Symbol | AAL | SWK |
|---|---|---|
| Company Name | American Airlines Group Inc. | Stanley Black & Decker, Inc. |
| Country | US | US |
| Sector | Industrials | Industrials |
| Industry | Airlines, Airports & Air Services | Manufacturing - Tools & Accessories |
| CEO | Robert D. Isom Jr. | Donald Allan Jr. |
| Price | 11.69 USD | 71.1 USD |
| Market Cap | 7.71 billion USD | 11.00 billion USD |
| Beta | 1.38 | 1.17 |
| Exchange | NASDAQ | NYSE |
| IPO Date | September 27, 2005 | March 17, 1980 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AAL and SWK 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.
Profitability
Return on Equity
AAL
-15.15%
Airlines, Airports & Air Services Industry
- Max
- 42.21%
- Q3
- 26.98%
- Median
- 13.01%
- Q1
- 0.37%
- Min
- -17.14%
AAL has a negative Return on Equity of -15.15%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
SWK
4.07%
Manufacturing - Tools & Accessories Industry
- Max
- 34.68%
- Q3
- 20.63%
- Median
- 10.07%
- Q1
- 7.35%
- Min
- 1.56%
SWK’s Return on Equity of 4.07% is in the lower quartile for the Manufacturing - Tools & Accessories industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
Return on Invested Capital
AAL
4.12%
Airlines, Airports & Air Services Industry
- Max
- 17.34%
- Q3
- 13.78%
- Median
- 4.53%
- Q1
- 1.05%
- Min
- -13.54%
AAL’s Return on Invested Capital of 4.12% is in line with the norm for the Airlines, Airports & Air Services industry, reflecting a standard level of efficiency in generating profits from its capital base.
SWK
7.32%
Manufacturing - Tools & Accessories Industry
- Max
- 18.96%
- Q3
- 14.59%
- Median
- 7.53%
- Q1
- 6.50%
- Min
- 2.74%
SWK’s Return on Invested Capital of 7.32% is in line with the norm for the Manufacturing - Tools & Accessories industry, reflecting a standard level of efficiency in generating profits from its capital base.
Net Profit Margin
AAL
1.26%
Airlines, Airports & Air Services Industry
- Max
- 24.88%
- Q3
- 9.50%
- Median
- 3.91%
- Q1
- -1.02%
- Min
- -10.56%
AAL’s Net Profit Margin of 1.26% is aligned with the median group of its peers in the Airlines, Airports & Air Services industry. This indicates its ability to convert revenue into profit is typical for the sector.
SWK
2.34%
Manufacturing - Tools & Accessories Industry
- Max
- 21.42%
- Q3
- 12.34%
- Median
- 8.01%
- Q1
- 4.68%
- Min
- 1.24%
Falling into the lower quartile for the Manufacturing - Tools & Accessories industry, SWK’s Net Profit Margin of 2.34% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
Operating Profit Margin
AAL
4.31%
Airlines, Airports & Air Services Industry
- Max
- 22.38%
- Q3
- 14.22%
- Median
- 9.66%
- Q1
- -0.09%
- Min
- -12.58%
AAL’s Operating Profit Margin of 4.31% is around the midpoint for the Airlines, Airports & Air Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
SWK
7.81%
Manufacturing - Tools & Accessories Industry
- Max
- 27.46%
- Q3
- 18.11%
- Median
- 11.96%
- Q1
- 8.53%
- Min
- 6.01%
SWK’s Operating Profit Margin of 7.81% is in the lower quartile for the Manufacturing - Tools & Accessories industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.
Profitability at a Glance
| Symbol | AAL | SWK |
|---|---|---|
| Return on Equity (TTM) | -15.15% | 4.07% |
| Return on Assets (TTM) | 1.09% | 1.59% |
| Return on Invested Capital (TTM) | 4.12% | 7.32% |
| Net Profit Margin (TTM) | 1.26% | 2.34% |
| Operating Profit Margin (TTM) | 4.31% | 7.81% |
| Gross Profit Margin (TTM) | 23.28% | 29.92% |
Financial Strength
Current Ratio
AAL
0.52
Airlines, Airports & Air Services Industry
- Max
- 1.77
- Q3
- 1.68
- Median
- 0.77
- Q1
- 0.62
- Min
- 0.32
AAL’s Current Ratio of 0.52 falls into the lower quartile for the Airlines, Airports & Air Services industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
SWK
1.10
Manufacturing - Tools & Accessories Industry
- Max
- 4.14
- Q3
- 3.17
- Median
- 2.45
- Q1
- 1.81
- Min
- 1.10
SWK’s Current Ratio of 1.10 falls into the lower quartile for the Manufacturing - Tools & Accessories industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio
AAL
-8.12
Airlines, Airports & Air Services Industry
- Max
- 3.85
- Q3
- 2.92
- Median
- 1.02
- Q1
- 0.43
- Min
- 0.04
AAL has a Debt-to-Equity Ratio of -8.12, which indicates negative shareholder equity where liabilities exceed assets. This is a critical sign of financial distress.
SWK
0.76
Manufacturing - Tools & Accessories Industry
- Max
- 0.94
- Q3
- 0.78
- Median
- 0.72
- Q1
- 0.31
- Min
- 0.05
SWK’s Debt-to-Equity Ratio of 0.76 is typical for the Manufacturing - Tools & Accessories industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
AAL
1.25
Airlines, Airports & Air Services Industry
- Max
- 8.60
- Q3
- 6.00
- Median
- 4.19
- Q1
- 1.03
- Min
- -1.40
AAL’s Interest Coverage Ratio of 1.25 is positioned comfortably within the norm for the Airlines, Airports & Air Services industry, indicating a standard and healthy capacity to cover its interest payments.
SWK
2.41
Manufacturing - Tools & Accessories Industry
- Max
- 14.51
- Q3
- 10.02
- Median
- 6.60
- Q1
- 5.24
- Min
- 1.53
In the lower quartile for the Manufacturing - Tools & Accessories industry, SWK’s Interest Coverage Ratio of 2.41 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.
Financial Strength at a Glance
| Symbol | AAL | SWK |
|---|---|---|
| Current Ratio (TTM) | 0.52 | 1.10 |
| Quick Ratio (TTM) | 0.42 | 0.36 |
| Debt-to-Equity Ratio (TTM) | -8.12 | 0.76 |
| Debt-to-Asset Ratio (TTM) | 0.58 | 0.30 |
| Net Debt-to-EBITDA Ratio (TTM) | 8.51 | 4.61 |
| Interest Coverage Ratio (TTM) | 1.25 | 2.41 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AAL and SWK. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AAL
0.00%
Airlines, Airports & Air Services Industry
- Max
- 162.17%
- Q3
- 2.10%
- Median
- 0.00%
- 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.
SWK
4.61%
Manufacturing - Tools & Accessories Industry
- Max
- 4.85%
- Q3
- 2.87%
- Median
- 2.00%
- Q1
- 1.05%
- Min
- 0.00%
With a Dividend Yield of 4.61%, SWK offers a more attractive income stream than most of its peers in the Manufacturing - Tools & Accessories industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio
AAL
0.00%
Airlines, Airports & Air Services Industry
- Max
- 106.87%
- Q3
- 15.62%
- Median
- 0.00%
- 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.
SWK
138.27%
Manufacturing - Tools & Accessories Industry
- Max
- 138.27%
- Q3
- 47.32%
- Median
- 36.66%
- Q1
- 23.90%
- Min
- 0.00%
SWK’s Dividend Payout Ratio of 138.27% is above 100%. This means the company is paying out more in dividends than it earned, a practice that is often unsustainable and could indicate a risk to future dividend stability.
Dividend at a Glance
| Symbol | AAL | SWK |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 4.61% |
| Dividend Payout Ratio (TTM) | 0.00% | 138.27% |
Valuation
Price-to-Earnings Ratio
AAL
11.24
Airlines, Airports & Air Services Industry
- Max
- 24.07
- Q3
- 18.40
- Median
- 12.44
- Q1
- 11.24
- Min
- 7.21
AAL’s P/E Ratio of 11.24 is within the middle range for the Airlines, Airports & Air Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
SWK
30.06
Manufacturing - Tools & Accessories Industry
- Max
- 48.52
- Q3
- 33.58
- Median
- 21.58
- Q1
- 16.21
- Min
- 15.65
SWK’s P/E Ratio of 30.06 is within the middle range for the Manufacturing - Tools & Accessories industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
AAL
0.21
Airlines, Airports & Air Services Industry
- Max
- 1.38
- Q3
- 1.07
- Median
- 0.61
- Q1
- 0.32
- Min
- 0.03
The Forward PEG Ratio is often not a primary valuation metric in the Airlines, Airports & Air Services industry.
SWK
1.14
Manufacturing - Tools & Accessories Industry
- Max
- 5.86
- Q3
- 4.35
- Median
- 3.53
- Q1
- 1.63
- Min
- 0.87
In the lower quartile for the Manufacturing - Tools & Accessories industry, SWK’s Forward PEG Ratio of 1.14 is a positive indicator. It suggests that the stock may be attractively valued relative to its expected earnings growth.
Price-to-Sales Ratio
AAL
0.14
Airlines, Airports & Air Services Industry
- Max
- 1.84
- Q3
- 1.69
- Median
- 0.98
- Q1
- 0.45
- Min
- 0.14
In the lower quartile for the Airlines, Airports & Air Services industry, AAL’s P/S Ratio of 0.14 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.
SWK
0.72
Manufacturing - Tools & Accessories Industry
- Max
- 3.41
- Q3
- 3.03
- Median
- 1.33
- Q1
- 0.93
- Min
- 0.69
In the lower quartile for the Manufacturing - Tools & Accessories industry, SWK’s P/S Ratio of 0.72 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.
Price-to-Book Ratio
AAL
-1.71
Airlines, Airports & Air Services Industry
- Max
- 12.86
- Q3
- 8.15
- Median
- 2.07
- Q1
- 1.50
- Min
- 0.62
AAL has a negative P/B Ratio of -1.71, indicating its liabilities exceed its assets and result in negative shareholder equity. This is a critical warning sign of financial distress.
SWK
1.21
Manufacturing - Tools & Accessories Industry
- Max
- 4.75
- Q3
- 4.14
- Median
- 2.35
- Q1
- 1.37
- Min
- 1.16
SWK’s P/B Ratio of 1.21 is in the lower quartile for the Manufacturing - Tools & Accessories industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
Valuation at a Glance
| Symbol | AAL | SWK |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 11.24 | 30.06 |
| Forward PEG Ratio (TTM) | 0.21 | 1.14 |
| Price-to-Sales Ratio (P/S, TTM) | 0.14 | 0.72 |
| Price-to-Book Ratio (P/B, TTM) | -1.71 | 1.21 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 2.19 | 14.38 |
| EV-to-EBITDA (TTM) | 10.34 | 12.54 |
| EV-to-Sales (TTM) | 0.80 | 1.14 |