AER vs. GGG: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AER and GGG, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AER’s market capitalization stands at 20.46 billion USD, while GGG’s is 14.84 billion USD, indicating their market valuations are broadly comparable.
With betas of 1.40 for AER and 1.07 for GGG, both stocks show similar sensitivity to overall market movements.
| Symbol | AER | GGG |
|---|---|---|
| Company Name | AerCap Holdings N.V. | Graco Inc. |
| Country | IE | US |
| Sector | Industrials | Industrials |
| Industry | Rental & Leasing Services | Industrial - Machinery |
| CEO | Aengus Kelly | Mark W. Sheahan |
| Price | 115.89 USD | 88.79 USD |
| Market Cap | 20.46 billion USD | 14.84 billion USD |
| Beta | 1.40 | 1.07 |
| Exchange | NYSE | NYSE |
| IPO Date | November 21, 2006 | March 17, 1980 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AER and GGG 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
AER
12.55%
Rental & Leasing Services Industry
- Max
- 33.37%
- Q3
- 21.32%
- Median
- 10.48%
- Q1
- 2.04%
- Min
- -2.71%
AER’s Return on Equity of 12.55% is on par with the norm for the Rental & Leasing Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
GGG
19.53%
Industrial - Machinery Industry
- Max
- 36.51%
- Q3
- 18.65%
- Median
- 12.08%
- Q1
- 4.75%
- Min
- -15.57%
In the upper quartile for the Industrial - Machinery industry, GGG’s Return on Equity of 19.53% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
AER
3.17%
Rental & Leasing Services Industry
- Max
- 19.57%
- Q3
- 13.92%
- Median
- 5.28%
- Q1
- 3.34%
- Min
- -10.86%
AER’s Return on Invested Capital of 3.17% is in the lower quartile for the Rental & Leasing Services industry. This indicates a less efficient conversion of invested capital into profit compared to most of its competitors.
GGG
17.78%
Industrial - Machinery Industry
- Max
- 22.35%
- Q3
- 12.64%
- Median
- 9.33%
- Q1
- 5.32%
- Min
- -5.42%
In the upper quartile for the Industrial - Machinery industry, GGG’s Return on Invested Capital of 17.78% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
AER
26.77%
Rental & Leasing Services Industry
- Max
- 26.77%
- Q3
- 17.31%
- Median
- 5.12%
- Q1
- -0.51%
- Min
- -19.03%
A Net Profit Margin of 26.77% places AER in the upper quartile for the Rental & Leasing Services industry, signifying strong profitability and more effective cost management than most of its peers.
GGG
22.70%
Industrial - Machinery Industry
- Max
- 28.85%
- Q3
- 15.25%
- Median
- 10.02%
- Q1
- 5.33%
- Min
- -8.75%
A Net Profit Margin of 22.70% places GGG in the upper quartile for the Industrial - Machinery industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
AER
32.92%
Rental & Leasing Services Industry
- Max
- 53.21%
- Q3
- 29.93%
- Median
- 16.64%
- Q1
- 8.88%
- Min
- -12.57%
An Operating Profit Margin of 32.92% places AER in the upper quartile for the Rental & Leasing Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
GGG
27.04%
Industrial - Machinery Industry
- Max
- 28.19%
- Q3
- 19.04%
- Median
- 14.62%
- Q1
- 8.13%
- Min
- -5.76%
An Operating Profit Margin of 27.04% places GGG in the upper quartile for the Industrial - Machinery industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | AER | GGG |
|---|---|---|
| Return on Equity (TTM) | 12.55% | 19.53% |
| Return on Assets (TTM) | 2.95% | 16.22% |
| Return on Invested Capital (TTM) | 3.17% | 17.78% |
| Net Profit Margin (TTM) | 26.77% | 22.70% |
| Operating Profit Margin (TTM) | 32.92% | 27.04% |
| Gross Profit Margin (TTM) | 38.97% | 52.76% |
Financial Strength
Current Ratio
AER
3.12
Rental & Leasing Services Industry
- Max
- 7.05
- Q3
- 3.95
- Median
- 1.87
- Q1
- 0.85
- Min
- 0.64
AER’s Current Ratio of 3.12 aligns with the median group of the Rental & Leasing Services industry, indicating that its short-term liquidity is in line with its sector peers.
GGG
3.61
Industrial - Machinery Industry
- Max
- 4.18
- Q3
- 2.75
- Median
- 2.07
- Q1
- 1.46
- Min
- 0.46
GGG’s Current Ratio of 3.61 is in the upper quartile for the Industrial - Machinery industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
Debt-to-Equity Ratio
AER
2.69
Rental & Leasing Services Industry
- Max
- 3.95
- Q3
- 3.50
- Median
- 2.49
- Q1
- 0.92
- Min
- 0.00
AER’s Debt-to-Equity Ratio of 2.69 is typical for the Rental & Leasing Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
GGG
0.02
Industrial - Machinery Industry
- Max
- 1.46
- Q3
- 0.73
- Median
- 0.48
- Q1
- 0.17
- Min
- 0.00
Falling into the lower quartile for the Industrial - Machinery industry, GGG’s Debt-to-Equity Ratio of 0.02 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
Interest Coverage Ratio
AER
5.50
Rental & Leasing Services Industry
- Max
- 6.53
- Q3
- 5.33
- Median
- 2.35
- Q1
- 1.41
- Min
- -1.09
AER’s Interest Coverage Ratio of 5.50 is in the upper quartile for the Rental & Leasing Services industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
GGG
207.76
Industrial - Machinery Industry
- Max
- 28.91
- Q3
- 14.99
- Median
- 9.11
- Q1
- 3.95
- Min
- -11.30
With an Interest Coverage Ratio of 207.76, GGG demonstrates a superior capacity to service its debt, placing it well above the typical range for the Industrial - Machinery industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | AER | GGG |
|---|---|---|
| Current Ratio (TTM) | 3.12 | 3.61 |
| Quick Ratio (TTM) | 3.06 | 2.53 |
| Debt-to-Equity Ratio (TTM) | 2.69 | 0.02 |
| Debt-to-Asset Ratio (TTM) | 0.64 | 0.02 |
| Net Debt-to-EBITDA Ratio (TTM) | 8.63 | -0.73 |
| Interest Coverage Ratio (TTM) | 5.50 | 207.76 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AER and GGG. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AER
0.66%
Rental & Leasing Services Industry
- Max
- 2.29%
- Q3
- 1.60%
- Median
- 0.72%
- Q1
- 0.00%
- Min
- 0.00%
AER’s Dividend Yield of 0.66% is consistent with its peers in the Rental & Leasing Services industry, providing a dividend return that is standard for its sector.
GGG
1.19%
Industrial - Machinery Industry
- Max
- 4.40%
- Q3
- 1.47%
- Median
- 0.74%
- Q1
- 0.00%
- Min
- 0.00%
GGG’s Dividend Yield of 1.19% is consistent with its peers in the Industrial - Machinery industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
AER
6.80%
Rental & Leasing Services Industry
- Max
- 260.58%
- Q3
- 29.91%
- Median
- 17.33%
- Q1
- 6.80%
- Min
- 0.00%
AER’s Dividend Payout Ratio of 6.80% is within the typical range for the Rental & Leasing Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
GGG
36.03%
Industrial - Machinery Industry
- Max
- 78.48%
- Q3
- 36.22%
- Median
- 20.24%
- Q1
- 0.00%
- Min
- 0.00%
GGG’s Dividend Payout Ratio of 36.03% is within the typical range for the Industrial - Machinery industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | AER | GGG |
|---|---|---|
| Dividend Yield (TTM) | 0.66% | 1.19% |
| Dividend Payout Ratio (TTM) | 6.80% | 36.03% |
Valuation
Price-to-Earnings Ratio
AER
9.85
Rental & Leasing Services Industry
- Max
- 32.56
- Q3
- 29.28
- Median
- 17.35
- Q1
- 9.97
- Min
- 5.76
In the lower quartile for the Rental & Leasing Services industry, AER’s P/E Ratio of 9.85 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
GGG
31.36
Industrial - Machinery Industry
- Max
- 47.62
- Q3
- 34.41
- Median
- 27.36
- Q1
- 21.62
- Min
- 10.96
GGG’s P/E Ratio of 31.36 is within the middle range for the Industrial - Machinery 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
AER
1.33
Rental & Leasing Services Industry
- Max
- 2.86
- Q3
- 2.33
- Median
- 1.39
- Q1
- 0.91
- Min
- 0.01
The Forward PEG Ratio is often not a primary valuation metric in the Rental & Leasing Services industry.
GGG
4.00
Industrial - Machinery Industry
- Max
- 6.15
- Q3
- 3.53
- Median
- 2.82
- Q1
- 1.71
- Min
- 0.09
The Forward PEG Ratio is often not a primary valuation metric in the Industrial - Machinery industry.
Price-to-Sales Ratio
AER
2.56
Rental & Leasing Services Industry
- Max
- 6.35
- Q3
- 3.16
- Median
- 2.03
- Q1
- 0.60
- Min
- 0.25
AER’s P/S Ratio of 2.56 aligns with the market consensus for the Rental & Leasing Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
GGG
6.90
Industrial - Machinery Industry
- Max
- 8.37
- Q3
- 4.59
- Median
- 3.34
- Q1
- 1.83
- Min
- 0.32
GGG’s P/S Ratio of 6.90 is in the upper echelon for the Industrial - Machinery industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
Price-to-Book Ratio
AER
1.22
Rental & Leasing Services Industry
- Max
- 2.76
- Q3
- 2.65
- Median
- 2.02
- Q1
- 1.37
- Min
- 0.69
AER’s P/B Ratio of 1.22 is in the lower quartile for the Rental & Leasing Services 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.
GGG
6.18
Industrial - Machinery Industry
- Max
- 7.49
- Q3
- 5.01
- Median
- 3.41
- Q1
- 2.45
- Min
- 0.01
GGG’s P/B Ratio of 6.18 is in the upper tier for the Industrial - Machinery industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
Valuation at a Glance
| Symbol | AER | GGG |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 9.85 | 31.36 |
| Forward PEG Ratio (TTM) | 1.33 | 4.00 |
| Price-to-Sales Ratio (P/S, TTM) | 2.56 | 6.90 |
| Price-to-Book Ratio (P/B, TTM) | 1.22 | 6.18 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -9.80 | 27.08 |
| EV-to-EBITDA (TTM) | 12.54 | 21.67 |
| EV-to-Sales (TTM) | 8.22 | 6.68 |