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AER vs. NVT: A Head-to-Head Stock Comparison

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

Company Overview

AER’s market capitalization of 20.46 billion USD is substantially larger than NVT’s 12.33 billion USD, indicating a significant difference in their market valuations.

With betas of 1.40 for AER and 1.30 for NVT, both stocks show similar sensitivity to overall market movements.

SymbolAERNVT
Company NameAerCap Holdings N.V.nVent Electric plc
CountryIEGB
SectorIndustrialsIndustrials
IndustryRental & Leasing ServicesElectrical Equipment & Parts
CEOAengus KellyBeth A. Wozniak
Price115.89 USD74.91 USD
Market Cap20.46 billion USD12.33 billion USD
Beta1.401.30
ExchangeNYSENYSE
IPO DateNovember 21, 2006April 24, 2018
ADRNoNo

Historical Performance

This chart compares the performance of AER and NVT 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.

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

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.

NVT

17.50%

Electrical Equipment & Parts Industry

Max
40.77%
Q3
24.97%
Median
9.16%
Q1
-21.24%
Min
-83.49%

NVT’s Return on Equity of 17.50% is on par with the norm for the Electrical Equipment & Parts industry, indicating its profitability relative to shareholder equity is typical for the sector.

AER vs. NVT: A comparison of their ROE against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

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.

NVT

5.33%

Electrical Equipment & Parts Industry

Max
28.65%
Q3
9.59%
Median
4.18%
Q1
-26.21%
Min
-64.66%

NVT’s Return on Invested Capital of 5.33% is in line with the norm for the Electrical Equipment & Parts industry, reflecting a standard level of efficiency in generating profits from its capital base.

AER vs. NVT: A comparison of their ROIC against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

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.

NVT

18.22%

Electrical Equipment & Parts Industry

Max
18.22%
Q3
10.17%
Median
3.30%
Q1
-100.73%
Min
-135.80%

A Net Profit Margin of 18.22% places NVT in the upper quartile for the Electrical Equipment & Parts industry, signifying strong profitability and more effective cost management than most of its peers.

AER vs. NVT: A comparison of their Net Profit Margin against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

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.

NVT

17.07%

Electrical Equipment & Parts Industry

Max
19.88%
Q3
14.79%
Median
7.23%
Q1
-48.45%
Min
-140.29%

An Operating Profit Margin of 17.07% places NVT in the upper quartile for the Electrical Equipment & Parts industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

AER vs. NVT: A comparison of their Operating Margin against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

Profitability at a Glance

SymbolAERNVT
Return on Equity (TTM)12.55%17.50%
Return on Assets (TTM)2.95%8.73%
Return on Invested Capital (TTM)3.17%5.33%
Net Profit Margin (TTM)26.77%18.22%
Operating Profit Margin (TTM)32.92%17.07%
Gross Profit Margin (TTM)38.97%40.10%

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.

NVT

2.87

Electrical Equipment & Parts Industry

Max
4.74
Q3
3.44
Median
2.63
Q1
1.95
Min
1.17

NVT’s Current Ratio of 2.87 aligns with the median group of the Electrical Equipment & Parts industry, indicating that its short-term liquidity is in line with its sector peers.

AER vs. NVT: A comparison of their Current Ratio against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

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.

NVT

0.49

Electrical Equipment & Parts Industry

Max
0.82
Q3
0.68
Median
0.61
Q1
0.47
Min
0.33

NVT’s Debt-to-Equity Ratio of 0.49 is typical for the Electrical Equipment & Parts industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AER vs. NVT: A comparison of their D/E Ratio against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

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.

NVT

5.44

Electrical Equipment & Parts Industry

Max
21.00
Q3
9.09
Median
3.12
Q1
-7.14
Min
-31.43

NVT’s Interest Coverage Ratio of 5.44 is positioned comfortably within the norm for the Electrical Equipment & Parts industry, indicating a standard and healthy capacity to cover its interest payments.

AER vs. NVT: A comparison of their Interest Coverage against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

Financial Strength at a Glance

SymbolAERNVT
Current Ratio (TTM)3.122.87
Quick Ratio (TTM)3.062.42
Debt-to-Equity Ratio (TTM)2.690.49
Debt-to-Asset Ratio (TTM)0.640.26
Net Debt-to-EBITDA Ratio (TTM)8.630.63
Interest Coverage Ratio (TTM)5.505.44

Growth

The following charts compare key year-over-year (YoY) growth metrics for AER and NVT. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AER vs. NVT: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AER vs. NVT: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AER vs. NVT: A comparison of their annual year-over-year 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.

NVT

1.04%

Electrical Equipment & Parts Industry

Max
1.81%
Q3
0.50%
Median
0.00%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 1.04%, NVT offers a more attractive income stream than most of its peers in the Electrical Equipment & Parts industry, signaling a strong commitment to shareholder returns.

AER vs. NVT: A comparison of their Dividend Yield against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

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.

NVT

21.84%

Electrical Equipment & Parts Industry

Max
162.68%
Q3
20.84%
Median
4.65%
Q1
0.00%
Min
0.00%

NVT’s Dividend Payout Ratio of 21.84% is in the upper quartile for the Electrical Equipment & Parts industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

AER vs. NVT: A comparison of their Payout Ratio against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

Dividend at a Glance

SymbolAERNVT
Dividend Yield (TTM)0.66%1.04%
Dividend Payout Ratio (TTM)6.80%21.84%

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.

NVT

21.05

Electrical Equipment & Parts Industry

Max
27.52
Q3
27.52
Median
24.22
Q1
20.08
Min
9.48

NVT’s P/E Ratio of 21.05 is within the middle range for the Electrical Equipment & Parts industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

AER vs. NVT: A comparison of their P/E Ratio against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

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.

NVT

2.17

Electrical Equipment & Parts Industry

Max
5.30
Q3
4.04
Median
2.62
Q1
2.03
Min
0.01

The Forward PEG Ratio is often not a primary valuation metric in the Electrical Equipment & Parts industry.

AER vs. NVT: A comparison of their Forward PEG Ratio against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

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.

NVT

3.83

Electrical Equipment & Parts Industry

Max
5.76
Q3
5.66
Median
3.18
Q1
1.88
Min
0.31

NVT’s P/S Ratio of 3.83 aligns with the market consensus for the Electrical Equipment & Parts industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

AER vs. NVT: A comparison of their P/S Ratio against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

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.

NVT

3.42

Electrical Equipment & Parts Industry

Max
10.91
Q3
6.77
Median
3.73
Q1
1.80
Min
0.59

NVT’s P/B Ratio of 3.42 is within the conventional range for the Electrical Equipment & Parts 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.

AER vs. NVT: A comparison of their P/B Ratio against their respective Rental & Leasing Services and Electrical Equipment & Parts industry benchmarks.

Valuation at a Glance

SymbolAERNVT
Price-to-Earnings Ratio (P/E, TTM)9.8521.05
Forward PEG Ratio (TTM)1.332.17
Price-to-Sales Ratio (P/S, TTM)2.563.83
Price-to-Book Ratio (P/B, TTM)1.223.42
Price-to-Free Cash Flow Ratio (P/FCF, TTM)-9.8023.04
EV-to-EBITDA (TTM)12.5419.13
EV-to-Sales (TTM)8.223.96