AER vs. PAYX: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AER and PAYX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
PAYX’s market capitalization of 52.99 billion USD is significantly greater than AER’s 20.46 billion USD, highlighting its more substantial market valuation.
AER’s beta of 1.40 points to significantly higher volatility compared to PAYX (beta: 0.91), suggesting AER has greater potential for both gains and losses relative to market movements.
| Symbol | AER | PAYX |
|---|---|---|
| Company Name | AerCap Holdings N.V. | Paychex, Inc. |
| Country | IE | US |
| Sector | Industrials | Industrials |
| Industry | Rental & Leasing Services | Staffing & Employment Services |
| CEO | Aengus Kelly | John B. Gibson Jr. |
| Price | 115.89 USD | 147.13 USD |
| Market Cap | 20.46 billion USD | 52.99 billion USD |
| Beta | 1.40 | 0.91 |
| Exchange | NYSE | NASDAQ |
| IPO Date | November 21, 2006 | August 26, 1983 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AER and PAYX 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.
PAYX
41.38%
Staffing & Employment Services Industry
- Max
- 76.78%
- Q3
- 46.63%
- Median
- 19.55%
- Q1
- 6.99%
- Min
- -1.64%
PAYX’s Return on Equity of 41.38% is on par with the norm for the Staffing & Employment Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
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.
PAYX
16.77%
Staffing & Employment Services Industry
- Max
- 23.22%
- Q3
- 18.16%
- Median
- 9.93%
- Q1
- 4.57%
- Min
- -1.94%
PAYX’s Return on Invested Capital of 16.77% is in line with the norm for the Staffing & Employment Services industry, reflecting a standard level of efficiency in generating profits from its capital base.
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.
PAYX
29.74%
Staffing & Employment Services Industry
- Max
- 30.46%
- Q3
- 17.07%
- Median
- 3.53%
- Q1
- 0.98%
- Min
- -4.15%
A Net Profit Margin of 29.74% places PAYX in the upper quartile for the Staffing & Employment Services 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.
PAYX
39.62%
Staffing & Employment Services Industry
- Max
- 19.92%
- Q3
- 12.35%
- Median
- 4.95%
- Q1
- 2.59%
- Min
- -2.06%
PAYX’s Operating Profit Margin of 39.62% is exceptionally high, placing it well above the typical range for the Staffing & Employment Services industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.
Profitability at a Glance
| Symbol | AER | PAYX |
|---|---|---|
| Return on Equity (TTM) | 12.55% | 41.38% |
| Return on Assets (TTM) | 2.95% | 10.01% |
| Return on Invested Capital (TTM) | 3.17% | 16.77% |
| Net Profit Margin (TTM) | 26.77% | 29.74% |
| Operating Profit Margin (TTM) | 32.92% | 39.62% |
| Gross Profit Margin (TTM) | 38.97% | 72.35% |
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.
PAYX
1.28
Staffing & Employment Services Industry
- Max
- 2.06
- Q3
- 2.01
- Median
- 1.65
- Q1
- 1.15
- Min
- 1.02
PAYX’s Current Ratio of 1.28 aligns with the median group of the Staffing & Employment Services industry, indicating that its short-term liquidity is in line with its sector 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.
PAYX
0.11
Staffing & Employment Services Industry
- Max
- 0.73
- Q3
- 0.70
- Median
- 0.22
- Q1
- 0.11
- Min
- 0.02
PAYX’s Debt-to-Equity Ratio of 0.11 is typical for the Staffing & Employment Services 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
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.
PAYX
-100.35
Staffing & Employment Services Industry
- Max
- 7.90
- Q3
- 7.90
- Median
- 2.91
- Q1
- -0.32
- Min
- -1.17
PAYX has a negative Interest Coverage Ratio of -100.35. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
Financial Strength at a Glance
| Symbol | AER | PAYX |
|---|---|---|
| Current Ratio (TTM) | 3.12 | 1.28 |
| Quick Ratio (TTM) | 3.06 | 1.28 |
| Debt-to-Equity Ratio (TTM) | 2.69 | 0.11 |
| Debt-to-Asset Ratio (TTM) | 0.64 | 0.03 |
| Net Debt-to-EBITDA Ratio (TTM) | 8.63 | -0.48 |
| Interest Coverage Ratio (TTM) | 5.50 | -100.35 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AER and PAYX. 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.
PAYX
2.73%
Staffing & Employment Services Industry
- Max
- 5.58%
- Q3
- 3.50%
- Median
- 2.08%
- Q1
- 0.83%
- Min
- 0.00%
PAYX’s Dividend Yield of 2.73% is consistent with its peers in the Staffing & Employment Services 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.
PAYX
87.40%
Staffing & Employment Services Industry
- Max
- 161.25%
- Q3
- 109.23%
- Median
- 58.73%
- Q1
- 15.69%
- Min
- 0.00%
PAYX’s Dividend Payout Ratio of 87.40% is within the typical range for the Staffing & Employment Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | AER | PAYX |
|---|---|---|
| Dividend Yield (TTM) | 0.66% | 2.73% |
| Dividend Payout Ratio (TTM) | 6.80% | 87.40% |
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.
PAYX
31.99
Staffing & Employment Services Industry
- Max
- 35.74
- Q3
- 30.98
- Median
- 20.51
- Q1
- 15.65
- Min
- 7.85
A P/E Ratio of 31.99 places PAYX in the upper quartile for the Staffing & Employment Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
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.
PAYX
3.98
Staffing & Employment Services Industry
- Max
- 3.23
- Q3
- 1.89
- Median
- 1.18
- Q1
- 1.00
- Min
- 0.39
PAYX’s Forward PEG Ratio of 3.98 is exceptionally high for the Staffing & Employment Services industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.
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.
PAYX
9.51
Staffing & Employment Services Industry
- Max
- 3.70
- Q3
- 2.09
- Median
- 0.86
- Q1
- 0.59
- Min
- 0.09
With a P/S Ratio of 9.51, PAYX trades at a valuation that eclipses even the highest in the Staffing & Employment Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
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.
PAYX
12.84
Staffing & Employment Services Industry
- Max
- 21.09
- Q3
- 12.56
- Median
- 3.17
- Q1
- 1.96
- Min
- 0.33
The P/B Ratio is often not a primary valuation metric for the Staffing & Employment Services industry.
Valuation at a Glance
| Symbol | AER | PAYX |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 9.85 | 31.99 |
| Forward PEG Ratio (TTM) | 1.33 | 3.98 |
| Price-to-Sales Ratio (P/S, TTM) | 2.56 | 9.51 |
| Price-to-Book Ratio (P/B, TTM) | 1.22 | 12.84 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -9.80 | 29.93 |
| EV-to-EBITDA (TTM) | 12.54 | 21.75 |
| EV-to-Sales (TTM) | 8.22 | 9.30 |