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AVAV vs. CTAS: A Head-to-Head Stock Comparison

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

Company Overview

CTAS’s market capitalization of 88.57 billion USD is significantly greater than AVAV’s 11.24 billion USD, highlighting its more substantial market valuation.

With betas of 0.81 for AVAV and 1.06 for CTAS, both stocks show similar sensitivity to overall market movements.

SymbolAVAVCTAS
Company NameAeroVironment, Inc.Cintas Corporation
CountryUSUS
SectorIndustrialsIndustrials
IndustryAerospace & DefenseSpecialty Business Services
CEOWahid NawabiTodd M. Schneider
Price246.23 USD219.36 USD
Market Cap11.24 billion USD88.57 billion USD
Beta0.811.06
ExchangeNASDAQNASDAQ
IPO DateJanuary 23, 2007August 19, 1983
ADRNoNo

Historical Performance

This chart compares the performance of AVAV and CTAS 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.

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

Profitability

Return on Equity

AVAV

5.06%

Aerospace & Defense Industry

Max
42.57%
Q3
16.67%
Median
8.39%
Q1
-0.77%
Min
-23.36%

AVAV’s Return on Equity of 5.06% is on par with the norm for the Aerospace & Defense industry, indicating its profitability relative to shareholder equity is typical for the sector.

CTAS

41.30%

Specialty Business Services Industry

Max
30.24%
Q3
17.20%
Median
7.32%
Q1
4.37%
Min
-13.44%

CTAS’s Return on Equity of 41.30% is exceptionally high, placing it well beyond the typical range for the Specialty Business Services industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

AVAV vs. CTAS: A comparison of their ROE against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Return on Invested Capital

AVAV

4.16%

Aerospace & Defense Industry

Max
23.42%
Q3
8.86%
Median
5.47%
Q1
-5.60%
Min
-22.46%

AVAV’s Return on Invested Capital of 4.16% is in line with the norm for the Aerospace & Defense industry, reflecting a standard level of efficiency in generating profits from its capital base.

CTAS

22.69%

Specialty Business Services Industry

Max
22.69%
Q3
10.02%
Median
5.30%
Q1
1.55%
Min
-1.58%

In the upper quartile for the Specialty Business Services industry, CTAS’s Return on Invested Capital of 22.69% signifies a highly effective use of its capital to generate profits when compared to its peers.

AVAV vs. CTAS: A comparison of their ROIC against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Net Profit Margin

AVAV

5.54%

Aerospace & Defense Industry

Max
22.67%
Q3
8.04%
Median
4.95%
Q1
-5.07%
Min
-16.58%

AVAV’s Net Profit Margin of 5.54% is aligned with the median group of its peers in the Aerospace & Defense industry. This indicates its ability to convert revenue into profit is typical for the sector.

CTAS

17.53%

Specialty Business Services Industry

Max
17.53%
Q3
11.60%
Median
5.65%
Q1
1.65%
Min
-5.21%

A Net Profit Margin of 17.53% places CTAS in the upper quartile for the Specialty Business Services industry, signifying strong profitability and more effective cost management than most of its peers.

AVAV vs. CTAS: A comparison of their Net Profit Margin against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Operating Profit Margin

AVAV

5.18%

Aerospace & Defense Industry

Max
22.01%
Q3
11.49%
Median
8.96%
Q1
3.77%
Min
-4.96%

AVAV’s Operating Profit Margin of 5.18% is around the midpoint for the Aerospace & Defense industry, indicating that its efficiency in managing core business operations is typical for the sector.

CTAS

22.77%

Specialty Business Services Industry

Max
29.40%
Q3
16.52%
Median
5.78%
Q1
1.54%
Min
-5.17%

An Operating Profit Margin of 22.77% places CTAS in the upper quartile for the Specialty Business Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

AVAV vs. CTAS: A comparison of their Operating Margin against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Profitability at a Glance

SymbolAVAVCTAS
Return on Equity (TTM)5.06%41.30%
Return on Assets (TTM)3.89%18.50%
Return on Invested Capital (TTM)4.16%22.69%
Net Profit Margin (TTM)5.54%17.53%
Operating Profit Margin (TTM)5.18%22.77%
Gross Profit Margin (TTM)40.23%49.51%

Financial Strength

Current Ratio

AVAV

3.52

Aerospace & Defense Industry

Max
5.13
Q3
3.36
Median
2.16
Q1
1.20
Min
0.41

AVAV’s Current Ratio of 3.52 is in the upper quartile for the Aerospace & Defense industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

CTAS

1.72

Specialty Business Services Industry

Max
2.21
Q3
1.84
Median
1.52
Q1
0.94
Min
0.26

CTAS’s Current Ratio of 1.72 aligns with the median group of the Specialty Business Services industry, indicating that its short-term liquidity is in line with its sector peers.

AVAV vs. CTAS: A comparison of their Current Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Debt-to-Equity Ratio

AVAV

0.04

Aerospace & Defense Industry

Max
1.20
Q3
0.73
Median
0.51
Q1
0.09
Min
0.00

Falling into the lower quartile for the Aerospace & Defense industry, AVAV’s Debt-to-Equity Ratio of 0.04 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

CTAS

0.59

Specialty Business Services Industry

Max
1.02
Q3
0.93
Median
0.62
Q1
0.22
Min
0.03

CTAS’s Debt-to-Equity Ratio of 0.59 is typical for the Specialty Business Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AVAV vs. CTAS: A comparison of their D/E Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Interest Coverage Ratio

AVAV

245.75

Aerospace & Defense Industry

Max
12.62
Q3
7.38
Median
2.95
Q1
1.68
Min
-6.68

With an Interest Coverage Ratio of 245.75, AVAV demonstrates a superior capacity to service its debt, placing it well above the typical range for the Aerospace & Defense industry. This stems from either robust earnings or a conservative debt load.

CTAS

22.84

Specialty Business Services Industry

Max
15.61
Q3
6.91
Median
3.29
Q1
0.04
Min
-8.58

With an Interest Coverage Ratio of 22.84, CTAS demonstrates a superior capacity to service its debt, placing it well above the typical range for the Specialty Business Services industry. This stems from either robust earnings or a conservative debt load.

AVAV vs. CTAS: A comparison of their Interest Coverage against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Financial Strength at a Glance

SymbolAVAVCTAS
Current Ratio (TTM)3.521.72
Quick Ratio (TTM)2.691.50
Debt-to-Equity Ratio (TTM)0.040.59
Debt-to-Asset Ratio (TTM)0.030.28
Net Debt-to-EBITDA Ratio (TTM)-0.110.86
Interest Coverage Ratio (TTM)245.7522.84

Growth

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

Revenue Growth

AVAV vs. CTAS: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

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

Free Cash Flow Growth

AVAV vs. CTAS: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AVAV

0.00%

Aerospace & Defense Industry

Max
6.00%
Q3
0.66%
Median
0.00%
Q1
0.00%
Min
0.00%

AVAV 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.

CTAS

0.98%

Specialty Business Services Industry

Max
4.40%
Q3
1.37%
Median
0.74%
Q1
0.00%
Min
0.00%

CTAS’s Dividend Yield of 0.98% is consistent with its peers in the Specialty Business Services industry, providing a dividend return that is standard for its sector.

AVAV vs. CTAS: A comparison of their Dividend Yield against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Dividend Payout Ratio

AVAV

0.00%

Aerospace & Defense Industry

Max
172.02%
Q3
32.47%
Median
0.00%
Q1
0.00%
Min
0.00%

AVAV 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.

CTAS

33.25%

Specialty Business Services Industry

Max
79.38%
Q3
51.62%
Median
23.75%
Q1
1.08%
Min
0.00%

CTAS’s Dividend Payout Ratio of 33.25% is within the typical range for the Specialty Business Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

AVAV vs. CTAS: A comparison of their Payout Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Dividend at a Glance

SymbolAVAVCTAS
Dividend Yield (TTM)0.00%0.98%
Dividend Payout Ratio (TTM)0.00%33.25%

Valuation

Price-to-Earnings Ratio

AVAV

158.45

Aerospace & Defense Industry

Max
75.34
Q3
54.40
Median
38.63
Q1
26.10
Min
16.44

At 158.45, AVAV’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Aerospace & Defense industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

CTAS

49.81

Specialty Business Services Industry

Max
52.23
Q3
42.83
Median
32.04
Q1
16.00
Min
2.24

A P/E Ratio of 49.81 places CTAS in the upper quartile for the Specialty Business Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

AVAV vs. CTAS: A comparison of their P/E Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Forward P/E to Growth Ratio

AVAV

4.65

Aerospace & Defense Industry

Max
10.68
Q3
5.36
Median
2.31
Q1
1.47
Min
0.01

AVAV’s Forward PEG Ratio of 4.65 is within the middle range of its peers in the Aerospace & Defense industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

CTAS

4.88

Specialty Business Services Industry

Max
4.93
Q3
3.34
Median
2.19
Q1
0.14
Min
0.06

A Forward PEG Ratio of 4.88 places CTAS in the upper quartile for the Specialty Business Services industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.

AVAV vs. CTAS: A comparison of their Forward PEG Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Price-to-Sales Ratio

AVAV

14.27

Aerospace & Defense Industry

Max
19.34
Q3
9.54
Median
2.71
Q1
1.59
Min
0.35

AVAV’s P/S Ratio of 14.27 is in the upper echelon for the Aerospace & Defense 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.

CTAS

8.65

Specialty Business Services Industry

Max
6.26
Q3
3.60
Median
1.90
Q1
0.73
Min
0.34

With a P/S Ratio of 8.65, CTAS trades at a valuation that eclipses even the highest in the Specialty Business Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

AVAV vs. CTAS: A comparison of their P/S Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Price-to-Book Ratio

AVAV

7.80

Aerospace & Defense Industry

Max
16.08
Q3
8.12
Median
4.12
Q1
2.69
Min
0.69

AVAV’s P/B Ratio of 7.80 is within the conventional range for the Aerospace & Defense 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.

CTAS

19.29

Specialty Business Services Industry

Max
3.69
Q3
3.69
Median
2.13
Q1
1.55
Min
0.59

The P/B Ratio is often not a primary valuation metric for the Specialty Business Services industry.

AVAV vs. CTAS: A comparison of their P/B Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Valuation at a Glance

SymbolAVAVCTAS
Price-to-Earnings Ratio (P/E, TTM)158.4549.81
Forward PEG Ratio (TTM)4.654.88
Price-to-Sales Ratio (P/S, TTM)14.278.65
Price-to-Book Ratio (P/B, TTM)7.8019.29
Price-to-Free Cash Flow Ratio (P/FCF, TTM)-821.1548.05
EV-to-EBITDA (TTM)188.2231.82
EV-to-Sales (TTM)14.268.90