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

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

Company Overview

XYL’s market capitalization of 32.19 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 1.12 for XYL, both stocks show similar sensitivity to overall market movements.

SymbolAVAVXYL
Company NameAeroVironment, Inc.Xylem Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryAerospace & DefenseIndustrial - Machinery
CEOWahid NawabiMatthew Francis Pine
Price246.23 USD132.28 USD
Market Cap11.24 billion USD32.19 billion USD
Beta0.811.12
ExchangeNASDAQNYSE
IPO DateJanuary 23, 2007October 13, 2011
ADRNoNo

Historical Performance

This chart compares the performance of AVAV and XYL 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. XYL: 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.

XYL

8.55%

Industrial - Machinery Industry

Max
36.51%
Q3
18.65%
Median
12.08%
Q1
4.75%
Min
-15.57%

XYL’s Return on Equity of 8.55% is on par with the norm for the Industrial - Machinery industry, indicating its profitability relative to shareholder equity is typical for the sector.

AVAV vs. XYL: A comparison of their ROE against their respective Aerospace & Defense and Industrial - Machinery 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.

XYL

5.90%

Industrial - Machinery Industry

Max
22.35%
Q3
12.64%
Median
9.33%
Q1
5.32%
Min
-5.42%

XYL’s Return on Invested Capital of 5.90% is in line with the norm for the Industrial - Machinery industry, reflecting a standard level of efficiency in generating profits from its capital base.

AVAV vs. XYL: A comparison of their ROIC against their respective Aerospace & Defense and Industrial - Machinery 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.

XYL

10.54%

Industrial - Machinery Industry

Max
28.85%
Q3
15.25%
Median
10.02%
Q1
5.33%
Min
-8.75%

XYL’s Net Profit Margin of 10.54% is aligned with the median group of its peers in the Industrial - Machinery industry. This indicates its ability to convert revenue into profit is typical for the sector.

AVAV vs. XYL: A comparison of their Net Profit Margin against their respective Aerospace & Defense and Industrial - Machinery 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.

XYL

12.25%

Industrial - Machinery Industry

Max
28.19%
Q3
19.04%
Median
14.62%
Q1
8.13%
Min
-5.76%

XYL’s Operating Profit Margin of 12.25% is around the midpoint for the Industrial - Machinery industry, indicating that its efficiency in managing core business operations is typical for the sector.

AVAV vs. XYL: A comparison of their Operating Margin against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Profitability at a Glance

SymbolAVAVXYL
Return on Equity (TTM)5.06%8.55%
Return on Assets (TTM)3.89%5.47%
Return on Invested Capital (TTM)4.16%5.90%
Net Profit Margin (TTM)5.54%10.54%
Operating Profit Margin (TTM)5.18%12.25%
Gross Profit Margin (TTM)40.23%37.54%

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.

XYL

1.89

Industrial - Machinery Industry

Max
4.18
Q3
2.75
Median
2.07
Q1
1.46
Min
0.46

XYL’s Current Ratio of 1.89 aligns with the median group of the Industrial - Machinery industry, indicating that its short-term liquidity is in line with its sector peers.

AVAV vs. XYL: A comparison of their Current Ratio against their respective Aerospace & Defense and Industrial - Machinery 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.

XYL

0.20

Industrial - Machinery Industry

Max
1.46
Q3
0.73
Median
0.48
Q1
0.17
Min
0.00

XYL’s Debt-to-Equity Ratio of 0.20 is typical for the Industrial - Machinery industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AVAV vs. XYL: A comparison of their D/E Ratio against their respective Aerospace & Defense and Industrial - Machinery 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.

XYL

36.31

Industrial - Machinery Industry

Max
28.91
Q3
14.99
Median
9.11
Q1
3.95
Min
-11.30

With an Interest Coverage Ratio of 36.31, XYL 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.

AVAV vs. XYL: A comparison of their Interest Coverage against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Financial Strength at a Glance

SymbolAVAVXYL
Current Ratio (TTM)3.521.89
Quick Ratio (TTM)2.691.41
Debt-to-Equity Ratio (TTM)0.040.20
Debt-to-Asset Ratio (TTM)0.030.13
Net Debt-to-EBITDA Ratio (TTM)-0.110.62
Interest Coverage Ratio (TTM)245.7536.31

Growth

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

Revenue Growth

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

Earnings Per Share (EPS) Growth

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

Free Cash Flow Growth

AVAV vs. XYL: 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.

XYL

1.15%

Industrial - Machinery Industry

Max
4.40%
Q3
1.47%
Median
0.74%
Q1
0.00%
Min
0.00%

XYL’s Dividend Yield of 1.15% is consistent with its peers in the Industrial - Machinery industry, providing a dividend return that is standard for its sector.

AVAV vs. XYL: A comparison of their Dividend Yield against their respective Aerospace & Defense and Industrial - Machinery 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.

XYL

39.74%

Industrial - Machinery Industry

Max
78.48%
Q3
36.22%
Median
20.24%
Q1
0.00%
Min
0.00%

XYL’s Dividend Payout Ratio of 39.74% is in the upper quartile for the Industrial - Machinery 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.

AVAV vs. XYL: A comparison of their Payout Ratio against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Dividend at a Glance

SymbolAVAVXYL
Dividend Yield (TTM)0.00%1.15%
Dividend Payout Ratio (TTM)0.00%39.74%

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.

XYL

35.49

Industrial - Machinery Industry

Max
47.62
Q3
34.41
Median
27.36
Q1
21.62
Min
10.96

A P/E Ratio of 35.49 places XYL in the upper quartile for the Industrial - Machinery industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

AVAV vs. XYL: A comparison of their P/E Ratio against their respective Aerospace & Defense and Industrial - Machinery 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.

XYL

2.82

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.

AVAV vs. XYL: A comparison of their Forward PEG Ratio against their respective Aerospace & Defense and Industrial - Machinery 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.

XYL

3.74

Industrial - Machinery Industry

Max
8.37
Q3
4.59
Median
3.34
Q1
1.83
Min
0.32

XYL’s P/S Ratio of 3.74 aligns with the market consensus for the Industrial - Machinery industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

AVAV vs. XYL: A comparison of their P/S Ratio against their respective Aerospace & Defense and Industrial - Machinery 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.

XYL

2.97

Industrial - Machinery Industry

Max
7.49
Q3
5.01
Median
3.41
Q1
2.45
Min
0.01

XYL’s P/B Ratio of 2.97 is within the conventional range for the Industrial - Machinery 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.

AVAV vs. XYL: A comparison of their P/B Ratio against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Valuation at a Glance

SymbolAVAVXYL
Price-to-Earnings Ratio (P/E, TTM)158.4535.49
Forward PEG Ratio (TTM)4.652.82
Price-to-Sales Ratio (P/S, TTM)14.273.74
Price-to-Book Ratio (P/B, TTM)7.802.97
Price-to-Free Cash Flow Ratio (P/FCF, TTM)-821.1536.21
EV-to-EBITDA (TTM)188.2219.01
EV-to-Sales (TTM)14.263.87