AVAV vs. ZTO: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AVAV and ZTO, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AVAV’s market capitalization stands at 11.24 billion USD, while ZTO’s is 14.52 billion USD, indicating their market valuations are broadly comparable.
AVAV has a positive beta (0.81), indicating it generally moves with the broader market, whereas ZTO has a negative beta (-0.17), often moving inversely, which can offer diversification or hedging benefits.
ZTO is an American Depositary Receipt (ADR), allowing U.S. investors direct exposure to its non-U.S. operations. AVAV, on the other hand, is a domestic entity.
| Symbol | AVAV | ZTO |
|---|---|---|
| Company Name | AeroVironment, Inc. | ZTO Express (Cayman) Inc. |
| Country | US | CN |
| Sector | Industrials | Industrials |
| Industry | Aerospace & Defense | Integrated Freight & Logistics |
| CEO | Wahid Nawabi | Meisong Lai |
| Price | 246.23 USD | 18.05 USD |
| Market Cap | 11.24 billion USD | 14.52 billion USD |
| Beta | 0.81 | -0.17 |
| Exchange | NASDAQ | NYSE |
| IPO Date | January 23, 2007 | October 27, 2016 |
| ADR | No | Yes |
Historical Performance
This chart compares the performance of AVAV and ZTO 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
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.
ZTO
15.30%
Integrated Freight & Logistics Industry
- Max
- 37.37%
- Q3
- 30.76%
- Median
- 15.30%
- Q1
- 6.33%
- Min
- -26.64%
ZTO’s Return on Equity of 15.30% is on par with the norm for the Integrated Freight & Logistics industry, indicating its profitability relative to shareholder equity is typical for the sector.
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.
ZTO
11.37%
Integrated Freight & Logistics Industry
- Max
- 17.03%
- Q3
- 12.11%
- Median
- 8.38%
- Q1
- 2.55%
- Min
- 0.79%
ZTO’s Return on Invested Capital of 11.37% is in line with the norm for the Integrated Freight & Logistics industry, reflecting a standard level of efficiency in generating profits from its capital base.
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.
ZTO
20.76%
Integrated Freight & Logistics Industry
- Max
- 7.64%
- Q3
- 4.86%
- Median
- 3.72%
- Q1
- 0.61%
- Min
- 0.61%
ZTO’s Net Profit Margin of 20.76% is exceptionally high, placing it well beyond the typical range for the Integrated Freight & Logistics industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.
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.
ZTO
26.35%
Integrated Freight & Logistics Industry
- Max
- 11.80%
- Q3
- 9.36%
- Median
- 5.93%
- Q1
- 3.63%
- Min
- 0.83%
ZTO’s Operating Profit Margin of 26.35% is exceptionally high, placing it well above the typical range for the Integrated Freight & Logistics 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 | AVAV | ZTO |
|---|---|---|
| Return on Equity (TTM) | 5.06% | 15.30% |
| Return on Assets (TTM) | 3.89% | 10.07% |
| Return on Invested Capital (TTM) | 4.16% | 11.37% |
| Net Profit Margin (TTM) | 5.54% | 20.76% |
| Operating Profit Margin (TTM) | 5.18% | 26.35% |
| Gross Profit Margin (TTM) | 40.23% | 29.65% |
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.
ZTO
1.05
Integrated Freight & Logistics Industry
- Max
- 1.83
- Q3
- 1.36
- Median
- 1.13
- Q1
- 1.02
- Min
- 0.78
ZTO’s Current Ratio of 1.05 aligns with the median group of the Integrated Freight & Logistics industry, indicating that its short-term liquidity is in line with its sector peers.
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.
ZTO
0.27
Integrated Freight & Logistics Industry
- Max
- 2.51
- Q3
- 1.69
- Median
- 0.45
- Q1
- 0.24
- Min
- 0.16
ZTO’s Debt-to-Equity Ratio of 0.27 is typical for the Integrated Freight & Logistics 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
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.
ZTO
36.90
Integrated Freight & Logistics Industry
- Max
- 19.14
- Q3
- 12.59
- Median
- 6.24
- Q1
- 1.76
- Min
- 0.11
With an Interest Coverage Ratio of 36.90, ZTO demonstrates a superior capacity to service its debt, placing it well above the typical range for the Integrated Freight & Logistics industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | AVAV | ZTO |
|---|---|---|
| Current Ratio (TTM) | 3.52 | 1.05 |
| Quick Ratio (TTM) | 2.69 | 1.05 |
| Debt-to-Equity Ratio (TTM) | 0.04 | 0.27 |
| Debt-to-Asset Ratio (TTM) | 0.03 | 0.18 |
| Net Debt-to-EBITDA Ratio (TTM) | -0.11 | 0.37 |
| Interest Coverage Ratio (TTM) | 245.75 | 36.90 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AVAV and ZTO. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
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.
ZTO
3.87%
Integrated Freight & Logistics Industry
- Max
- 6.46%
- Q3
- 2.50%
- Median
- 1.47%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 3.87%, ZTO offers a more attractive income stream than most of its peers in the Integrated Freight & Logistics industry, signaling a strong commitment to shareholder returns.
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.
ZTO
38.37%
Integrated Freight & Logistics Industry
- Max
- 92.20%
- Q3
- 43.42%
- Median
- 30.12%
- Q1
- 0.00%
- Min
- 0.00%
ZTO’s Dividend Payout Ratio of 38.37% is within the typical range for the Integrated Freight & Logistics industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | AVAV | ZTO |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 3.87% |
| Dividend Payout Ratio (TTM) | 0.00% | 38.37% |
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.
ZTO
10.91
Integrated Freight & Logistics Industry
- Max
- 38.34
- Q3
- 27.03
- Median
- 21.39
- Q1
- 15.71
- Min
- 10.86
In the lower quartile for the Integrated Freight & Logistics industry, ZTO’s P/E Ratio of 10.91 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
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.
ZTO
0.89
Integrated Freight & Logistics Industry
- Max
- 2.14
- Q3
- 1.72
- Median
- 1.10
- Q1
- 0.87
- Min
- 0.01
The Forward PEG Ratio is often not a primary valuation metric in the Integrated Freight & Logistics industry.
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.
ZTO
2.23
Integrated Freight & Logistics Industry
- Max
- 2.22
- Q3
- 1.42
- Median
- 0.94
- Q1
- 0.62
- Min
- 0.30
With a P/S Ratio of 2.23, ZTO trades at a valuation that eclipses even the highest in the Integrated Freight & Logistics industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
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.
ZTO
1.64
Integrated Freight & Logistics Industry
- Max
- 9.09
- Q3
- 5.80
- Median
- 3.47
- Q1
- 1.54
- Min
- 0.57
ZTO’s P/B Ratio of 1.64 is within the conventional range for the Integrated Freight & Logistics 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.
Valuation at a Glance
| Symbol | AVAV | ZTO |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 158.45 | 10.91 |
| Forward PEG Ratio (TTM) | 4.65 | 0.89 |
| Price-to-Sales Ratio (P/S, TTM) | 14.27 | 2.23 |
| Price-to-Book Ratio (P/B, TTM) | 7.80 | 1.64 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -821.15 | 11.05 |
| EV-to-EBITDA (TTM) | 188.22 | 8.39 |
| EV-to-Sales (TTM) | 14.26 | 2.33 |