AERCAP HOLDINGS NV (AER)
NL0000687663 - Common Stock
Overall AER gets a fundamental rating of 4 out of 10. We evaluated AER against 51 industry peers in the Trading Companies & Distributors industry. While AER is still in line with the averages on profitability rating, there are concerns on its financial health. AER is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year AER was profitable.
In the past year AER had a positive cash flow from operations.
In multiple years AER reported negative net income over the last 5 years.
In the past 5 years AER always reported a positive cash flow from operatings.
1.2 Ratios
AER has a Return On Assets (4.65%) which is in line with its industry peers.
AER has a Return On Equity of 19.51%. This is in the better half of the industry: AER outperforms 60.78% of its industry peers.
AER has a Return On Invested Capital of 4.92%. This is in the lower half of the industry: AER underperforms 68.63% of its industry peers.
AER had an Average Return On Invested Capital over the past 3 years of 4.22%. This is significantly below the industry average of 11.26%.
The last Return On Invested Capital (4.92%) for AER is above the 3 year average (4.22%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.65% | ||
| ROE | 19.51% | ||
| ROIC | 4.92% |
ROA(3y)1.57%
ROA(5y)1.32%
ROE(3y)6.81%
ROE(5y)5.87%
ROIC(3y)4.22%
ROIC(5y)4.72%
1.3 Margins
AER has a better Profit Margin (46.06%) than 100.00% of its industry peers.
In the last couple of years the Profit Margin of AER has grown nicely.
AER has a Operating Margin of 49.11%. This is amongst the best in the industry. AER outperforms 98.04% of its industry peers.
AER's Operating Margin has been stable in the last couple of years.
AER has a Gross Margin of 90.55%. This is amongst the best in the industry. AER outperforms 98.04% of its industry peers.
In the last couple of years the Gross Margin of AER has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 49.11% | ||
| PM (TTM) | 46.06% | ||
| GM | 90.55% |
OM growth 3Y-2.09%
OM growth 5Y0.28%
PM growth 3YN/A
PM growth 5Y14.9%
GM growth 3Y-1.61%
GM growth 5Y-0.21%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so AER is still creating some value.
AER has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, AER has more shares outstanding
AER has a better debt/assets ratio than last year.
2.2 Solvency
AER has an Altman-Z score of 0.69. This is a bad value and indicates that AER is not financially healthy and even has some risk of bankruptcy.
AER has a worse Altman-Z score (0.69) than 90.20% of its industry peers.
AER has a Debt/Equity ratio of 2.70. This is a high value indicating a heavy dependency on external financing.
AER has a worse Debt to Equity ratio (2.70) than 76.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.7 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.69 |
ROIC/WACC1.03
WACC4.76%
2.3 Liquidity
AER has a Current Ratio of 0.96. This is a bad value and indicates that AER is not financially healthy enough and could expect problems in meeting its short term obligations.
AER has a Current ratio of 0.96. This is amonst the worse of the industry: AER underperforms 92.16% of its industry peers.
A Quick Ratio of 0.96 indicates that AER may have some problems paying its short term obligations.
AER has a Quick ratio of 0.96. This is in the lower half of the industry: AER underperforms 64.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
AER shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 51.54%, which is quite impressive.
Measured over the past years, AER shows a quite strong growth in Earnings Per Share. The EPS has been growing by 13.48% on average per year.
Looking at the last year, AER shows a small growth in Revenue. The Revenue has grown by 6.20% in the last year.
Measured over the past years, AER shows a quite strong growth in Revenue. The Revenue has been growing by 9.05% on average per year.
EPS 1Y (TTM)51.54%
EPS 3YN/A
EPS 5Y13.48%
EPS growth Q2Q40.6%
Revenue 1Y (TTM)6.2%
Revenue growth 3Y17.21%
Revenue growth 5Y9.05%
Revenue growth Q2Q8.17%
3.2 Future
The Earnings Per Share is expected to decrease by -3.87% on average over the next years.
AER is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.22% yearly.
EPS Next Y-21.9%
EPS Next 2Y-8.08%
EPS Next 3Y-3.87%
EPS Next 5YN/A
Revenue Next Year0.57%
Revenue Next 2Y1.88%
Revenue Next 3Y1.22%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
AER is valuated cheaply with a Price/Earnings ratio of 6.62.
Based on the Price/Earnings ratio, AER is valued cheaper than 98.04% of the companies in the same industry.
AER is valuated cheaply when we compare the Price/Earnings ratio to 28.60, which is the current average of the S&P500 Index.
AER is valuated reasonably with a Price/Forward Earnings ratio of 8.41.
AER's Price/Forward Earnings ratio is rather cheap when compared to the industry. AER is cheaper than 86.27% of the companies in the same industry.
AER's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 20.15.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.62 | ||
| Fwd PE | 8.41 |
4.2 Price Multiples
AER's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.38 |
4.3 Compensation for Growth
The decent profitability rating of AER may justify a higher PE ratio.
AER's earnings are expected to decrease with -3.87% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.49
EPS Next 2Y-8.08%
EPS Next 3Y-3.87%
5. Dividend
5.1 Amount
AER has a Yearly Dividend Yield of 1.10%. Purely for dividend investing, there may be better candidates out there.
AER's Dividend Yield is a higher than the industry average which is at 1.72.
With a Dividend Yield of 1.10, AER pays less dividend than the S&P500 average, which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.1% |
5.2 History
AER is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y-8.08%
EPS Next 3Y-3.87%
AERCAP HOLDINGS NV
NYSE:AER (5/17/2024, 7:04:00 PM)
After market: 91.48 0 (0%)91.48
+0.81 (+0.89%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap18.14B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.1% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.62 | ||
| Fwd PE | 8.41 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.65% | ||
| ROE | 19.51% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 49.11% | ||
| PM (TTM) | 46.06% | ||
| GM | 90.55% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.7 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)51.54%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-21.9%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)6.2%
Revenue growth 3Y17.21%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y