AerCap Holdings NV (AER)vsAvis Budget Group Inc (CAR)
AER
AerCap Holdings NV
$136.94
+0.37%
INDUSTRIALS · Cap: $22.08B
CAR
Avis Budget Group Inc
$176.79
-0.01%
INDUSTRIALS · Cap: $6.61B
Smart Verdict
WallStSmart Research — data-driven comparison
Avis Budget Group Inc generates 35% more annual revenue ($11.75B vs $8.68B). AER leads profitability with a 45.2% profit margin vs -5.7%. CAR appears more attractively valued with a PEG of 0.17. AER earns a higher WallStSmart Score of 85/100 (A-).
AER
Exceptional Buy85
out of 100
Grade: A-
CAR
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-65.4%
Fair Value
$89.62
Current Price
$136.94
$47.32 premium
Margin of Safety
-87.2%
Fair Value
$61.90
Current Price
$176.79
$114.89 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 45 of every $100 in revenue as profit
Strong operational efficiency at 60.9%
Every $100 of equity generates 21 in profit
Growing faster than its price suggests
Growing faster than its price suggests
Earnings expanding 52.0% YoY
Conservative balance sheet, low leverage
Areas to Watch
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
4.1% revenue growth
Operating margin of 1.8%
Weak financial health signals
ROE of -273.1% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull Case : AER
The strongest argument for AER centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 45.2% and operating margin at 60.9%. PEG of 0.80 suggests the stock is reasonably priced for its growth.
Bull Case : CAR
The strongest argument for CAR centers on PEG Ratio, EPS Growth, Debt/Equity. PEG of 0.17 suggests the stock is reasonably priced for its growth.
Bear Case : AER
The primary concerns for AER are Free Cash Flow, Altman Z-Score, Debt/Equity. Debt-to-equity of 2.34 is elevated, increasing financial risk.
Bear Case : CAR
The primary concerns for CAR are Revenue Growth, Operating Margin, Piotroski F-Score.
Key Dynamics to Monitor
AER profiles as a mature stock while CAR is a turnaround play — different risk/reward profiles.
CAR carries more volatility with a beta of 1.87 — expect wider price swings.
AER is growing revenue faster at 7.9% — sustainability is the question.
AER generates stronger free cash flow (-70M), providing more financial flexibility.
Bottom Line
AER scores higher overall (85/100 vs 51/100), backed by strong 45.2% margins. Both earn "Exceptional Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
AerCap Holdings NV
INDUSTRIALS · RENTAL & LEASING SERVICES · USA
AerCap Holdings NV is engaged in the leasing, financing, sale and management of commercial aircraft and engines in mainland China, Hong Kong, Macau, the United States, Ireland and internationally. The company is headquartered in Dublin, Ireland.
Avis Budget Group Inc
INDUSTRIALS · RENTAL & LEASING SERVICES · USA
Avis Budget Group, Inc., offers car and truck rental, car sharing and ancillary services to businesses and consumers. The company is headquartered in Parsippany, New Jersey.
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