WallStSmart

AerCap Holdings NV (AER)vsUnited Rentals Inc (URI)

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Smart Verdict

WallStSmart Research — data-driven comparison

United Rentals Inc generates 93% more annual revenue ($17.50B vs $9.07B). AER leads profitability with a 34.5% profit margin vs 16.3%. AER appears more attractively valued with a PEG of 0.80. URI earns a higher WallStSmart Score of 72/100 (B).

AER

Strong Buy

71

out of 100

Grade: B

Growth: 4.0Profit: 8.5Value: 6.7Quality: 3.5
Piotroski: 6/9Altman Z: 0.88

URI

Strong Buy

72

out of 100

Grade: B

Growth: 8.7Profit: 9.0Value: 5.7Quality: 4.0
Piotroski: 2/9Altman Z: 1.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AERSignificantly Overvalued (-50.1%)

Margin of Safety

-50.1%

Fair Value

$98.76

Current Price

$169.64

$70.88 premium

UndervaluedFair: $98.76Overvalued

Intrinsic value data unavailable for URI.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AER5 strengths · Avg: 9.6/10
P/E RatioValuation
8.2x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
34.5%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
62.5%10/10

Strong operational efficiency at 62.5%

PEG RatioValuation
0.808/10

Growing faster than its price suggests

URI5 strengths · Avg: 8.4/10
Market CapQuality
$72.45B9/10

Large-cap with strong market position

Return on EquityProfitability
29.5%9/10

Every $100 of equity generates 29 in profit

Operating MarginProfitability
29.2%8/10

Strong operational efficiency at 29.2%

Revenue GrowthGrowth
15.7%8/10

15.7% revenue growth

EPS GrowthGrowth
35.4%8/10

Earnings expanding 35.4% YoY

Areas to Watch

AER4 concerns · Avg: 2.3/10
Revenue GrowthGrowth
4.6%4/10

4.6% revenue growth

EPS GrowthGrowth
-11.6%2/10

Earnings declined 11.6%

Altman Z-ScoreHealth
0.882/10

Distress zone — elevated risk

Debt/EquityHealth
2.321/10

Elevated debt levels

URI4 concerns · Avg: 3.5/10
P/E RatioValuation
25.8x4/10

Moderate valuation

Altman Z-ScoreHealth
1.984/10

Grey zone — moderate risk

Debt/EquityHealth
1.643/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : AER

The strongest argument for AER centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 34.5% and operating margin at 62.5%. PEG of 0.80 suggests the stock is reasonably priced for its growth.

Bull Case : URI

The strongest argument for URI centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 16.3% and operating margin at 29.2%. Revenue growth of 15.7% demonstrates continued momentum.

Bear Case : AER

The primary concerns for AER are Revenue Growth, EPS Growth, Altman Z-Score. Debt-to-equity of 2.32 is elevated, increasing financial risk.

Bear Case : URI

The primary concerns for URI are P/E Ratio, Altman Z-Score, Debt/Equity. Debt-to-equity of 1.64 is elevated, increasing financial risk.

Key Dynamics to Monitor

AER profiles as a value stock while URI is a growth play — different risk/reward profiles.

URI carries more volatility with a beta of 1.83 — expect wider price swings.

URI is growing revenue faster at 15.7% — sustainability is the question.

AER generates stronger free cash flow (47M), providing more financial flexibility.

Bottom Line

URI scores higher overall (72/100 vs 71/100), backed by strong 16.3% margins and 15.7% revenue growth. Both earn "Strong Buy" and "Strong 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.

United Rentals Inc

INDUSTRIALS · RENTAL & LEASING SERVICES · USA

United Rentals, Inc. (NYSE: URI) is the world's largest equipment rental company, with about 13 percent of the North American market share as of 2019.

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