AerCap Holdings NV (AER)vsHowmet Aerospace Inc (HWM)
AER
AerCap Holdings NV
$136.94
+0.37%
INDUSTRIALS · Cap: $22.08B
HWM
Howmet Aerospace Inc
$250.72
-1.88%
INDUSTRIALS · Cap: $100.31B
Smart Verdict
WallStSmart Research — data-driven comparison
AerCap Holdings NV generates 1% more annual revenue ($8.68B vs $8.62B). AER leads profitability with a 45.2% profit margin vs 20.2%. HWM appears more attractively valued with a PEG of 0.80. AER earns a higher WallStSmart Score of 85/100 (A-).
AER
Exceptional Buy85
out of 100
Grade: A-
HWM
Strong Buy73
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-65.4%
Fair Value
$89.62
Current Price
$136.94
$47.32 premium
Intrinsic value data unavailable for HWM.
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
Every $100 of equity generates 32 in profit
Earnings expanding 71.4% YoY
Large-cap with strong market position
Keeps 20 of every $100 in revenue as profit
Growing faster than its price suggests
Strong operational efficiency at 28.2%
Areas to Watch
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Trading at 18.2x book value
Premium valuation, high expectations priced in
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 : HWM
The strongest argument for HWM centers on Return on Equity, EPS Growth, Market Cap. Profitability is solid with margins at 20.2% and operating margin at 28.2%. Revenue growth of 19.1% demonstrates continued momentum.
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 : HWM
The primary concerns for HWM are Price/Book, P/E Ratio. A P/E of 58.2x leaves little room for execution misses.
Key Dynamics to Monitor
AER profiles as a mature stock while HWM is a growth play — different risk/reward profiles.
HWM carries more volatility with a beta of 1.19 — expect wider price swings.
HWM is growing revenue faster at 19.1% — sustainability is the question.
HWM generates stronger free cash flow (359M), providing more financial flexibility.
Bottom Line
AER scores higher overall (85/100 vs 73/100), backed by strong 45.2% margins. Both earn "Exceptional 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.
Howmet Aerospace Inc
INDUSTRIALS · AEROSPACE & DEFENSE · USA
Howmet Aerospace Inc. is an American aerospace company based in Pittsburgh, Pennsylvania. The company manufactures components for jet engines, fasteners and titanium structures for aerospace applications, and forged aluminum wheels for heavy trucks.
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