AerCap vs Watsco
Add, change or remove companies; up to four.
KIRA’s take AI analyst
I put AerCap and Watsco side by side, using each one’s latest annual report. Here is what stands out:
- AerCap is the larger business, with $8.5B of revenue in fiscal 2025 against $7.2B for Watsco.
- AerCap grew revenue faster (6.5%, against −5.0%).
- Watsco earned a higher return on the capital invested in it (20.1%, against 8.5%).
Who comes out ahead
Of the 7 measures where higher (or lower) is clearly better, how many each company leads.
AerCap
AER
5/7
Revenue growth5-year growthNet marginReturn on equityShare count change
Watsco
WSO
2/7
Return on capitalNet debt / EBITDA
Side by side
Best in the row
| Latest fiscal year | AER FY25 | WSO FY25 |
|---|---|---|
| Size | ||
| Market cap | $26.0B | $11.7B |
| Revenue | $8.5B | $7.2B |
| Free cash flow | — | $535M |
| Net income | $3.8B | $497M |
| Growth | ||
| Revenue growth | 6.5% | −5.0% |
| 5-year growth | 13.6% | 7.5% |
| Share count change | −9.5% | 1.0% |
| Profitability | ||
| Gross margin | — | 28.1% |
| Operating margin | — | 10.0% |
| Net margin | 44.0% | 6.9% |
| FCF margin | — | 7.4% |
| Return on capital | 8.5% | 20.1% |
| Return on equity | 21.1% | 18.3% |
| Balance sheet | ||
| Net debt | $42.3B | −$255M |
| Net debt / EBITDA | 4.9x | −0.3x |
| Dividends and buybacks | $192M | $474M |
| Valuation & quality | ||
| P/E | — | 26.3x |
| Piotroski F-score | — | 6 |
Ten years
Revenue
Operating margin
Free cash flow
Return on capital
Each company's latest fiscal year; fiscal years end in different months. The best value in each row is highlighted where higher (or lower) is clearly better. Not investment advice.