AIR vs. AVAV, HXL, SPR, KTOS, TGI, ATRO, NPK, SYPR, LMT, and HON
Should you be buying AAR stock or one of its competitors? The main competitors of AAR include AeroVironment (AVAV), Hexcel (HXL), Spirit AeroSystems (SPR), Kratos Defense & Security Solutions (KTOS), Triumph Group (TGI), Astronics (ATRO), National Presto Industries (NPK), Sypris Solutions (SYPR), Lockheed Martin (LMT), and Honeywell International (HON). These companies are all part of the "aerospace & defense" industry.
AAR (NYSE:AIR) and AeroVironment (NASDAQ:AVAV) are both mid-cap aerospace companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, analyst recommendations, community ranking, valuation, media sentiment, institutional ownership, risk, earnings and dividends.
AeroVironment has lower revenue, but higher earnings than AAR. AAR is trading at a lower price-to-earnings ratio than AeroVironment, indicating that it is currently the more affordable of the two stocks.
AeroVironment has a net margin of 8.32% compared to AAR's net margin of 2.00%. AeroVironment's return on equity of 10.89% beat AAR's return on equity.
90.7% of AAR shares are owned by institutional investors. Comparatively, 86.4% of AeroVironment shares are owned by institutional investors. 4.3% of AAR shares are owned by insiders. Comparatively, 1.4% of AeroVironment shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
AAR presently has a consensus target price of $83.50, indicating a potential upside of 30.63%. AeroVironment has a consensus target price of $210.20, indicating a potential upside of 17.12%. Given AAR's higher probable upside, research analysts plainly believe AAR is more favorable than AeroVironment.
AAR has a beta of 1.55, meaning that its share price is 55% more volatile than the S&P 500. Comparatively, AeroVironment has a beta of 0.5, meaning that its share price is 50% less volatile than the S&P 500.
In the previous week, AeroVironment had 27 more articles in the media than AAR. MarketBeat recorded 30 mentions for AeroVironment and 3 mentions for AAR. AAR's average media sentiment score of 1.06 beat AeroVironment's score of 0.57 indicating that AAR is being referred to more favorably in the media.
AeroVironment received 103 more outperform votes than AAR when rated by MarketBeat users. However, 60.93% of users gave AAR an outperform vote while only 54.61% of users gave AeroVironment an outperform vote.
Summary
AeroVironment beats AAR on 12 of the 19 factors compared between the two stocks.
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This chart shows the number of new MarketBeat users adding AIR and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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