Contrasting AmeraMex International (OTCMKTS:AMMX) and Air Lease (NYSE:AL)

Air Lease (NYSE:AL) and AmeraMex International (OTCMKTS:AMMX) are both transportation companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, dividends, risk, institutional ownership, valuation, earnings and analyst recommendations.

Profitability

This table compares Air Lease and AmeraMex International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Air Lease	34.04%	7.99%	1.92%
AmeraMex International	-4.63%	-25.15%	-3.85%

Volatility and Risk

Air Lease has a beta of 1.41, meaning that its stock price is 41% more volatile than the S&P 500. Comparatively, AmeraMex International has a beta of 0.1, meaning that its stock price is 90% less volatile than the S&P 500.

Valuation & Earnings

This table compares Air Lease and AmeraMex International”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Air Lease	$2.73 billion	2.26	$427.70 million	$8.24	6.69
AmeraMex International	$14.97 million	0.09	-$1.16 million	($0.08)	-1.16

Air Lease has higher revenue and earnings than AmeraMex International. AmeraMex International is trading at a lower price-to-earnings ratio than Air Lease, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

94.6% of Air Lease shares are held by institutional investors. 6.8% of Air Lease shares are held by insiders. Comparatively, 49.4% of AmeraMex International shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current recommendations for Air Lease and AmeraMex International, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Air Lease	1	0	4	0	2.60
AmeraMex International	0	0	0	0	0.00

Air Lease currently has a consensus target price of $59.50, indicating a potential upside of 7.87%. Given Air Lease’s stronger consensus rating and higher probable upside, analysts plainly believe Air Lease is more favorable than AmeraMex International.

Summary

Air Lease beats AmeraMex International on 13 of the 14 factors compared between the two stocks.

About Air Lease

Air Lease Corporation, an aircraft leasing company, engages in the purchase and leasing of commercial jet aircraft to airlines worldwide. It sells aircraft from its fleet to third parties, including other leasing companies, financial services companies, airlines, and other investors. The company provides fleet management services to investors and owners of aircraft portfolios. As of December 31, 2023, it owned a fleet of 463 aircraft, including 345 narrowbody aircraft and 118 widebody aircraft. Air Lease Corporation was incorporated in 2010 and is headquartered in Los Angeles, California.

About AmeraMex International

AmeraMex International, Inc. sells, leases, and rents new and refurbished heavy equipment primarily in the United States. Its products are used in light and infrastructure construction, shipping logistics, logging, mining, transportation, commercial farming, and forestry industries. The company also sells parts; and provides repair and maintenance services. It serves customers in the United States, Canada, Latin America, Asia, and Africa. The company was founded in 1989 and is based in Chico, California.