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19.67 (1y: +52%)
Market Cap 760.8 M P/E(ttm) 12.10
Enterprise Value 1.43 B P/B 0.90
AIR- NYSE (USA)
AAR Corporation
  • Currently 1/5
Business Predictability Rank: 1-Star
Back Testing Results:
Average gain of all 1-Star stocks: 1.1% per year.
% of Stocks that are in still loss if held for 10yrs: 45%.
Read more:
What is Predictability Rank?
Performances of real portfolio
Top Ranked Predictable Companies
$19.67
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GuruFocus Financial Strength Rank measures how strong a companyย’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 7/10

vs
industry		 vs
history
Cash to Debt 0.085
AIR's Cash to Debt is ranked lower than
74% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 0.76 vs. AIR: 0.085 )
AIR' s 10-Year Cash to Debt Range
Min: 0.01   Max: 0.38
Current: 0.09
0.01
0.38
Equity to Asset 0.204
AIR's Equity to Asset is ranked lower than
62% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 0.34 vs. AIR: 0.204 )
AIR' s 10-Year Equity to Asset Range
Min: 0.2   Max: 0.42
Current: 0.2
0.2
0.42
Interest Coverage 3.6
AIR's Interest Coverage is ranked lower than
82% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 26.35 vs. AIR: 3.6 )
AIR' s 10-Year Interest Coverage Range
Min: 1   Max: 9
Current: 3.6
1
9
F-Score: 5
Z-Score: 2.16
M-Score: -2.91
GuruFocus Profitability Rank ranks how profitable a company is and how likely the companyย’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
ย•ย•3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rankย•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 7/10

vs
industry		 vs
history
Operating margin (%) 6.30
AIR's Operating margin (%) is ranked higher than
50% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 7.45 vs. AIR: 6.30 )
AIR' s 10-Year Operating margin (%) Range
Min: -12.7   Max: 9.7
Current: 6.3
-12.7
9.7
Net-margin (%) 3.3
AIR's Net-margin (%) is ranked lower than
62% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 5.20 vs. AIR: 3.3 )
AIR' s 10-Year Net-margin (%) Range
Min: -9.2   Max: 5.5
Current: 3.3
-9.2
5.5
ROE (%) 7.8
AIR's ROE (%) is ranked lower than
64% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 12.60 vs. AIR: 7.8 )
AIR' s 10-Year ROE (%) Range
Min: -19   Max: 12.8
Current: 7.8
-19
12.8
ROA (%) 3.1
AIR's ROA (%) is ranked lower than
60% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 4.80 vs. AIR: 3.1 )
AIR' s 10-Year ROA (%) Range
Min: -8.3   Max: 5.7
Current: 3.1
-8.3
5.7
ROC (Joel Greenblatt) (%) 12.70
AIR's ROC (Joel Greenblatt) (%) is ranked lower than
57% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 20.00 vs. AIR: 12.70 )
AIR' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: -20.5   Max: 21.5
Current: 12.7
-20.5
21.5
Revenue Growth (%) 9.6
AIR's Revenue Growth (%) is ranked higher than
86% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 3.85 vs. AIR: 9.6 )
AIR' s 10-Year Revenue Growth (%) Range
Min: -15.5   Max: 9.9
Current: 9.6
-15.5
9.9
EBITDA Growth (%) 10
AIR's EBITDA Growth (%) is ranked higher than
83% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 4.60 vs. AIR: 10 )
AIR' s 10-Year EBITDA Growth (%) Range
Min: -29.5   Max: 33
Current: 10
-29.5
33
EPS Growth (%) -3.1
AIR's EPS Growth (%) is ranked higher than
50% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 4.75 vs. AIR: -3.1 )
AIR' s 10-Year EPS Growth (%) Range
Min: -36.8   Max: 88.9
Current: -3.1
-36.8
88.9
ยป AIR's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades
Q2 2012

AIR Guru Trades in Q2 2012

Jim Simons 511,636 sh (New)
Diamond Hill Capital 806,408 sh (+71.49%)
Paul Tudor Jones 63,200 sh (+70.81%)
Arnold Schneider 277,259 sh (+54%)
Mario Gabelli 75,000 sh (unchged)
Chuck Royce Sold Out
Steven Cohen Sold Out
» More
Q3 2012

AIR Guru Trades in Q3 2012

Joel Greenblatt 25,790 sh (New)
Steven Cohen 14,699 sh (New)
Diamond Hill Capital 1,055,098 sh (+30.84%)
Mario Gabelli 75,000 sh (unchged)
Arnold Schneider 264,174 sh (-4.72%)
Jim Simons 335,800 sh (-34.37%)
Paul Tudor Jones 33,700 sh (-46.68%)
» More
Q4 2012

AIR Guru Trades in Q4 2012

Joel Greenblatt 88,285 sh (+242.32%)
Mario Gabelli 75,000 sh (unchged)
Steven Cohen Sold Out
Diamond Hill Capital 1,052,093 sh (-0.28%)
Arnold Schneider 243,574 sh (-7.8%)
Jim Simons 299,900 sh (-10.69%)
Paul Tudor Jones 19,300 sh (-42.73%)
» More
Q1 2013

AIR Guru Trades in Q1 2013

Paul Tudor Jones 49,100 sh (+154.4%)
Joel Greenblatt 130,680 sh (+48.02%)
Mario Gabelli 75,000 sh (unchged)
Diamond Hill Capital 951,847 sh (-9.53%)
Arnold Schneider 171,800 sh (-29.47%)
Jim Simons 47,700 sh (-84.09%)
» More
» Details

Insider Trades

Latest Guru Trades with AIR

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Joel Greenblatt 2013-03-31 Add 48.02%0.04%$16.53 - $20.11 $ 19.676%130680
Joel Greenblatt 2012-12-31 Add 242.32%0.07%$13.55 - $18.97 $ 19.6725%88285
Joel Greenblatt 2012-09-30 New Buy0.03%$12.64 - $17.17 $ 19.6735%25790
George Soros 2011-09-30 Sold Out 0.0049%$16.72 - $31.42 $ 19.67-20%0
Mario Gabelli 2011-03-31 Reduce -35.09%0.01%$26.05 - $29.03 $ 19.67-28%75000
George Soros 2011-03-31 New Buy$26.05 - $29.03 $ 19.67-28%11700
George Soros 2010-09-30 Sold Out 0.01%$15.23 - $19.35 $ 19.6717%0
George Soros 2010-06-30 Add 132.65%0.01%$16.99 - $25.9 $ 19.67-10%22800
George Soros 2010-03-31 New Buy$22.06 - $25.85 $ 19.67-18%9800
Premium More recent guru trades are included for Premium Members only!!

Top Ranked Articles about AAR Corporation

AAR Corp. CEO David Storch Bought 20,000 Shares
June 21, 2012
Chairman & CEO of Aar Corp (AIR) David P Storch bought 20,000 shares on 06/19/2012 at an average price of $10.93. The total transaction amount is $218,600. AAR Corp. is a worldwide leader in supplying aftermarket products and services to the global aerospace/aviation industry. Aar Corp has a market cap of $416.6 million; its shares were traded at around $11.76 with a P/E ratio of 5.7 and P/S ratio of 0.2. The dividend yield of Aar Corp stocks is 2.9%. Aar Corp had an annual average earnings growth of 13.4% over the past 5 years. Read more...

Ratios

vs
industry		 vs
history
P/E(ttm) 12.10
AIR's P/E(ttm) is ranked higher than
74% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 16.32 vs. AIR: 12.10 )
AIR' s 10-Year P/E(ttm) Range
Min: 5.78   Max: 98.64
Current: 12.1
5.78
98.64
P/B 0.90
AIR's P/B is ranked higher than
77% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 1.66 vs. AIR: 0.90 )
AIR' s 10-Year P/B Range
Min: 0.39   Max: 3.11
Current: 0.9
0.39
3.11
P/S 0.40
AIR's P/S is ranked higher than
81% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 0.80 vs. AIR: 0.40 )
AIR' s 10-Year P/S Range
Min: 0.2   Max: 1.36
Current: 0.4
0.2
1.36
PFCF 7.50
AIR's PFCF is ranked higher than
80% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 19.10 vs. AIR: 7.50 )
AIR' s 10-Year PFCF Range
Min: 5.13   Max: 3152
Current: 7.5
5.13
3152
EV-to-EBIT 10.2
AIR's EV-to-EBIT is ranked higher than
74% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 12.49 vs. AIR: 10.2 )
AIR' s 10-Year EV-to-EBIT Range
Min: 6.7   Max: 198.8
Current: 10.2
6.7
198.8
PEG 1.7
AIR's PEG is ranked lower than
68% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 1.78 vs. AIR: 1.7 )
AIR' s 10-Year PEG Range
Min: 0.19   Max: 3.72
Current: 1.7
0.19
3.72
Shiller P/E 11.3
AIR's Shiller P/E is ranked higher than
85% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 15.60 vs. AIR: 11.3 )
AIR' s 10-Year Shiller P/E Range
Min: 6.12   Max: 1743
Current: 11.3
6.12
1743

Dividend & Buy Back

vs
industry		 vs
history
Dividend Yield 1.50
AIR's Dividend Yield is ranked higher than
65% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 2.09 vs. AIR: 1.50 )
AIR' s 10-Year Dividend Yield Range
Min: 0.24   Max: 4.53
Current: 1.5
0.24
4.53
Dividend Payout 0.186
AIR's Dividend Payout is ranked higher than
94% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 0.42 vs. AIR: 0.186 )
AIR' s 10-Year Dividend Payout Range
Min: 0.05   Max: 0.49
Current: 0.19
0.05
0.49
Yield on cost (5-Year) 1.50
AIR's Yield on cost (5-Year) is ranked higher than
63% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 2.18 vs. AIR: 1.50 )
AIR' s 10-Year Yield on cost (5-Year) Range
Min: 0.24   Max: 4.53
Current: 1.5
0.24
4.53
Share Buyback Rate -0.2
AIR's Share Buyback Rate is ranked higher than
71% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: -0.80 vs. AIR: -0.2 )
AIR' s 10-Year Share Buyback Rate Range
Min: -0.2   Max: -7.1
Current: -0.2

Valuation & Return

vs
industry		 vs
history
Price/Net Current Asset Value 1.8
AIR's Price/Net Current Asset Value is ranked lower than
61% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 4.30 vs. AIR: 1.8 )
AIR' s 10-Year Price/Net Current Asset Value Range
Min: 1   Max: 5.5
Current: 1.8
1
5.5
Price/Tangible Book 1.7
AIR's Price/Tangible Book is ranked higher than
56% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 1.95 vs. AIR: 1.7 )
AIR' s 10-Year Price/Tangible Book Range
Min: 0.6   Max: 3.2
Current: 1.7
0.6
3.2
Price/DCF (Projected) 0.7
AIR's Price/DCF (Projected) is ranked higher than
52% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 1.20 vs. AIR: 0.7 )
AIR' s 10-Year Price/DCF (Projected) Range
Min: 0.6   Max: 4.8
Current: 0.7
0.6
4.8
Price/Median PS Value 0.7
AIR's Price/Median PS Value is ranked lower than
58% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 0.85 vs. AIR: 0.7 )
AIR' s 10-Year Price/Median PS Value Range
Min: 0.5   Max: 2.4
Current: 0.7
0.5
2.4
Price/Peter Lynch Fair Value 1.2
AIR's Price/Peter Lynch Fair Value is ranked higher than
84% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 1.40 vs. AIR: 1.2 )
AIR' s 10-Year Price/Peter Lynch Fair Value Range
Min: 0.3   Max: 3.1
Current: 1.2
0.3
3.1
Price/Graham Number 1
AIR's Price/Graham Number is ranked higher than
61% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 1.40 vs. AIR: 1 )
AIR' s 10-Year Price/Graham Number Range
Min: 0.6   Max: 2.1
Current: 1
0.6
2.1
Earnings Yield (Greenblatt) 9.80
AIR's Earnings Yield (Greenblatt) is ranked higher than
82% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 9.10 vs. AIR: 9.80 )
AIR' s 10-Year Earnings Yield (Greenblatt) Range
Min: 0.5   Max: 14.9
Current: 9.8
0.5
14.9
Forward Rate of Return (Yacktman) 13
AIR's Forward Rate of Return (Yacktman) is ranked higher than
71% of the 101 Companies
in the Global Aerospace & Defense industry.

( Industry Median: 9.62 vs. AIR: 13 )
AIR' s 10-Year Forward Rate of Return (Yacktman) Range
Min: -4.8   Max: 36.3
Current: 13
-4.8
36.3

Business Description

AAR Corporation was founded in 1951, organized in 1955 and reincorporated in Delaware in 1966. It is a diversified provider of products and services to the worldwide aviation and government and defense markets. It conducts its business activities primarily through seven principal operating subsidiaries: AAR Parts Trading, Inc.; AAR Aircraft & Engine Sales & Leasing, Inc.; AAR Services, Inc.; AAR Aircraft Services, Inc.; AAR Manufacturing, Inc.; AAR Airlift Group, Inc.; and AAR International, Inc. The Company's international business activities are conducted primarily through AAR International, Inc. It reports its activities in four business segments: Aviation Supply Chain, comprised of business activities conducted through AAR Parts Trading, Inc.; AAR Allen Services, Inc. (a wholly-owned subsidiary of AAR Services, Inc.); AAR Aircraft & Engine Sales & Leasing, Inc. and AAR International, Inc.; Government and Defense Services, comprised primarily of business activities conducted through AAR Parts Trading, Inc. and AAR Airlift Group, Inc.; Maintenance, Repair and Overhaul, comprised primarily of business activities conducted through AAR Services, Inc; AAR Allen Services, Inc. and AAR Aircraft Services, Inc.; and Structures and Systems, comprised primarily of business activities conducted through AAR Manufacturing, Inc. Activities in its Aviation Supply Chain segment include the purchase and sale of a wide variety of new, overhauled and repaired engine and airframe parts and components for its airline customers. It also repairs, overhauls and sells a wide variety of avionics, electrical, electronic, fuel, hydraulic and pneumatic components and instruments and a broad range of internal airframe components for its customers. Activities in its Government and Defense Services segment include the business of AAR Airlift Group, Inc. (Airlift) and its Defense Systems and Logistics and Integrated Technologies services businesses. Airlift is a provider of expeditionary airlift services to the United States and other government customers. Airlift provides fixed- and rotary-wing flight operations, transporting personnel and cargo principally in support of the U.S. Department of Defense, and performs engineering and design modifications on rotary-wing aircraft for government customers. Activities in its Maintenance, Repair and Overhaul (MRO) segment include major airframe maintenance inspection and overhaul, painting services, line maintenance, airframe modifications, structural repairs, avionic service and installation, exterior and interior refurbishment and engineering services and support for many types of commercial and military aircraft. It currently operates four airframe maintenance facilities and one landing gear overhaul facility. It has a long-term lease to occupy a portion of an aircraft maintenance facility in Indianapolis, Indiana (the Indianapolis Maintenance Center or IMC), which is owned by the Indianapolis Airport Authority (I
Company Website
SEC Reports
Industry: Aerospace & Defense
Compare:BA, ERJ, EADSY, RYCEY, HON
Traded in other countries:ARZ.Germany
ยป More Articles for AIR

Headlines

Articles On GuruFocus.com
Value Investing in 2012: Grown From an Infant to a Baby Jan 01 2013 
17 of the Best Aerospace/Defense Products and Services Dividend Stocks Aug 16 2012 
Weekly CEO Buys Highlight: UTHR, PMC, ABR, AIR, SCHS Jun 23 2012 
AAR Corp. CEO David Storch Bought 20,000 Shares Jun 21 2012 
Weekly Top Insider Buys: AA, CMC, PRGS, TXI, AIR Jan 16 2012 
10 Industrial Goods Stocks for Less Than Book Value Nov 16 2011 
Westport Asset Management RSG, SGY, LPS, CHKP, Sells KBR, AIR, ELMG, DBD Feb 03 2011 
AAR Corp. (AIR) Vice President-CFO & Treasurer Richard J. Poulton sells 10,000 Shares Dec 28 2010 
AAR Corp. Reports Operating Results (10-Q) Dec 21 2010 
AAR Corp. Reports Operating Results (10-Q) Sep 23 2010 

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