FTAI Aviation Ltd's Meteoric Rise: Unpacking the 12% Surge in Just 3 Months

FTAI Aviation Ltd (FTAI, Financial), a prominent player in the Business Services industry, has seen a significant surge in its stock price over the past three months. The company's market cap stands at $3.54 billion, with its stock price currently at $35.48. Over the past week, the stock price has seen a gain of 5.87%, and over the past three months, it has risen by 11.85%. The GF Value, defined by GuruFocus.com, calculates a stock's intrinsic value using historical multiples, past performance adjustments, and future business estimates. The current GF Value of FTAI is $46.87, up from $40.62 three months ago. Despite this increase, the GF Valuation still categorizes the stock as modestly undervalued, similar to its status three months ago.

Company Overview

FTAI Aviation Ltd is a leading aerospace company that owns and maintains commercial jet engines, with a particular focus on CFM56 engines. The company also owns and leases jet aircraft, which often facilitates the acquisition of engines at attractive prices. FTAI invests in aviation assets and aerospace products that generate strong and stable cash flows with the potential for earnings growth and asset appreciation. 1711763964137893888.png

Profitability Analysis

FTAI Aviation Ltd has a Profitability Rank of 7/10, indicating a strong profitability compared to its industry peers. The company's Operating Margin is 30.02%, better than 93.26% of the companies in the industry. Its ROE stands at 52.27%, outperforming 95.63% of its competitors. The ROA is 3.26%, better than 46.83% of the companies in the industry. The ROIC is 11.16%, better than 69.3% of the companies in the industry. FTAI has been profitable for 5 out of the past 10 years, which is better than 33.99% of the companies in the industry. 1711763984987779072.png

Growth Prospects

FTAI Aviation Ltd has a Growth Rank of 8/10, indicating strong growth potential compared to its industry peers. The company's 3-Year Revenue Growth Rate per Share is 1.90%, better than 41.11% of the companies in the industry. Its 5-Year Revenue Growth Rate per Share is 13.50%, outperforming 81.9% of its competitors. 1711764002658381824.png

Major Stock Holders

The top three holders of FTAI Aviation Ltd's stock are Howard Marks (Trades, Portfolio), Chuck Royce (Trades, Portfolio), and Steven Cohen (Trades, Portfolio). Howard Marks (Trades, Portfolio) holds 2,033,110 shares, accounting for 2.04% of the total shares. Chuck Royce (Trades, Portfolio) holds 1,123,462 shares, accounting for 1.13% of the total shares. Steven Cohen (Trades, Portfolio) holds 485,683 shares, accounting for 0.49% of the total shares.

Competitive Landscape

FTAI Aviation Ltd operates in a competitive industry with major players like McGrath RentCorp(MGRC, Financial) with a market cap of $2.52 billion and Textainer Group Holdings Ltd(TGH, Financial) with a market cap of $1.52 billion.

Conclusion

In conclusion, FTAI Aviation Ltd has shown impressive stock performance, profitability, and growth potential. The company's stock has seen a significant surge over the past three months, and it remains modestly undervalued according to the GF Valuation. FTAI's profitability and growth ranks are strong compared to its industry peers, and it has a solid base of major stockholders. Despite operating in a competitive industry, FTAI Aviation Ltd's current position and future prospects look promising.

This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.