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AAR Earnings Yield (Joel Greenblatt) %

: 5.94% (As of May. 2022)
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AAR's Enterprise Value for the quarter that ended in May. 2022 was $1,809 Mil. AAR's EBIT for the trailing twelve months (TTM) ended in May. 2022 was $108 Mil. AAR's Earnings Yield (Joel Greenblatt) for the quarter that ended in May. 2022 was 5.94%.

The historical rank and industry rank for AAR's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:

AIR' s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: -13.09   Med: 6.12   Max: 12.1
Current: 6.07

During the past 13 years, the highest Earnings Yield (Joel Greenblatt) of AAR was 12.10%. The lowest was -13.09%. And the median was 6.12%.

AIR's Earnings Yield (Joel Greenblatt) % is ranked better than
77.74% of 283 companies
in the Aerospace & Defense industry
Industry Median: 1.78 vs AIR: 6.07

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. AAR's Forward Rate of Return (Yacktman) % for the quarter that ended in May. 2022 was -3.42%. The Forward Rate of Return uses the normalized Free Cash Flow of the past seven years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


AAR Earnings Yield (Joel Greenblatt) % Historical Data

The historical data trend for AAR's Earnings Yield (Joel Greenblatt) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

AAR Annual Data
Trend May13 May14 May15 May16 May17 May18 May19 May20 May21 May22
Earnings Yield (Joel Greenblatt) %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.02 8.44 4.07 4.29 5.94

AAR Quarterly Data
Aug17 Nov17 Feb18 May18 Aug18 Nov18 Feb19 May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22
Earnings Yield (Joel Greenblatt) % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.29 7.58 8.57 5.69 5.94

Competitive Comparison

For the Aerospace & Defense subindustry, AAR's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

AAR Earnings Yield (Joel Greenblatt) % Distribution

For the Aerospace & Defense industry and Industrials sector, AAR's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where AAR's Earnings Yield (Joel Greenblatt) % falls into.



AAR Earnings Yield (Joel Greenblatt) % Calculation

In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.

AARs Earnings Yield (Joel Greenblatt) for the fiscal year that ended in May. 2022 is calculated as

Earnings Yield (Joel Greenblatt)=EBIT/Enterprise Value
=107.5/1809.358842
=5.94 %

AAR's EBIT for the trailing twelve months (TTM) ended in May. 2022 adds up the quarterly data reported by the company within the most recent 12 months, which was $108 Mil.



AAR  (NYSE:AIR) Earnings Yield (Joel Greenblatt) % Explanation

Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.

Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.


Be Aware

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

Forward Rate of Return (Yacktman) % based on Don Yacktman's definition is a better measure of the expected rate of return for a stock.


AAR Earnings Yield (Joel Greenblatt) % Related Terms

Thank you for viewing the detailed overview of AAR's Earnings Yield (Joel Greenblatt) % provided by GuruFocus.com. Please click on the following links to see related term pages.


AAR Business Description

AAR logo
Industry
Traded in Other Exchanges
Address
1100 North Wood Dale Road, One AAR Place, Wood Dale, IL, USA, 60191
AAR Corp is engaged in providing products and services to aviation, government, and defense market. It operates in two segments namely Aviation Services and Expeditionary Services. The Aviation Services segment consists of aftermarket support and services businesses that provide spares and maintenance support for aircraft operated by it's commercial and government/defense customers. The Expeditionary Services segment consists of businesses that provide products and services supporting the movement of equipment and personnel by the U.S. Department of Defense, foreign governments, and non-governmental organizations. It generates a majority of its revenue from the Aviation Services Segment.
Executives
Lord Ellen M. director 1100 N. WOOD DALE ROAD WOOD DALE IL 60191
Leduc Robert F director UNITED TECHNOLOGIES CORP 10 FARM SPRINGS ROAD FARMINGTON CT 06032
Gilbertson H John Jr director 3005 HIGHLAND PARKWAY SUITE 200 DOWNERS GROVE IL 60515
Mcnabb Duncan J. director C/O ATLAS AIR WORLDWIDE HOLDINGS, INC. 2000 WESTCHESTER AVENUE PURCHASE NY 10577
Garascia Jessica A. officer: Vice President and Secretary 1100 N. WOOD DALE ROAD WOOD DALE IL 60191
Jessup Christopher A. officer: Vice President-CCO 1100 N. WOOD DALE ROAD WOOD DALE IL 60191
Gillen Sean M. officer: VP-CFO 1100 N. WOOD DALE ROAD WOOD DALE IL 60191
Milligan Michael D officer: Chief Financial Officer 1100 N. WOOD DALE ROAD WOOD DALE IL 60191
Pachapa Eric officer: VP, Controller and CAO 1100 N. WOOD DALE ROAD WOOD DALE IL 60191
Vogel Jennifer L director C/O AAR CORP. 1100 N. WOOD DALE ROAD WOOD DALE IL 60191
Fortson John C. officer: VP, CFO & Treasurer 5255 VIRGINIA AVE NORTH CHARLESTON SC 29406
Anderson Anthony director 1100 N. WOOD DALE ROAD WOOD DALE IL 60191
Holmes John Mcclain Iii officer: Group Vice President 1100 N. WOOD DALE ROAD WOOD DALE IL 60191
Pace Peter director C/O AAR CORP. 1100 N. WOOD DALE ROAD WOOD DALE IL 60191
Martinez Randy J officer: Group Vice President HLH BUILDING 101 WORLD DRIVE PEACHTREE CITY GA 30269

AAR Headlines

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