Jefferies values FTAI Power’s 25-MW aeroderivative at $750M EBITDA per year

Jefferies notes that FTAI Aviation (FTAI) announced the launch of FTAI Power, a new CFM56 conversion into a 25-MW aeroderivative turbine. This proprietary conversion architecture has been over 1 year in development to provide an alternative to rapidly expanding electricity demand. Production is expected to begin in 2026 and scaling to more than 100 units/year plus service support. Assuming ASP of $20M-plus and margins in the AP ballpark with price tailwinds, this could be worth $750M-plus of EBITDA/year at full-rate, the firm argues. Jefferies has a Buy rating on the shares with a price target of $215.