Air T (AIRT) AI Stock Analysis

• Market Cap: $42.39M
• Dividend Yield: N/A
• Average Volume (3M): 5.66K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.23
• Revenue Growth: 3.36%
• EPS Growth: 94.32%
• Country: US
• Employees: 624
• Sector: Industrials
• Sector Strength: 63
• Industry: Integrated Freight & Logistics
• EPS (TTM): -0.28
• Shares Outstanding: 2,725,916
• 10 Day Avg. Volume: 2,454
• 30 Day Avg. Volume: 5,655
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.16
• Price to Cash Flow (P/CF): 0.70
• P/FCF Ratio: 0.70
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Air T's overall score is driven by financial challenges, including high leverage and profitability issues, combined with mixed technical indicators. While the company has shown revenue growth, rising costs impact profitability. The lack of dividend yield and negative P/E ratio further weigh on its valuation appeal.

Air T Business Overview & Revenue Model

Company Description

Air T, Inc., through its subsidiaries, provides overnight air cargo, ground equipment sale, and commercial jet engines and parts, and printing equipment and maintenance services in the United States and internationally. The company's Overnight Air Cargo segment offers air express delivery services. As of March 31, 2022, this segment had 72 aircraft under the dry-lease agreements with FedEx. Its Ground Equipment Sales segment manufactures, sells, and services aircraft deicers, scissor-type lifts, military and civilian decontamination units, flight-line tow tractors, glycol recovery vehicles, and other specialized equipment. This segment sells its products to passenger and cargo airlines, ground handling companies, the United States Air Force, airports, and industrial customers. Its Commercial Aircraft, Engines and Parts segment offers commercial aircraft trading, leasing, and parts solutions; commercial aircraft storage, storage maintenance, and aircraft disassembly/part-out services; commercial aircraft parts sales, exchanges, procurement services, consignment programs, and overhaul and repair services; and aircraft instrumentation, avionics, and a range of electrical accessories for civilian, military transport, regional/commuter and business/commercial jet, and turboprop aircraft. This segment also provides composite aircraft structures, and repair and support services. Air T, Inc. was incorporated in 1980 and is based in Denver, North Carolina.

How the Company Makes Money

Air T, Inc. makes money through its diversified portfolio of subsidiaries operating in different segments of the aviation industry. The Air Cargo segment generates revenue by providing overnight air cargo services, primarily under contracts with FedEx. The Aviation Services segment contributes to the company's earnings through services such as aircraft maintenance, repair, and overhaul, as well as aviation parts distribution. The Ground Equipment Manufacturing division adds to Air T's revenue by designing and manufacturing ground support and military equipment for domestic and international customers. The company's earnings are further supported by strategic partnerships and long-term contracts with major players in the logistics and aviation sectors.

Air T Financial Statement Overview

Summary

Air T faces several financial challenges, including profitability issues, high leverage, and fluctuating cash flows. While there are some positive aspects such as positive operating cash flow, the company needs to address its debt levels and improve profitability to enhance its financial health.

Income Statement

Air T's income statement shows a challenging financial position with a negative net income in recent periods, indicating profitability concerns. The gross profit margin is modest, and there is a lack of consistent revenue growth. The EBIT and EBITDA margins are low, reflecting operational efficiency challenges.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, indicating significant leverage and potential financial risk. Stockholders' equity has declined, impacting the equity ratio negatively. Despite a slight improvement in cash and short-term investments, the company's financial stability remains a concern.

Cash Flow

Cash flow analysis shows a positive operating cash flow, which is a good sign of operational cash generation. However, free cash flow growth is inconsistent, and there are significant fluctuations in investing and financing cash flows, affecting cash flow stability.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
234.10M	286.83M	247.32M	177.08M	175.12M	236.78M
	Gross Profit
26.11M	56.48M	48.83M	39.38M	31.67M	46.89M
	EBIT
6.59M	1.26M	4.43M	8.76M	-847.00K	4.79M
	EBITDA
13.59M	5.85M	1.07M	20.43M	-4.03M	13.00M
	Net Income Common Stockholders
-812.00K	-6.82M	-11.79M	10.93M	-8.39M	3.17M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
12.03M	7.10M	5.81M	6.47M	12.40M	7.63M
	Total Assets
29.60M	177.17M	189.56M	207.60M	140.75M	151.43M
	Total Debt
20.64K	125.20M	137.52M	143.99M	95.94M	94.47M
	Net Debt
-9.76M	118.10M	131.71M	138.37M	84.94M	88.52M
	Total Liabilities
4.70M	158.37M	163.87M	171.12M	119.44M	120.34M
	Stockholders Equity
24.90M	4.77M	11.90M	24.61M	13.72M	24.01M
Cash Flow		Free Cash Flow
12.66M	16.10M	15.73M	-34.64M	-7.82M	-63.77M
	Operating Cash Flow
13.41M	17.18M	16.91M	-33.08M	-1.82M	-25.07M
	Investing Cash Flow
-19.52M	-2.50M	-6.17M	-33.39M	2.52M	8.61M
	Financing Cash Flow
19.23M	-13.91M	-12.38M	59.25M	71.00K	19.24M

Air T Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 15.55
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AIRT, the sentiment is Negative. The current price of 15.55 is below the 20-day moving average (MA) of 17.33, below the 50-day MA of 18.65, and below the 200-day MA of 20.07, indicating a bearish trend. The MACD of -0.45 indicates Negative momentum. The RSI at 50.83 is Neutral, neither overbought nor oversold. The STOCH value of 50.91 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AIRT.

Air T Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PAGP	68 Neutral	$14.43B	35.69	7.11%	7.14%	3.28%	-48.50%
XPO	66 Neutral	$10.73B	28.31	27.07%	―	4.22%	105.29%
R	65 Neutral	$5.58B	12.10	15.71%	2.35%	7.25%	25.82%
Sector *	62 Neutral	$7.25B	12.39	3.08%	3.39%	3.63%	-14.32%
ATS	60 Neutral	C$3.28B	36.79	5.30%	―	-7.46%	-49.87%
FWRD	45 Neutral	$398.89M	―	-167.82%	0.86%	56.49%	-7872.87%
AIRT	45 Neutral	$42.39M	―	-13.52%	―	3.36%	94.32%

Air T Corporate Events

Air T Secures $2.28 Million Loan for MAC

On February 21, 2025, Mountain Air Cargo, Inc. (MAC), a subsidiary of Air T, Inc., secured a $2.28 million term loan from Bank of America, N.A., with a maturity date of February 21, 2030, and agreed to mortgage its property in Denver, North Carolina. Additionally, MAC entered a swap agreement to fix the interest rate and complied with several covenants. Alerus Financial consented to these transactions, amending previous agreements and removing liens on the property. The financing proceeds were used to repay a previous loan with Alerus, with Air T, Inc. acknowledging the transactions.

Air T Highlights Strategic Growth Amid Revenue Increase

Air T, Inc. released an updated investor presentation, emphasizing its solid financial performance and strategic growth. For the fiscal year ending March 31, 2024, the company reported a 16% revenue increase, mainly attributed to its overnight air cargo and commercial jet engines segments. However, there was a slight decrease in adjusted EBITDA due to rising costs in specific areas. The company aims to continue enhancing its market position through strategic partnerships and operational efficiency.