AerSale Corporation (ASLE) AI Stock Analysis

• Market Cap: $285.47M
• Dividend Yield: N/A
• Average Volume (3M): 442.59K
• Price to Earnings (P/E): 46.8
• Beta (1Y): 0.99
• Revenue Growth: -1.64%
• EPS Growth: 1966.67%
• Country: US
• Employees: 636
• Sector: Industrials
• Sector Strength: 72
• Industry: Airlines, Airports & Air Services
• EPS (TTM): 0.04
• Shares Outstanding: 47,185,013
• 10 Day Avg. Volume: 747,946
• 30 Day Avg. Volume: 442,590
• PEG Ratio: -0.33
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.97
• P/FCF Ratio: -18.75
• Enterprise Value/Market Cap: 1.89
• Enterprise Value/Revenue: 1.59
• Enterprise Value/Gross Profit: 5.15
• Enterprise Value/Ebitda: 15.28
• 1Y Price Target: $7.00
• Price Target Upside: 15.70% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): 0.48
• Revenue Forecast (FY): $372.25M

• Rating: 57 Neutral
• Price Target: $6.50 ▲(7.44% Upside)

AerSale Corporation's overall stock score is driven by stable financials but hindered by weak technical indicators and valuation concerns. The earnings call provided some optimism with strategic growth initiatives, but challenges in revenue and cash flow remain significant.

Positive Factors

USM Business Growth

The growth in the Used Serviceable Material (USM) business indicates a strong market demand and effective inventory management, which can drive sustained revenue growth and enhance competitive positioning in the aviation aftermarket sector.

MRO Facility Expansion

The completion of facility expansions positions AerSale to capture future growth opportunities and increase revenue from MRO services, supporting long-term strategic goals and enhancing operational capacity.

Adjusted EBITDA Improvement

Improved adjusted EBITDA reflects enhanced operational efficiency and cost management, which strengthens financial performance and supports sustainable profitability in the long term.

Negative Factors

Revenue Decline

The decline in revenue due to the absence of engine or aircraft sales highlights potential volatility in revenue streams, which could impact financial stability and growth prospects if not addressed.

Net Loss

The net loss indicates challenges in maintaining profitability, which could strain financial resources and limit investment in growth initiatives if not managed effectively.

Limited Feedstock Supply

Limited feedstock supply could constrain AerSale's ability to capitalize on market opportunities, affecting revenue growth and competitive advantage in the aviation aftermarket.

AerSale Corporation Business Overview & Revenue Model

Company Description

AerSale Corporation provides aftermarket commercial aircraft, engines, and its parts to passenger and cargo airlines, leasing companies, original equipment manufacturers, and government and defense contractors, as well as maintenance, repair, and overhaul (MRO) service providers worldwide. It operates in two segments, Asset Management Solutions and Technical Operations (TechOps). The Asset Management Solutions segment engages in the sale and lease of aircraft, engines, and airframes, as well as disassembly of these assets for component parts. The TechOps segment provides internal and third-party aviation services, including internally developed engineered solutions, heavy aircraft maintenance and modification, and component MRO, as well as end-of-life disassembly services. This segment also provides aircraft modifications, cargo and tanker conversions of aircraft, and aircraft storage; and MRO services for landing gear, thrust reversers, hydraulic systems, and other aircraft components. The company was founded in 2008 and is headquartered in Coral Gables, Florida.

How the Company Makes Money

AerSale generates revenue through multiple streams, primarily focusing on the sale and lease of used aircraft and engines, as well as the sale of aircraft parts and components. The company also earns significant income from its MRO services, providing maintenance and repair solutions that help extend the lifecycle of aircraft. Key revenue streams include direct aircraft and engine sales, aftermarket parts sales, and service contracts for maintenance and technical support. AerSale has established partnerships with various airlines and aviation operators, enhancing its market reach and customer base. Additionally, the company's involvement in aircraft leasing provides a steady income stream, as it leases aircraft to clients while maintaining ownership of the assets.

AerSale Corporation Financial Statement Overview

Summary

AerSale Corporation shows a stable financial position with strong equity and low leverage. However, challenges in revenue growth and cash flow management impact profitability and operational efficiency. Improvements in cash flow generation and revenue growth are essential.

Income Statement

AerSale Corporation's income statement shows a mixed performance. The TTM data indicates a decline in revenue growth at -3.28%, reflecting challenges in maintaining sales momentum. However, the company maintains a stable gross profit margin of 30.83%, suggesting efficient cost management. The net profit margin is low at 2.17%, indicating limited profitability. EBIT and EBITDA margins are modest at 3.73% and 8.96%, respectively, showing some operational efficiency but room for improvement.

Balance Sheet

The balance sheet of AerSale Corporation is relatively strong, with a low debt-to-equity ratio of 0.08, indicating prudent financial leverage. The return on equity is modest at 1.73%, suggesting limited returns on shareholder investments. The equity ratio is healthy, reflecting a solid capital structure with a significant portion of assets financed by equity.

Cash Flow

The cash flow statement reveals significant challenges, with a negative free cash flow growth rate of -992.89%, indicating substantial cash outflows. The operating cash flow to net income ratio is low at 0.04, suggesting limited cash generation from operations. The free cash flow to net income ratio is negative, highlighting cash flow difficulties relative to profitability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	339.09M	345.07M	334.50M	408.54M	340.44M	208.94M
Gross Profit	104.53M	103.94M	92.42M	151.39M	119.39M	52.79M
EBITDA	35.26M	26.16M	48.00K	66.89M	69.66M	34.07M
Net Income	7.35M	5.85M	-5.56M	43.86M	36.12M	8.09M
Balance Sheet
Total Assets	646.28M	604.72M	553.94M	531.58M	487.49M	389.13M
Cash, Cash Equivalents and Short-Term Investments	11.69M	4.70M	5.87M	147.19M	130.19M	29.32M
Total Debt	157.62M	75.97M	66.53M	32.71M	0.00	0.00
Total Liabilities	229.19M	149.10M	108.92M	86.60M	78.61M	37.67M
Stockholders Equity	417.08M	455.62M	445.01M	444.98M	408.88M	351.45M
Cash Flow
Free Cash Flow	-17.74M	-17.85M	-185.51M	-15.71M	75.19M	-19.50M
Operating Cash Flow	3.21M	11.18M	-174.15M	-113.00K	79.08M	-12.23M
Investing Cash Flow	-10.10M	-16.13M	3.09M	41.37M	13.20M	-21.14M
Financing Cash Flow	2.37M	3.77M	29.74M	-24.26M	8.59M	45.18M

AerSale Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ASLE, the sentiment is Negative. The current price of 6.05 is below the 20-day moving average (MA) of 6.84, below the 50-day MA of 7.57, and below the 200-day MA of 7.12, indicating a bearish trend. The MACD of -0.47 indicates Positive momentum. The RSI at 27.59 is Positive, neither overbought nor oversold. The STOCH value of 43.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ASLE.

AerSale Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SNCY	68 Neutral	$619.66M	11.39	9.99%	―	4.27%	28.47%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
ASLE	57 Neutral	$285.47M	46.83	1.35%	―	-1.64%	1966.67%
FLYX	48 Neutral	$259.01M	―	―	―	―	―
MESA	47 Neutral	$55.26M	-0.31	-378.73%	―	-14.62%	-86.07%
ULCC	44 Neutral	$843.68M	―	-27.87%	―	1.77%	-1964.48%
SRFM	44 Neutral	$138.96M	―	―	―	-8.51%	82.15%

AerSale Corporation Corporate Events

AerSale’s Earnings Call: Growth Amid Challenges

AerSale Corporation’s recent earnings call painted a mixed picture of the company’s financial health and strategic progress. The sentiment during the call was cautiously optimistic, highlighting strong growth in the Used Serviceable Material (USM) business and increased leasing revenue. However, the company faced challenges with a decline in overall revenue and a net loss for the quarter, primarily due to the absence of whole asset sales. Despite these hurdles, AerSale demonstrated resilience with improved adjusted EBITDA and strategic advancements in key initiatives.

AerSale Corporation Reports Q3 2025 Financial Results

AerSale Corporation is a company that provides integrated aftermarket services and products for large jet aircraft, focusing on maintenance, repair, and overhaul (MRO), sales and leasing, and engineered solutions to enhance aircraft performance. In its latest earnings report, AerSale reported a decrease in revenue to $71.2 million for the third quarter of 2025, down from $82.7 million in the same period last year, primarily due to the absence of aircraft or engine sales. However, the company saw an 18.5% increase in revenue excluding these sales, driven by strong demand for Used Serviceable Material and AerSafe™ products. Key financial metrics highlighted include an adjusted EBITDA increase to $9.5 million, reflecting higher leasing revenue and cost control measures. The company also placed a second 757 freighter on lease and reported a decrease in selling, general, and administrative expenses to $18.6 million. Looking ahead, AerSale’s management remains optimistic about future growth, citing strong customer interest in leasing and a growing pipeline of MRO service work, as well as continued demand for its AerSafe™ product line.

AerSale Corporation Adjusts CEO Compensation Structure

On August 6, 2025, AerSale Corporation‘s Board of Directors approved a change in the compensation structure for CEO Nicolas Finazzo to better align his incentives with the company’s long-term stock performance. The modification involves eliminating his annual cash bonus and increasing his equity grants to 600% of his base salary, with a focus on performance stock units, restricted stock units, and stock options, making 64% of his compensation dependent on long-term company performance.

The most recent analyst rating on (ASLE) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on AerSale Corporation stock, see the ASLE Stock Forecast page.

AerSale Corp. Reports Strong Q2 Earnings Amid Challenges

AerSale Corporation’s recent earnings call showcased a robust financial performance, marked by significant revenue and EBITDA growth. The company’s strategic initiatives and market positioning were highlighted positively, although challenges in the TechOps segment and uncertainty surrounding the AerAware product deployment were noted as potential hurdles. Overall, the sentiment was optimistic, with promising developments in MRO expansion and regulatory approvals.