FTAI Aviation (FTAI) AI Stock Analysis

• Market Cap: $17.85B
• Dividend Yield: 0.67%
• Average Volume (3M): 940.69K
• Price to Earnings (P/E): 41.0
• Beta (1Y): 0.97
• Revenue Growth: 50.37%
• EPS Growth: N/A
• Country: US
• Employees: 580
• Sector: Industrials
• Sector Strength: 72
• Industry: Rental & Leasing Services
• EPS (TTM): 1.10
• Shares Outstanding: 102,570,595
• 10 Day Avg. Volume: 983,402
• 30 Day Avg. Volume: 940,694
• PEG Ratio: -14.64
• Price to Book (P/B): 179.75
• Price to Sales (P/S): 8.43
• P/FCF Ratio: -10.88
• Enterprise Value/Market Cap: 1.14
• Enterprise Value/Revenue: 8.62
• Enterprise Value/Gross Profit: 27.45
• Enterprise Value/Ebitda: 19.09
• 1Y Price Target: $221.38
• Price Target Upside: 27.23% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 63 Neutral
• Price Target: $185.00 ▲(6.32% Upside)

FTAI's overall stock score is primarily driven by strong earnings call results and positive technical indicators. However, financial performance is hindered by high leverage and negative cash flows, and valuation concerns due to a high P/E ratio temper the overall outlook.

Positive Factors

Revenue Growth

Consistent revenue growth indicates robust demand for FTAI's services, enhancing its market position and supporting long-term business expansion.

Strategic Capital Initiative

The successful SCI upsizing strengthens FTAI's financial foundation, enabling significant capital deployment and expansion opportunities.

Aerospace Products Segment Growth

Strong growth in the Aerospace Products segment highlights FTAI's competitive edge and ability to capitalize on market demand for aviation components.

Negative Factors

High Debt Levels

High leverage poses financial risks, potentially limiting FTAI's flexibility to invest in growth opportunities and manage economic downturns.

Negative Cash Flows

Negative cash flows indicate reliance on non-operational sources for liquidity, which can challenge FTAI's ability to sustain operations and growth.

Leasing Segment Decline

Decline in leasing segment EBITDA suggests challenges in maintaining asset utilization and profitability, potentially impacting future earnings.

FTAI Aviation Business Overview & Revenue Model

Company Description

FTAI Aviation (FTAI) is a leading provider of aviation services and solutions, focusing on the acquisition, leasing, and management of commercial jet engines and aircraft. The company operates primarily within the aerospace sector, offering a range of products and services that include maintenance, repair, and overhaul (MRO) services, engine leasing, and asset management. FTAI serves a diverse clientele, including airlines, aircraft operators, and manufacturers, ensuring optimal performance and efficiency of aviation assets.

How the Company Makes Money

FTAI generates revenue through multiple key streams. The primary source is the leasing of commercial jet engines and aircraft, providing long-term contracts to airlines and operators. The company also earns revenue from providing MRO services, which involves maintaining and repairing aviation assets to ensure regulatory compliance and operational reliability. Additionally, FTAI benefits from asset management services, where it oversees and optimizes the performance of aviation assets for third-party investors. Significant partnerships with major airlines and manufacturers enhance FTAI's market presence and contribute to its earnings, while a focus on optimizing asset utilization ensures steady cash flow.

FTAI Aviation Financial Statement Overview

Summary

FTAI Aviation demonstrates strong revenue growth and profitability in its income statement, but the high leverage and negative cash flows present significant risks. The company needs to address its debt levels and improve cash flow generation to ensure long-term financial stability.

Income Statement

FTAI Aviation shows strong revenue growth with a TTM revenue growth rate of 11.96%, indicating a positive trajectory. The gross profit margin of 43.69% and net profit margin of 20.73% reflect solid profitability. However, the company has experienced fluctuations in net income over the years, which could pose a risk to consistent profitability.

Balance Sheet

The company has a high debt-to-equity ratio of 20.88 in the TTM, indicating significant leverage, which could be a risk if not managed properly. The return on equity is relatively low at 4.52%, suggesting limited efficiency in generating returns from shareholders' equity. The equity ratio is also low, highlighting potential financial vulnerability.

Cash Flow

FTAI Aviation's cash flow situation is concerning, with negative operating cash flow and free cash flow in the TTM. The free cash flow to net income ratio is positive, suggesting some ability to generate cash relative to net income, but the negative growth in free cash flow indicates potential liquidity issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.35B	1.73B	1.17B	708.41M	455.80M	366.50M
Gross Profit	738.86M	690.95M	498.89M	307.11M	254.05M	194.10M
EBITDA	1.06B	469.55M	530.66M	230.71M	263.02M	245.84M
Net Income	487.95M	8.68M	243.82M	-110.61M	-130.71M	-105.02M
Balance Sheet
Total Assets	4.24B	4.04B	2.96B	2.43B	4.86B	3.39B
Cash, Cash Equivalents and Short-Term Investments	509.94M	115.12M	90.76M	33.56M	188.08M	121.70M
Total Debt	3.45B	3.44B	2.52B	2.18B	3.29B	1.97B
Total Liabilities	3.99B	3.96B	2.79B	2.41B	3.74B	2.29B
Stockholders Equity	252.46M	81.37M	175.35M	18.88M	1.12B	1.08B
Cash Flow
Free Cash Flow	-704.70M	-1.34B	-647.91M	-834.31M	-789.67M	-531.67M
Operating Cash Flow	-173.47M	-187.96M	128.98M	-20.66M	-22.04M	63.11M
Investing Cash Flow	695.90M	-469.50M	-373.35M	-411.25M	-1.29B	-509.12M
Financing Cash Flow	71.80M	681.81M	282.21M	44.91M	1.59B	364.92M

FTAI Aviation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 174.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FTAI, the sentiment is Positive. The current price of 174 is above the 20-day moving average (MA) of 172.88, above the 50-day MA of 167.16, and above the 200-day MA of 127.81, indicating a bullish trend. The MACD of 3.40 indicates Negative momentum. The RSI at 51.90 is Neutral, neither overbought nor oversold. The STOCH value of 58.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FTAI.

FTAI Aviation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AL	―	$7.13B	7.72	12.59%	1.38%	8.08%	76.55%
AER	―	$21.36B	7.33	16.87%	0.81%	3.24%	4.46%
GATX	―	$5.64B	18.68	11.98%	1.52%	10.66%	14.09%
WLFC	―	$896.22M	7.74	19.97%	0.76%	30.08%	32.62%
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
FTAI	―	$17.85B	40.99	263.05%	0.67%	50.37%	―
R	―	$6.82B	14.33	16.26%	1.96%	1.68%	9.91%

FTAI Aviation Corporate Events

FTAI Aviation Ltd. Reports Strong Q3 2025 Results

FTAI Aviation Ltd. is a prominent provider of aftermarket power solutions for CFM56 and V2500 engines, primarily serving the commercial aviation sector with a focus on Maintenance, Repair, and Exchange (MRE) products.

FTAI Aviation Earnings Call Highlights Growth and Strategic Success

FTAI Aviation’s recent earnings call reflected a positive sentiment, underscored by robust growth in its Aerospace Products segment and successful strategic initiatives like the SCI upsizing and ATOPS acquisition. Despite a downturn in the Leasing segment’s EBITDA, the company’s financial outlook remains optimistic, buoyed by increased dividends, free cash flow growth, and promising projections for 2026.

FTAI Aviation Completes Sale of 39 Aircraft

FTAI Aviation Ltd. announced the completion of the sale of 39 aircraft as part of its 2025 Aircraft Sale initiative, which was disclosed on December 30, 2024. This strategic move, involving a partnership with institutional investors, aims to enhance the company’s capital structure and market positioning by focusing on on-lease 737NG and A320ceo aircraft. The company serves as the Servicer of the 2025 Partnership, managing various operational aspects and maintaining a 20% limited partnership interest.

The most recent analyst rating on (FTAI) stock is a Buy with a $230.00 price target. To see the full list of analyst forecasts on FTAI Aviation stock, see the FTAI Stock Forecast page.

FTAI Aviation’s Earnings Call Highlights Robust Growth

FTAI Aviation Ltd. recently held its earnings call, revealing a generally positive sentiment driven by strong financial performance and strategic growth initiatives. The company reported significant growth in its Aerospace Products division and highlighted successful strategic moves, such as the SCI and key acquisitions. Despite some challenges, such as a lower-margin deal and pending regulatory approvals, the overall outlook remains optimistic.

FTAI Aviation Ltd. Reports Strong Q2 2025 Results

FTAI Aviation Ltd. is a company specializing in the ownership and maintenance of commercial jet engines, focusing on CFM56 and V2500 engines, and operates within the aerospace sector. The company also invests in aviation assets and aerospace products, aiming to generate stable cash flows and potential earnings growth.