FTAI Aviation (FTAI) AI Stock Analysis

• Market Cap: $11.67B
• Dividend Yield: 1.04%
• Average Volume (3M): 1.92M
• Price to Earnings (P/E): 557.5
• Beta (1Y): 1.01
• Revenue Growth: 57.80%
• EPS Growth: -89.78%
• Country: US
• Employees: 580
• Sector: Industrials
• Sector Strength: 90
• Industry: Rental & Leasing Services
• EPS (TTM): 0.87
• Shares Outstanding: 102,555,980
• 10 Day Avg. Volume: 1,380,771
• 30 Day Avg. Volume: 1,917,173
• PEG Ratio: 0.91
• Price to Book (P/B): 413.58
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -25.12
• Enterprise Value/Market Cap: 0.99
• Enterprise Value/Revenue: 1.75
• Enterprise Value/Gross Profit: 14.79
• Enterprise Value/Ebitda: 7.02
• 1Y Price Target: $171.38
• Price Target Upside: 48.19% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 55 Neutral
• Price Target: $118.00 ▲(2.03%Upside)

FTAI's overall stock score reflects a mix of strong earnings call performance with significant financial challenges and potential overvaluation. While technical indicators suggest caution, strategic initiatives and EBITDA growth provide reasons for optimism.

Positive Factors

Insider Confidence

Insider purchases typically reflect conviction in the company’s strategic direction and long-term value creation.

Market Position

FTAI is capacity constrained rather than demand constrained, indicating strong market interest and potential for growth.

Strategic Initiatives

The Strategic Capital Initiative continues to progress, aiding future growth for FTAI Aviation.

Negative Factors

Market Risks

Key risks to this call include additional top down uncertainty in the US, which could dampen investor risk appetite.

Reputation Risk

Any factor or event that could impact the global reputation of CFM56 engine modules poses a risk.

FTAI Aviation Business Overview & Revenue Model

Company Description

FTAI Aviation (FTAI) is a leading provider in the aviation sector, focusing on acquiring, managing, and leasing aviation-related assets. The company operates primarily through its Aviation Leasing and Infrastructure segments, providing services such as aircraft leasing, engine leasing, and aviation infrastructure development. FTAI Aviation aims to deliver innovative solutions to the aviation industry, enhancing the efficiency and profitability of airline operators globally.

How the Company Makes Money

FTAI Aviation generates revenue primarily through its leasing activities. The company acquires aircraft and aircraft engines, which it then leases to airlines and cargo operators worldwide. This creates a steady stream of lease income. Additionally, FTAI benefits from the sale of aviation assets when market conditions are favorable, providing another source of revenue. The company also earns income through its aviation infrastructure projects, which may include the development and management of airport facilities and other related services. Key partnerships with airlines and financial institutions can enhance FTAI's ability to expand its asset portfolio and optimize its leasing operations, thereby contributing to its earnings.

FTAI Aviation Financial Statement Overview

Summary

FTAI Aviation has shown strong revenue growth but faces significant challenges in profitability and financial stability. The negative net profit margin and erosion of stockholders' equity in 2024 are concerning, though improvements in cash flow management are noted.

Income Statement

FTAI Aviation has demonstrated solid revenue growth, with a 48.2% increase from 2023 to 2024. However, the net profit margin has turned negative in 2024 at -1.9%, compared to a positive margin of 20.8% in 2023, largely due to a negative net income in 2024. Despite this, the gross profit margin improved to 52.4% in 2024, indicating effective cost management.

Balance Sheet

The balance sheet exhibits significant challenges, with a complete erosion of stockholders' equity in 2024. This results in an undefined debt-to-equity ratio and equity ratio, highlighting potential financial instability. The absence of total liabilities and stockholders' equity data for 2024 raises concerns about the company's financial health.

Cash Flow

FTAI Aviation's cash flow statement reflects a troubling trend, with a negative operating cash flow of -$187.96 million in 2024. The free cash flow remains negative, though there is a substantial improvement in free cash flow from -$647.91 million in 2023 to -$187.96 million in 2024, indicating some progress in cash management.

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

FTAI Aviation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 115.65
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FTAI, the sentiment is Neutral. The current price of 115.65 is below the 20-day moving average (MA) of 118.08, below the 50-day MA of 118.33, and below the 200-day MA of 124.86, indicating a bearish trend. The MACD of -1.70 indicates Positive momentum. The RSI at 48.42 is Neutral, neither overbought nor oversold. The STOCH value of 72.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FTAI.

FTAI Aviation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AL	82 Outperform	$6.52B	10.21	9.22%	1.51%	2.81%	15.38%
AER	76 Outperform	$20.23B	9.87	12.52%	0.94%	4.77%	-25.67%
WLFC	76 Outperform	$938.39M	9.31	18.32%	0.73%	32.55%	70.32%
GATX	76 Outperform	$5.52B	19.60	11.64%	1.58%	12.07%	11.93%
R	69 Neutral	$7.09B	15.05	16.41%	1.89%	6.21%	47.05%
Sector *	67 Neutral	£2.82B	10.49	4.69%	3.43%	2.40%	-24.48%
FTAI	55 Neutral	$11.67B	557.52	69.57%	1.04%	57.80%	-89.78%

FTAI Aviation Corporate Events

FTAI Aviation Elects Directors at 2025 AGM

At the 2025 Annual General Meeting held on May 29, 2025, FTAI Aviation Ltd. shareholders elected two Class III directors to serve until the 2028 Annual General Meeting. Additionally, shareholders approved the compensation of executive officers, decided on an annual frequency for future advisory votes on executive compensation, adopted the 2025 Omnibus Incentive Plan, and ratified Ernst & Young LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025. These decisions reflect the company’s strategic focus on governance and financial oversight, potentially impacting its operational and market positioning.

The most recent analyst rating on (FTAI) stock is a Buy with a $110.00 price target. To see the full list of analyst forecasts on FTAI Aviation stock, see the FTAI Stock Forecast page.

FTAI Aviation Expands Board with New Appointment

On April 30, 2025, FTAI Aviation Ltd. announced the expansion of its Board of Directors to seven members and the appointment of Shyam Gidumal as an independent director, effective May 7, 2025. Mr. Gidumal will also join the Audit Committee and will serve as a Class II director until the 2027 annual general meeting. This strategic appointment is part of FTAI Aviation’s efforts to strengthen its governance structure. The company has ensured transparency by disclosing Mr. Gidumal’s compensation details and confirming no conflicts of interest, which may reassure stakeholders of the integrity and independence of the board’s decision-making process.