Aircraft leasing company Air Lease Corporation (NYSE: AL) will be reporting earnings tomorrow afternoon. Here’s what you need to know.
Air Lease beat analysts’ revenue expectations by 1.6% last quarter, reporting revenues of $712.9 million, flat year on year. It was an exceptional quarter for the company, with an impressive beat of analysts’ EBITDA estimates. It reported 489 owned aircraft, up 5.6% year on year.
Is Air Lease a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Air Lease’s revenue to grow 7.1% year on year to $710.5 million, improving from the 4.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.18 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Air Lease has missed Wall Street’s revenue estimates five times over the last two years.
Looking at Air Lease’s peers in the vehicle parts distributors segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Rush Enterprises’s revenues decreased 1.1% year on year, beating analysts’ expectations by 1.4%, and FTAI Aviation reported revenues up 53.7%, falling short of estimates by 2.1%. Rush Enterprises’s stock price was unchanged after the results, while FTAI Aviation was down 18.8%.
Read our full analysis of Rush Enterprises’s results here and FTAI Aviation’s results here.
There has been positive sentiment among investors in the vehicle parts distributors segment, with share prices up 13% on average over the last month. Air Lease is up 17.2% during the same time and is heading into earnings with an average analyst price target of $54.86 (compared to the current share price of $48.99).
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