Aercap (NYSE:AER) Announces Earnings Results

Aercap (NYSE:AER) posted its quarterly earnings results on Wednesday. The financial services provider reported $5.39 EPS for the quarter, topping analysts’ consensus estimates of $3.59 by $1.80, Zacks reports. The firm had revenue of $2.30 billion for the quarter, compared to analysts’ expectations of $2.10 billion. Aercap had a net margin of 45.22% and a return on equity of 16.07%. The business’s revenue for the quarter was up 7.9% on a year-over-year basis. During the same period in the prior year, the business posted $3.68 earnings per share. Aercap updated its FY 2026 guidance to 14.500-14.50 EPS.

Here are the key takeaways from Aercap’s conference call:

• AerCap reported a record quarter with GAAP net income of $818M and adjusted net income of $889M (?19% adjusted ROE), raised full?year adjusted EPS guidance to $14.50, repurchased $745M of stock and authorized a new $1B buyback.
• Transaction activity and asset sales stayed robust — an 87% lease extension rate, 286 transactions closed (202 new leases), sale of 41 owned assets generating $1.5B and an unlevered gain margin of 24% (1.9x book).
• Management cautioned that if jet fuel remains elevated for 3–6+ months it would pressure airline profitability, could accelerate retirements of older tech aircraft and prompt airline requests for concessions, which could hurt future lease rates and gains on sale.
• Strong liquidity and strategic positioning — below?target leverage of 2.1x, ~$21B liquidity with >$3B excess capital, added 110 A320neo to backlog and a 100?aircraft order (deliveries from 2028), enabling growth, sale?leasebacks and opportunistic deployments.

Aercap Stock Down 1.6%

NYSE:AER traded down $2.22 during mid-day trading on Friday, reaching $139.99. The company’s stock had a trading volume of 426,253 shares, compared to its average volume of 1,310,728. Aercap has a 1 year low of $105.65 and a 1 year high of $154.94. The stock has a fifty day moving average of $141.15 and a 200-day moving average of $139.30. The firm has a market capitalization of $23.36 billion, a PE ratio of 6.13, a price-to-earnings-growth ratio of 1.29 and a beta of 0.99. The company has a quick ratio of 0.23, a current ratio of 0.23 and a debt-to-equity ratio of 2.38.

Aercap Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, June 4th. Investors of record on Wednesday, May 13th will be paid a $0.40 dividend. The ex-dividend date of this dividend is Wednesday, May 13th. This represents a $1.60 dividend on an annualized basis and a yield of 1.1%. Aercap’s dividend payout ratio is 7.50%.

Aercap announced that its board has authorized a share buyback program on Wednesday, April 29th that allows the company to repurchase $1.00 billion in shares. This repurchase authorization allows the financial services provider to repurchase up to 4.3% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s board of directors believes its shares are undervalued.

Trending Headlines about Aercap

Here are the key news stories impacting Aercap this week:

• Positive Sentiment: Q1 results beat and strong guidance — AerCap reported sizable beats (EPS and revenue), outlined full-year adjusted EPS of $14.50 and authorized a $1.0 billion share repurchase program, which supports buyback-driven EPS upside. AerCap outlines $14.50 full-year adjusted EPS and authorizes new $1B share repurchase program
• Positive Sentiment: $1.0B buyback authorization reiterated — Board approved repurchases equal to roughly 4.3% of shares outstanding, a clear capital-return signal and potential support for the stock. RTT News – Stock Buybacks
• Positive Sentiment: Analyst upgrades / higher targets — Truist raised its price target to $161 with a buy rating, and JPMorgan raised its PT to $155 with an overweight stance, adding upward analyst momentum. Aercap Given New $161.00 Price Target at Truist Financial Benzinga – JPMorgan uptick
• Positive Sentiment: Operational commentary — coverage noting AerCap is strengthening its position in the aviation sector, which supports longer-term leasing growth expectations. Aercap strengthens position in aviation sector
• Positive Sentiment: Dividend declared — board declared a $0.40 quarterly dividend (ex-dividend date May 13), adding modest yield and another cash-return element. (Yield ~1.1% annualized)
• Neutral Sentiment: Morgan Stanley trimmed its PT to $155 and moved to equal-weight — a modestly less bullish stance that introduces some analyst balance to the story. Benzinga – Morgan Stanley update The Fly – Morgan Stanley update
• Neutral Sentiment: Fuel-price risk is a mixed factor — management and coverage note that prolonged higher jet-fuel/oil prices are a risk but could create lease-renegotiation or trading opportunities for lessors; this raises both upside and downside scenarios. AerCap says prolonged high oil prices could bring opportunities
• Negative Sentiment: Price reaction and volume — despite the positive corporate actions, the stock is trading down today on lighter-than-average volume, suggesting short-term profit-taking or rotation that could persist until sentiment on fuel costs and analyst consensus stabilizes.

Analyst Ratings Changes

AER has been the topic of a number of research analyst reports. Barclays upped their price target on shares of Aercap from $162.00 to $164.00 and gave the stock an “overweight” rating in a report on Thursday. Weiss Ratings restated a “buy (b+)” rating on shares of Aercap in a report on Monday, April 20th. Susquehanna upped their price target on shares of Aercap from $165.00 to $170.00 and gave the stock a “positive” rating in a report on Thursday. Deutsche Bank Aktiengesellschaft set a $175.00 price target on shares of Aercap and gave the stock a “buy” rating in a report on Tuesday, February 10th. Finally, Morgan Stanley cut their price target on shares of Aercap from $160.00 to $155.00 and set an “equal weight” rating on the stock in a report on Thursday. Eight investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $163.13.

Institutional Trading of Aercap

A number of hedge funds have recently added to or reduced their stakes in AER. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC purchased a new stake in Aercap in the fourth quarter worth about $282,665,000. Alyeska Investment Group L.P. lifted its stake in Aercap by 642.7% in the third quarter. Alyeska Investment Group L.P. now owns 1,111,552 shares of the financial services provider’s stock worth $134,498,000 after acquiring an additional 961,890 shares during the period. Two Sigma Investments LP lifted its stake in Aercap by 49.9% in the third quarter. Two Sigma Investments LP now owns 1,586,800 shares of the financial services provider’s stock worth $192,003,000 after acquiring an additional 528,315 shares during the period. Qube Research & Technologies Ltd lifted its stake in Aercap by 46.2% in the third quarter. Qube Research & Technologies Ltd now owns 1,301,699 shares of the financial services provider’s stock worth $157,506,000 after acquiring an additional 411,364 shares during the period. Finally, Amundi lifted its stake in Aercap by 19.7% in the fourth quarter. Amundi now owns 2,303,560 shares of the financial services provider’s stock worth $331,160,000 after acquiring an additional 378,718 shares during the period. 96.42% of the stock is owned by hedge funds and other institutional investors.

About Aercap

AerCap Holdings N.V. (NYSE: AER) is a global aircraft leasing and aviation finance company that acquires, leases, sells and manages commercial aircraft and engines. Its core services include operating leases, finance leases, sale-and-leaseback transactions, aircraft trading and remarketing, and asset management for airline customers. The company also provides related commercial and technical support services designed to optimize fleet utilization and residual values over the life cycle of aircraft and engines.

Operating with a broad global footprint, AerCap serves airlines and other aviation customers across North America, Europe, Asia-Pacific, Latin America, the Middle East and Africa.