AerCap (NYSE:AER) Hits New 1-Year High After Better-Than-Expected Earnings

AerCap Holdings (NYSE:AER - Get Free Report) reached a new 52-week high during trading on Wednesday following a better than expected earnings announcement. The company traded as high as $108.49 and last traded at $107.11, with a volume of 187371 shares trading hands. The stock had previously closed at $105.74.

The financial services provider reported $3.68 earnings per share for the quarter, beating analysts' consensus estimates of $2.69 by $0.99. The business had revenue of $2.08 billion for the quarter, compared to the consensus estimate of $2.01 billion. AerCap had a return on equity of 13.98% and a net margin of 32.38%. The firm's revenue was up 2.9% compared to the same quarter last year. During the same period last year, the business earned $3.29 EPS.

AerCap Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, June 5th. Shareholders of record on Wednesday, May 14th will be issued a dividend of $0.27 per share. The ex-dividend date of this dividend is Wednesday, May 14th. This represents a $1.08 dividend on an annualized basis and a dividend yield of 1.00%. AerCap's payout ratio is presently 9.58%.

AerCap declared that its board has initiated a share repurchase plan on Wednesday, February 26th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the financial services provider to repurchase up to 4.9% of its stock through open market purchases. Stock buyback plans are generally an indication that the company's management believes its stock is undervalued.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the company. Bank of America boosted their target price on AerCap from $105.00 to $125.00 and gave the company a "buy" rating in a research note on Friday, March 7th. Barclays reaffirmed an "overweight" rating and issued a $115.00 price objective (up from $113.00) on shares of AerCap in a research report on Thursday, February 27th. Morgan Stanley upped their target price on AerCap from $101.00 to $111.00 and gave the company an "equal weight" rating in a research report on Thursday. Susquehanna upped their target price on AerCap from $108.00 to $120.00 and gave the company a "positive" rating in a research report on Thursday, February 27th. Finally, JPMorgan Chase & Co. lifted their price target on shares of AerCap from $112.00 to $114.00 and gave the company an "overweight" rating in a report on Thursday. One equities research analyst has rated the stock with a sell rating, one has issued a hold rating and seven have given a buy rating to the company. According to data from MarketBeat, AerCap presently has a consensus rating of "Moderate Buy" and an average price target of $118.00.

Institutional Trading of AerCap

Hedge funds and other institutional investors have recently modified their holdings of the business. Ameriflex Group Inc. bought a new stake in AerCap in the 4th quarter worth about $27,000. Toth Financial Advisory Corp purchased a new position in AerCap during the fourth quarter valued at $29,000. Mather Group LLC. increased its stake in AerCap by 230.1% in the 1st quarter. Mather Group LLC. now owns 307 shares of the financial services provider's stock worth $31,000 after acquiring an additional 214 shares during the last quarter. Pinpoint Asset Management Ltd bought a new position in AerCap during the fourth quarter valued at $35,000. Finally, Fortitude Family Office LLC purchased a new position in AerCap in the fourth quarter worth about $38,000. 96.42% of the stock is owned by hedge funds and other institutional investors.

AerCap Trading Up 0.8 %

The company has a 50-day moving average price of $99.54 and a two-hundred day moving average price of $97.66. The stock has a market cap of $20.10 billion, a P/E ratio of 8.53, a P/E/G ratio of 2.22 and a beta of 1.41. The company has a current ratio of 0.67, a quick ratio of 0.67 and a debt-to-equity ratio of 2.89.

AerCap Company Profile

AerCap Holdings N.V. engages in the lease, financing, sale, and management of commercial flight equipment in China, Hong Kong, Macau, the United States, Ireland, and internationally. The company offers aircraft asset management services, such as remarketing aircraft and engines; collecting rental and maintenance rent payments, monitoring aircraft maintenance, monitoring and enforcing contract compliance, and accepting delivery and redelivery of aircraft and engines; and conducting ongoing lessee financial performance reviews.