AAR (NYSE:AIR) Shares Gap Up - What's Next?

Key Points

• AAR shares gapped higher, opening at $130.31 versus a prior close of $124.60, before trading at $125.62. The company has a consensus “Moderate Buy” rating and an average analyst price target of $135.60.
• AAR’s latest quarterly results exceeded expectations, with earnings of $1.53 per share versus $1.38 expected and revenue of $928 million versus $893.03 million projected. Revenue increased 23% year over year.
• Institutional investors own approximately 90.74% of AAR’s stock, with several firms adding positions during the second quarter, including Corient Private Wealth, which increased its holdings by more than 1,500%.

AAR Corp. (NYSE:AIR - Get Free Report) shares gapped up prior to trading on Friday . The stock had previously closed at $124.60, but opened at $130.31. AAR shares last traded at $125.62, with a volume of 4,955 shares changing hands.

Analyst Upgrades and Downgrades

A number of research firms have issued reports on AIR. Truist Financial increased their price target on AAR from $128.00 to $145.00 and gave the stock a "buy" rating in a report on Monday, July 27th. Zacks Research upgraded shares of AAR from a "hold" rating to a "strong-buy" rating in a research note on Friday, July 10th. Wall Street Zen downgraded shares of AAR from a "buy" rating to a "hold" rating in a research report on Saturday, August 1st. KeyCorp reissued a "sector weight" rating on shares of AAR in a research note on Wednesday, July 22nd. Finally, Weiss Ratings upgraded shares of AAR from a "buy (b-)" rating to a "buy (b)" rating in a report on Thursday, July 23rd. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $135.60.

AAR Stock Up 0.8%

The company has a quick ratio of 1.24, a current ratio of 2.84 and a debt-to-equity ratio of 0.52. The stock has a 50 day simple moving average of $136.58 and a 200 day simple moving average of $123.63. The stock has a market cap of $5.00 billion, a price-to-earnings ratio of 25.85 and a beta of 1.11.

AAR (NYSE:AIR - Get Free Report) last issued its earnings results on Tuesday, July 21st. The aerospace company reported $1.53 earnings per share for the quarter, topping analysts' consensus estimates of $1.38 by $0.15. AAR had a return on equity of 12.67% and a net margin of 5.67%.The company had revenue of $928.00 million for the quarter, compared to analyst estimates of $893.03 million. During the same period in the prior year, the firm earned $1.16 earnings per share. AAR's revenue for the quarter was up 23.0% on a year-over-year basis. As a group, analysts expect that AAR Corp. will post 5.92 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of AIR. Integrated Wealth Concepts LLC bought a new position in shares of AAR in the second quarter valued at $84,000. Baird Financial Group Inc. bought a new stake in shares of AAR during the second quarter worth about $263,000. Nykredit A S bought a new stake in shares of AAR during the second quarter worth about $63,000. Corient Private Wealth LP raised its holdings in shares of AAR by 1,523.4% in the 2nd quarter. Corient Private Wealth LP now owns 38,167 shares of the aerospace company's stock worth $5,455,000 after acquiring an additional 35,816 shares during the last quarter. Finally, HighTower Advisors LLC raised its holdings in shares of AAR by 10.4% in the 2nd quarter. HighTower Advisors LLC now owns 3,224 shares of the aerospace company's stock worth $461,000 after acquiring an additional 304 shares during the last quarter. Institutional investors and hedge funds own 90.74% of the company's stock.

About AAR

AAR Corp. is a global provider of aviation services supporting commercial aviation, government and defense customers. The company supplies aircraft parts and equipment, manages inventory and logistics, and provides maintenance, repair and overhaul services for aircraft and components.

AAR's offerings include parts distribution, supply-chain management, aircraft maintenance, airframe and component repair, and mobility solutions for government and defense operators. Its services are designed to help airlines, aircraft operators and government agencies maintain fleet readiness and manage aviation assets.

Founded in 1955, AAR is headquartered in Wood Dale, Illinois, and serves customers across North America, Europe, Asia and other international markets.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.