Air Lease (NYSE:AL) Shares Gap Down - Here's Why

Air Lease Corporation (NYSE:AL) saw its stock price gap down at the start of trading on Friday. The stock, which had closed at $46.30, opened at a lower price of $45.20. As of the last trade, shares were priced at $45.66, with a trading volume of 114,030 shares.

Analysts Set New Price Targets

Multiple research analysts have recently shared their insights on Air Lease shares. For instance, JPMorgan Chase & Co. raised their target price for Air Lease from $56.00 to $57.00, maintaining an "overweight" rating in their report released on February 18th. Conversely, Bank of America has downgraded Air Lease from a "buy" rating to "underperform," cutting their target price from $72.00 to $50.00 in a report released on Friday. Additionally, The Goldman Sachs Group reiterated a "buy" rating while setting a price target of $65.00 for Air Lease in a report on November 21st. Overall, one analyst has assigned a sell rating, one a hold rating, and four analysts have given the company a buy rating. According to MarketBeat, Air Lease has a consensus rating of "Moderate Buy" with an average target price of $56.80.

Air Lease Stock Down 4.7%

As of the most recent evaluation, Air Lease has a market capitalization of $4.92 billion. The company has a price-to-earnings (PE) ratio of 13.24, a price-to-earnings-growth (PEG) ratio of 1.33, and a beta of 1.59. Analyzing further, the fifty-day simple moving average stands at $47.10, while the 200-day simple moving average is at $46.62. The financial ratios indicate that Air Lease has a current ratio of 0.37, a quick ratio also at 0.37, and a debt-to-equity ratio of 2.68.

On February 13th, Air Lease reported its latest quarterly earnings. The company posted earnings of $1.26 per share, exceeding the estimated expectation of $0.82 by $0.44. The company reported a return on equity of 8.01% and a net margin of 15.65%. Analysts project that Air Lease will achieve $5.16 earnings per share for this fiscal year.

Air Lease Dividend Announcement

The company has also announced plans for a quarterly dividend, set to be paid on April 7th to stockholders of record on March 18th. This dividend amounts to $0.22 per share, marking an annualized total of $0.88 and providing a yield of 1.99%. The ex-dividend date is also March 18th, and Air Lease's current dividend payout ratio is 26.43%.

Institutional Investors Weigh In On Air Lease

Recent activity has shown that institutional investors and hedge funds are adjusting their holdings in Air Lease. Notably, Wellington Management Group LLP has increased its stake in the company by 7.2% in the fourth quarter, now owning 5,384,230 shares valued at approximately $259,574,000 after acquiring an additional 362,585 shares last quarter. State Street Corp also saw a slight increase by 0.8%, owning 3,410,373 shares worth $155,180,000 after a purchase of 25,874 shares. American Century Companies Inc. raised its stake by 13.7%, now owning 3,226,921 shares. Royce & Associates LP increased its holdings by 2.5%, while Allspring Global Investments Holdings LLC amplified their stake by 43.0% during the same period. Currently, 94.59% of Air Lease stock is held by hedge funds and other institutional investors.

Air Lease Company Profile

Air Lease Corporation focuses on the leasing of commercial jet aircraft to airlines worldwide. The company actively engages in purchasing aircraft for leasing, and it also provides fleet management services to various investors and owners of aircraft.

Final Thoughts

Before making any investment in Air Lease, investors should critically analyze current market conditions and the sentiments expressed by financial analysts. While Air Lease has been rated as a moderate buy from various analysts, it is advisable to conduct thorough research to understand better your potential investment.

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