AIR LEASE CORP (AL)
US00912X3026 - Common Stock
Overall AL gets a fundamental rating of 3 out of 10. We evaluated AL against 52 industry peers in the Trading Companies & Distributors industry. While AL is still in line with the averages on profitability rating, there are concerns on its financial health. AL has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year AL was profitable.
AL had a positive operating cash flow in the past year.
Of the past 5 years AL 4 years were profitable.
Each year in the past 5 years AL had a positive operating cash flow.
1.2 Ratios
AL has a worse Return On Assets (1.88%) than 69.23% of its industry peers.
Looking at the Return On Equity, with a value of 8.00%, AL is doing worse than 65.38% of the companies in the same industry.
With a Return On Invested Capital value of 4.10%, AL is not doing good in the industry: 71.15% of the companies in the same industry are doing better.
AL had an Average Return On Invested Capital over the past 3 years of 3.72%. This is significantly below the industry average of 11.83%.
The 3 year average ROIC (3.72%) for AL is below the current ROIC(4.10%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 8% | ||
| ROIC | 4.1% |
ROA(3y)0.97%
ROA(5y)1.51%
ROE(3y)3.91%
ROE(5y)6.04%
ROIC(3y)3.72%
ROIC(5y)3.95%
1.3 Margins
AL has a better Profit Margin (21.34%) than 98.08% of its industry peers.
AL's Profit Margin has declined in the last couple of years.
AL has a Operating Margin of 51.98%. This is amongst the best in the industry. AL outperforms 100.00% of its industry peers.
AL's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 51.98% | ||
| PM (TTM) | 21.34% | ||
| GM | N/A |
OM growth 3Y-2.25%
OM growth 5Y-2.34%
PM growth 3Y-4.96%
PM growth 5Y-6.84%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AL is destroying value.
Compared to 1 year ago, AL has about the same amount of shares outstanding.
AL has about the same amout of shares outstanding than it did 5 years ago.
AL has a better debt/assets ratio than last year.
2.2 Solvency
AL has an Altman-Z score of 0.48. This is a bad value and indicates that AL is not financially healthy and even has some risk of bankruptcy.
AL's Altman-Z score of 0.48 is on the low side compared to the rest of the industry. AL is outperformed by 88.46% of its industry peers.
A Debt/Equity ratio of 2.68 is on the high side and indicates that AL has dependencies on debt financing.
AL has a worse Debt to Equity ratio (2.68) than 76.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.68 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.48 |
ROIC/WACC0.67
WACC6.09%
2.3 Liquidity
A Current Ratio of 0.17 indicates that AL may have some problems paying its short term obligations.
AL has a worse Current ratio (0.17) than 96.15% of its industry peers.
A Quick Ratio of 0.17 indicates that AL may have some problems paying its short term obligations.
With a Quick ratio value of 0.17, AL is not doing good in the industry: 96.15% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.17 | ||
| Quick Ratio | 0.17 |
3. Growth
3.1 Past
The earnings per share for AL have decreased strongly by -12.71% in the last year.
AL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.28% yearly.
The Revenue has grown by 15.87% in the past year. This is quite good.
AL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.84% yearly.
EPS 1Y (TTM)-12.71%
EPS 3Y5.47%
EPS 5Y2.28%
EPS growth Q2Q56.2%
Revenue 1Y (TTM)15.87%
Revenue growth 3Y10.03%
Revenue growth 5Y9.84%
Revenue growth Q2Q19.11%
3.2 Future
AL is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.79% yearly.
Based on estimates for the next years, AL will show a small growth in Revenue. The Revenue will grow by 7.20% on average per year.
EPS Next Y-6.45%
EPS Next 2Y4.84%
EPS Next 3Y5.79%
EPS Next 5YN/A
Revenue Next Year8.76%
Revenue Next 2Y9.19%
Revenue Next 3Y7.2%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.03, the valuation of AL can be described as reasonable.
Based on the Price/Earnings ratio, AL is valued cheaper than 88.46% of the companies in the same industry.
When comparing the Price/Earnings ratio of AL to the average of the S&P500 Index (24.84), we can say AL is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 10.72, the valuation of AL can be described as reasonable.
84.62% of the companies in the same industry are more expensive than AL, based on the Price/Forward Earnings ratio.
AL's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.03 | ||
| Fwd PE | 10.72 |
4.2 Price Multiples
AL's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.93 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)4.39
EPS Next 2Y4.84%
EPS Next 3Y5.79%
5. Dividend
5.1 Amount
AL has a Yearly Dividend Yield of 1.63%. Purely for dividend investing, there may be better candidates out there.
AL's Dividend Yield is a higher than the industry average which is at 1.74.
AL's Dividend Yield is slightly below the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.63% |
5.2 History
On average, the dividend of AL grows each year by 24.88%, which is quite nice.
AL has been paying a dividend for at least 10 years, so it has a reliable track record.
AL has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)24.88%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
AL pays out 22.78% of its income as dividend. This is a sustainable payout ratio.
AL's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP22.78%
EPS Next 2Y4.84%
EPS Next 3Y5.79%
AIR LEASE CORP
NYSE:AL (4/26/2024, 7:04:00 PM)
After market: 51.66 0 (0%)51.66
+0.1 (+0.19%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap5.75B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.63% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.03 | ||
| Fwd PE | 10.72 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)4.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 8% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 51.98% | ||
| PM (TTM) | 21.34% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.68 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.17 | ||
| Quick Ratio | 0.17 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-12.71%
EPS 3Y5.47%
EPS 5Y
EPS growth Q2Q
EPS Next Y-6.45%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)15.87%
Revenue growth 3Y10.03%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y