FTAI AVIATION LTD (FTAI)
KYG3730V1059 - Common Stock
Taking everything into account, FTAI scores 5 out of 10 in our fundamental rating. FTAI was compared to 51 industry peers in the Trading Companies & Distributors industry. While FTAI is still in line with the averages on profitability rating, there are concerns on its financial health. FTAI is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
FTAI had positive earnings in the past year.
In the past year FTAI had a positive cash flow from operations.
In multiple years FTAI reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: FTAI reported negative operating cash flow in multiple years.
1.2 Ratios
With a Return On Assets value of 7.15%, FTAI perfoms like the industry average, outperforming 58.82% of the companies in the same industry.
The Return On Equity of FTAI (120.90%) is better than 92.16% of its industry peers.
The Return On Invested Capital of FTAI (10.04%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for FTAI is significantly below the industry average of 11.58%.
The last Return On Invested Capital (10.04%) for FTAI is above the 3 year average (5.42%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.15% | ||
| ROE | 120.9% | ||
| ROIC | 10.04% |
ROA(3y)-1.52%
ROA(5y)-0.15%
ROE(3y)-352.23%
ROE(5y)-209.86%
ROIC(3y)5.42%
ROIC(5y)3.86%
1.3 Margins
FTAI has a Profit Margin of 18.11%. This is amongst the best in the industry. FTAI outperforms 84.31% of its industry peers.
In the last couple of years the Profit Margin of FTAI has grown nicely.
With an excellent Operating Margin value of 30.50%, FTAI belongs to the best of the industry, outperforming 86.27% of the companies in the same industry.
FTAI's Operating Margin has improved in the last couple of years.
The Gross Margin of FTAI (55.59%) is better than 84.31% of its industry peers.
FTAI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.5% | ||
| PM (TTM) | 18.11% | ||
| GM | 55.59% |
OM growth 3Y32.62%
OM growth 5Y25.35%
PM growth 3YN/A
PM growth 5Y60.04%
GM growth 3Y-16.35%
GM growth 5Y-10.25%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), FTAI is creating some value.
Compared to 1 year ago, FTAI has more shares outstanding
Compared to 5 years ago, FTAI has more shares outstanding
FTAI has a better debt/assets ratio than last year.
2.2 Solvency
FTAI has an Altman-Z score of 2.48. This is not the best score and indicates that FTAI is in the grey zone with still only limited risk for bankruptcy at the moment.
FTAI's Altman-Z score of 2.48 is in line compared to the rest of the industry. FTAI outperforms 50.98% of its industry peers.
FTAI has a Debt/Equity ratio of 14.36. This is a high value indicating a heavy dependency on external financing.
FTAI's Debt to Equity ratio of 14.36 is on the low side compared to the rest of the industry. FTAI is outperformed by 98.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 14.36 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.48 |
ROIC/WACC1.09
WACC9.19%
2.3 Liquidity
FTAI has a Current Ratio of 3.39. This indicates that FTAI is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.39, FTAI is in the better half of the industry, outperforming 76.47% of the companies in the same industry.
A Quick Ratio of 1.34 indicates that FTAI should not have too much problems paying its short term obligations.
FTAI has a Quick ratio (1.34) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.39 | ||
| Quick Ratio | 1.34 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 314.29% over the past year.
FTAI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 77.26% yearly.
Looking at the last year, FTAI shows a very strong growth in Revenue. The Revenue has grown by 65.26%.
Measured over the past years, FTAI shows a very strong growth in Revenue. The Revenue has been growing by 27.90% on average per year.
EPS 1Y (TTM)314.29%
EPS 3YN/A
EPS 5Y77.26%
EPS growth Q2Q445%
Revenue 1Y (TTM)65.26%
Revenue growth 3Y47.28%
Revenue growth 5Y27.9%
Revenue growth Q2Q14.01%
3.2 Future
The Earnings Per Share is expected to grow by 29.97% on average over the next years. This is a very strong growth
Based on estimates for the next years, FTAI will show a very strong growth in Revenue. The Revenue will grow by 21.78% on average per year.
EPS Next Y-24.14%
EPS Next 2Y21.97%
EPS Next 3Y29.97%
EPS Next 5YN/A
Revenue Next Year24.96%
Revenue Next 2Y29.1%
Revenue Next 3Y21.78%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 33.69, FTAI can be considered very expensive at the moment.
FTAI's Price/Earnings ratio is a bit more expensive when compared to the industry. FTAI is more expensive than 70.59% of the companies in the same industry.
FTAI's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 24.92.
Based on the Price/Forward Earnings ratio of 44.41, the valuation of FTAI can be described as expensive.
Based on the Price/Forward Earnings ratio, FTAI is valued a bit more expensive than the industry average as 76.47% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of FTAI to the average of the S&P500 Index (21.49), we can say FTAI is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.69 | ||
| Fwd PE | 44.41 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FTAI is valued a bit more expensive than the industry average as 68.63% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 17.12 |
4.3 Compensation for Growth
The decent profitability rating of FTAI may justify a higher PE ratio.
A more expensive valuation may be justified as FTAI's earnings are expected to grow with 29.97% in the coming years.
PEG (NY)N/A
PEG (5Y)0.44
EPS Next 2Y21.97%
EPS Next 3Y29.97%
5. Dividend
5.1 Amount
FTAI has a Yearly Dividend Yield of 1.64%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.71, FTAI pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 2.41, FTAI is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
5.2 History
FTAI has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
71.53% of the earnings are spent on dividend by FTAI. This is not a sustainable payout ratio.
DP71.53%
EPS Next 2Y21.97%
EPS Next 3Y29.97%
FTAI AVIATION LTD
NASDAQ:FTAI (4/26/2024, 7:00:00 PM)
After market: 70.75 0 (0%)70.75
-2.5 (-3.41%)
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 Cap7.09B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.64% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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Revenue beat(2)
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PT rev (1m)
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EPS NQ rev (1m)
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EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.69 | ||
| Fwd PE | 44.41 | ||
| 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)0.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.15% | ||
| ROE | 120.9% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 30.5% | ||
| PM (TTM) | 18.11% | ||
| GM | 55.59% | ||
| 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 Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 14.36 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.39 | ||
| Quick Ratio | 1.34 | ||
| 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)314.29%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-24.14%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)65.26%
Revenue growth 3Y47.28%
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
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EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
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