Core Viewpoint - The company has exceeded high expectations for performance entering 2025, with an initial target set at $10 per share in core valuation [1]. Group 1 - The individual investor and family office principal has over 20 years of investment experience, focusing on fundamental analysis and identifying undervalued asset classes that offer a favorable risk/reward trade-off [1]. - The investment strategy includes employing options strategies, such as covered calls on overvalued companies and writing puts on stocks that are desired at lower prices [1]. - The educational background includes an MBA in Finance from NYU Stern and an undergraduate degree in Computer Science [1]. Group 2 - The analyst has a beneficial long position in the shares of AER, which may include stock ownership, options, or other derivatives [2]. - The article reflects the analyst's personal opinions and is not influenced by compensation from any company mentioned [2].

Core Viewpoint - The head of AerCap, the world's largest aircraft leasing company, advised against overreacting to recent geopolitical and economic uncertainties, emphasizing the resilience of the aviation financing industry [1] Group 1: Company Insights - AerCap is positioned as the largest aircraft leasing company globally, indicating its significant influence in the aviation financing sector [1] - The leadership at AerCap is focused on maintaining a balanced perspective amidst current market volatility, suggesting a strategic approach to navigating challenges [1] Group 2: Industry Context - The aviation financing industry is characterized by its ability to withstand geopolitical and economic fluctuations, highlighting its robustness [1] - Recent uncertainties in the market have prompted discussions about the future of aviation financing, but industry leaders advocate for a measured response rather than panic [1]

Investment Rating - The industry rating is "Outperform" [1][51] Core Insights - Aircraft manufacturers are slowly recovering their production capacity, but delivery delays persist due to supply chain and labor shortages. Boeing is expected to deliver 600 aircraft in 2025, averaging about 50 per month, while Airbus is projected to deliver 793 aircraft, averaging about 66 per month. The backlog of aircraft orders remains at historically high levels [2][5][7]. - Global civil aviation passenger traffic growth has slowed down, with all regions except Africa experiencing a decrease in year-on-year growth rates compared to October. Africa's airlines saw an increase of 12.6%. Europe accounted for the largest share of international passenger traffic, with a year-on-year growth of 6.8% in November, while Asia's international passenger traffic grew by 9.3% [2][11][15][18]. - Overall, while aircraft manufacturers' production capacity is recovering, it still cannot meet the continuously expanding demand for aircraft. The aircraft leasing market remains strong, benefiting from the tight supply-demand situation. The Asia-Pacific aviation market has significant growth potential, providing broader development space for Chinese aircraft leasing companies, which are currently undervalued compared to global leader AerCap [2][3][4]. Summary by Sections 1. Aircraft Supply Continues to be Tight - Boeing's monthly delivery volume has significantly improved compared to last year, while Airbus's delivery volume is slightly better than the same period last year. However, both manufacturers' delivery levels are still far from previous highs [5]. - The backlog of aircraft orders remains at historical highs, with Boeing and Airbus accumulating new orders of 1,175 and 1,000 aircraft respectively in 2025 [7]. 2. Update on Civil Aviation Passenger Demand - In November 2025, global aviation revenue passenger kilometers (RPK) grew by 5.7% year-on-year, down from 6.6% in October. The global passenger load factor (PLF) reached 83.7%, the highest for November on record [11][15]. - The international passenger traffic in November showed robust growth, with Asia-Pacific and Europe regions maintaining strong performance, while North America saw a growth of 4.0% [18]. 3. Tracking Aircraft Leasing Companies - As of June 30, 2025, Bohai Leasing has the largest number of owned aircraft (628), while China Aircraft Leasing has the least (151). In terms of aircraft orders, Bohai Leasing also leads with 442 orders [39][44]. - The average remaining lease term for China Aircraft Leasing is relatively long at 7.9 years, ensuring long-term stability for the company's leases [47].

AerCap (AER) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.Individual investors often find it ...

L1 Capital, an investment management firm, released its “L1 Capital International Fund” (unhedged) fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. The Strategy focuses on investing in high-quality companies with favorable cashflow-based valuations. The letter highlighted the current investment environment, the Fund’s positioning, portfolio adjustments, and the quarterly (December) and yearly (2025) review. The firm considers valuation analysis essential for potential AI-foc ...

Core Viewpoint - AerCap (AER) is positioned well to potentially beat earnings estimates in its upcoming quarterly report, supported by a strong history of exceeding expectations [1]. Earnings Performance - AerCap has a solid track record of surpassing earnings estimates, with an average surprise of 30.09% over the last two quarters [2]. - In the last reported quarter, AerCap achieved earnings of $4.97 per share, significantly exceeding the Zacks Consensus Estimate of $3.16 per share, resulting in a surprise of 57.28% [3]. - For the previous quarter, the company was expected to report earnings of $2.75 per share but delivered $2.83 per share, yielding a surprise of 2.91% [3]. Earnings Estimates and Predictions - Estimates for AerCap have been trending upward, influenced by its history of earnings surprises [6]. - The stock currently has a positive Zacks Earnings ESP (Expected Surprise Prediction) of +8.70%, indicating increased analyst optimism regarding its near-term earnings potential [9]. - The combination of a positive Earnings ESP and a Zacks Rank of 3 (Hold) suggests a high likelihood of another earnings beat, with historical data showing that this combination results in positive surprises nearly 70% of the time [7][9]. Upcoming Earnings Report - AerCap's next earnings report is anticipated to be released on February 6, 2026 [9].

Group 1 - Oakmark Fund's objective is to deliver capital appreciation by investing in diverse large-cap US companies, and in Q4 2025, it outperformed the S&P 500 Index with a return of 4.78% compared to the index's 2.66% [1] - AerCap Holdings N.V. is highlighted as a key stock, with a market capitalization of $25.727 billion, a one-month return of 2.36%, and a 52-week gain of 49.13% [2] - AerCap is recognized as the largest aircraft lessor globally, benefiting from secular growth in global travel demand, and possesses scale advantages that allow for a higher return on equity (ROE) than its peers [3] Group 2 - The management's opportunistic, returns-focused approach to growth is seen as a key driver of AerCap's performance, with shares purchased at a modest premium to book value or a single-digit price-to-earnings (P/E) multiple [3] - AerCap is not among the 30 Most Popular Stocks Among Hedge Funds, with 55 hedge fund portfolios holding its shares at the end of Q3, down from 63 in the previous quarter [4] - While AerCap is acknowledged for its investment potential, certain AI stocks are considered to offer greater upside potential and less downside risk [4]

Core Viewpoint - AerCap Holdings has signed purchase and leaseback agreements with Virgin Atlantic for six new Airbus A330-900 aircraft, with deliveries scheduled from Q2 2026 to Q4 2027 [1][2]. Group 1: AerCap Holdings - AerCap is a global leader in aviation leasing, serving approximately 300 customers worldwide with a comprehensive fleet solution [3]. - The company is listed on the New York Stock Exchange (AER) and is headquartered in Dublin, with offices in various global locations [3]. Group 2: Virgin Atlantic - Virgin Atlantic, founded by Sir Richard Branson in 1984, emphasizes innovation and customer service, and was voted Britain's only Global Five Star Airline by APEX for nine consecutive years [4]. - The airline operates a leading transatlantic network in partnership with Delta Air Lines, offering connections to over 200 cities globally [5]. - Virgin Atlantic has committed to achieving Net Zero by 2050 and operates one of the youngest and most fuel-efficient fleets, with an average aircraft age under seven years [6].

Core Viewpoint - AerCap Holdings N.V. has successfully priced an offering of senior notes totaling $1.75 billion, which includes $900 million of 4.125% Senior Notes due 2029 and $850 million of 4.750% Senior Notes due 2033, aimed at financing aircraft assets and repaying debt [1][2]. Group 1: Offering Details - The offering consists of two types of senior notes: $900 million of 4.125% Senior Notes due 2029 and $850 million of 4.750% Senior Notes due 2033 [1]. - The notes will be fully and unconditionally guaranteed on a senior unsecured basis by AerCap and certain subsidiaries [1]. Group 2: Use of Proceeds - The net proceeds from the notes will be utilized for general corporate purposes, including the acquisition, investment, financing, or refinancing of aircraft assets and repayment of existing indebtedness [2]. Group 3: Underwriters - The joint book-running managers for the underwritten public offering include J.P. Morgan, Wells Fargo Securities, Credit Agricole CIB, Goldman Sachs & Co. LLC, and RBC Capital Markets [2]. Group 4: Company Overview - AerCap is recognized as the global leader in aviation leasing, serving approximately 300 customers worldwide with a comprehensive range of fleet solutions [6]. - The company is listed on the New York Stock Exchange under the ticker AER and has a presence in multiple global locations including Dublin, Shannon, Memphis, Miami, Singapore, London, Dubai, Shanghai, and Amsterdam [6].

Core Viewpoint - AerCap Holdings N.V. will host a conference call and webcast on February 6, 2026, to discuss its fourth quarter 2025 financial results [1]. Group 1: Conference Call Details - The fourth quarter 2025 earnings press release will be released before the U.S. financial markets open on February 6, 2026, and will be available on AerCap's website [2]. - The conference call can be accessed by dialing specific numbers for U.S./Canada and international participants, with a reference code provided [3]. - A replay of the webcast will be archived on the "Investors" section of AerCap's website for one year [3]. Group 2: Company Overview - AerCap is a global leader in aviation leasing, serving approximately 300 customers worldwide with comprehensive fleet solutions [4]. - The company is listed on the New York Stock Exchange (AER) and is headquartered in Dublin, with offices in multiple global locations [4].