Air Lease (US:AL) ZACKS·2025-06-18 16:51Core Viewpoint - Air Lease Corporation (AL) is positioned as an impressive investment option due to multiple favorable factors impacting its performance [1]. Performance Metrics - AL's stock has increased by 18.5% over the past three months, outperforming the Zacks Transportation - Equipment and Leasing industry's growth of 5.3% [2][7]. - The company has a Zacks Rank of 2 (Buy) and a VGM Score of B, indicating strong investment potential [4]. Earnings Estimates - The Zacks Consensus Estimate for AL's earnings per share (EPS) has been revised upward by 0.76% for the current quarter and by 2.37% for 2025 [5][9]. - AL's EPS is expected to grow by 9.55% year over year for 2025, with a projected increase of 8.13% for the second quarter of 2025 [9]. Industry Context - The industry rank for Air Lease is currently 46 out of 245, placing it in the top 19% of Zacks Industries, which is favorable for stock performance [10]. - The performance of the industry group significantly influences stock price movements, making it essential to consider industry dynamics [10]. Growth Drivers - Air Lease has a diversified customer base of 116 airlines across 58 countries, with over 95% of revenues generated from international airlines [11]. - The company reported $61 million in gains from the sale of 16 aircraft in Q1 2025, contributing to its revenue growth [11]. - As of March 31, 2025, AL owned 487 aircraft with a net book value of $28.6 billion, and the total fleet size was 804 [11]. Shareholder Returns - AL maintains a quarterly dividend of 22 cents per share, resulting in an annualized dividend of 88 cents per share and a dividend yield of 1.56% [12]. - Dividend payments are viewed as a safe investment strategy, providing a hedge against economic uncertainty [12].