FTAI Aviation (FTAI) AI Stock Analysis

• Market Cap: $9.22B
• Dividend Yield: 1.33%
• Average Volume (3M): 1.96M
• Price to Earnings (P/E): 444.9
• Beta (1Y): 1.13
• Revenue Growth: 57.53%
• EPS Growth: -89.78%
• Country: US
• Employees: 580
• Sector: Industrials
• Sector Strength: 79
• Industry: Rental & Leasing Services
• EPS (TTM): 0.20
• Shares Outstanding: 102,555,980
• 10 Day Avg. Volume: 2,119,009
• 30 Day Avg. Volume: 1,963,733
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.62
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 16.48
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $179.00
• Price Target Upside: 99.00% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9

FTAI's overall score is driven by positive sentiment from the recent earnings call, highlighting EBITDA growth and strategic initiatives. However, financial performance challenges, including negative profitability and financial instability, weigh heavily against the stock. Technical indicators signal bearish trends, and the valuation is unattractive due to negative earnings, making the stock a cautious prospect despite its strategic advancements.

Positive Factors

Market Expansion

The Rome facility's certification opens up FTAI to further work with Middle Eastern carriers.

Partnerships

Potential new third-party investors joining FTAI’s aircraft leasing partnership could support the company’s ops and signal a vote of confidence on the company’s module/accounting strategies.

Revenue Growth

FTAI's Strategic Capital Initiative generated significant revenues, highlighting its success and importance for the company's aerospace product segment.

Negative Factors

Capacity Constraints

FTAI is capacity constrained rather than demand constrained, indicating strong market interest and potential for growth.

Compliance Concerns

FTAI denies claims of selling to Sorena Turbine, asserting compliance with all applicable laws and sanctions.

Tariff Impact

Tariffs could persuade airlines to lease planes, rather than buy – and FTAI acquires old engines/engine modules, vs. purchasing new equipment.

FTAI Aviation Business Overview & Revenue Model

Company Description

FTAI Aviation (FTAI) is a leading company in the aviation sector, focusing on the acquisition, leasing, and management of aviation-related assets. The company primarily operates in the areas of aircraft leasing, engine leasing, and component sales, serving a diverse range of clients in the aviation industry. FTAI Aviation leverages its expertise and extensive portfolio to provide comprehensive solutions that cater to the needs of airlines, maintenance providers, and other aviation-related entities.

How the Company Makes Money

FTAI Aviation generates revenue through several key streams. The primary source of income is from leasing aircraft and engines to airlines and other operators, which provides a steady stream of rental income. Additionally, the company engages in the sale of aviation components and parts, further diversifying its revenue base. FTAI also benefits from the strategic acquisition and sale of aircraft and engines, capitalizing on market opportunities to maximize returns. Partnerships with airlines and maintenance organizations enhance its service offerings and contribute to its earnings by facilitating long-term leasing agreements and collaborative ventures.

FTAI Aviation Financial Statement Overview

Summary

FTAI Aviation shows strong revenue growth but faces challenges with profitability and financial stability. The negative net margin and the loss of equity in 2024 suggest potential risks in sustaining operations. Cash flow improvements are a positive sign, yet the persistent negative free cash flow highlights the necessity for continued focus on cash management and financial restructuring.

Income Statement

FTAI Aviation has demonstrated solid revenue growth, with a 48.2% increase from 2023 to 2024. However, the net profit margin has turned negative in 2024 at -1.9%, compared to a positive margin of 20.8% in 2023, largely due to a negative net income in 2024. Despite this, the gross profit margin improved to 52.4% in 2024, indicating effective cost management.

Balance Sheet

The balance sheet exhibits significant challenges, with a complete erosion of stockholders' equity in 2024. This results in an undefined debt-to-equity ratio and equity ratio, highlighting potential financial instability. The absence of total liabilities and stockholders' equity data for 2024 raises concerns about the company's financial health.

Cash Flow

FTAI Aviation's cash flow statement reflects a troubling trend, with a negative operating cash flow of -$187.96 million in 2024. The free cash flow remains negative, though there is a substantial improvement in free cash flow from -$647.91 million in 2023 to -$187.96 million in 2024, indicating some progress in cash management.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.73B	1.17B	708.41M	455.80M	366.50M
	Gross Profit
909.02M	498.89M	307.11M	254.05M	194.10M
	EBIT
0.00	356.99M	156.96M	25.90M	43.10M
	EBITDA
497.92M	530.66M	230.71M	263.02M	245.84M
	Net Income Common Stockholders
8.68M	243.82M	-110.61M	-130.71M	-105.02M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
115.12M	90.76M	33.56M	188.08M	121.70M
	Total Assets
4.04B	2.96B	2.43B	4.86B	3.39B
	Total Debt
3.44B	2.52B	2.18B	3.29B	1.97B
	Net Debt
3.33B	2.43B	2.14B	3.11B	1.85B
	Total Liabilities
3.96B	2.79B	2.41B	3.74B	2.29B
	Stockholders Equity
81.37M	175.35M	18.88M	1.12B	1.08B
Cash Flow		Free Cash Flow
-187.96M	-647.91M	-834.31M	-789.67M	-531.67M
	Operating Cash Flow
-187.96M	128.98M	-20.66M	-22.04M	63.11M
	Investing Cash Flow
-469.50M	-373.35M	-411.25M	-1.29B	-509.12M
	Financing Cash Flow
681.81M	282.21M	44.91M	1.59B	364.92M

FTAI Aviation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 89.95
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FTAI, the sentiment is Negative. The current price of 89.95 is below the 20-day moving average (MA) of 96.89, below the 50-day MA of 106.90, and below the 200-day MA of 124.13, indicating a bearish trend. The MACD of -2.45 indicates Negative momentum. The RSI at 41.86 is Neutral, neither overbought nor oversold. The STOCH value of 36.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FTAI.

FTAI Aviation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LTM	77 Outperform	$9.66B	8.99	138.69%	1.99%	6.41%	49.58%
PAC	70 Outperform	$10.49B	22.10	42.32%	3.46%	-2.03%	-11.39%
JBHT	64 Neutral	$13.29B	23.92	13.97%	1.29%	-3.82%	-12.80%
Sector *	64 Neutral	$4.28B	11.80	5.33%	250.46%	4.10%	-9.26%
SARO	63 Neutral	$9.33B	874.29		―	14.77%	―
FTAI	58 Neutral	$9.22B	444.86	69.57%	1.33%	57.53%	-89.78%
AMTM	54 Neutral	$4.42B	―		―	―	―

FTAI Aviation Corporate Events

FTAI Aviation Expands Board with New Appointment

On April 30, 2025, FTAI Aviation Ltd. announced the expansion of its Board of Directors to seven members and the appointment of Shyam Gidumal as an independent director, effective May 7, 2025. Mr. Gidumal will also join the Audit Committee and will serve as a Class II director until the 2027 annual general meeting. This strategic appointment is part of FTAI Aviation’s efforts to strengthen its governance structure. The company has ensured transparency by disclosing Mr. Gidumal’s compensation details and confirming no conflicts of interest, which may reassure stakeholders of the integrity and independence of the board’s decision-making process.

Spark’s Take on FTAI Stock

According to Spark, TipRanks’ AI Analyst, FTAI is a Neutral.

FTAI Aviation’s overall stock score is moderate at 58, driven by strong revenue growth and strategic initiatives, offset by profitability challenges and financial instability. Technical indicators are mixed, and valuation concerns persist due to a negative P/E ratio. The positive outlook from earnings guidance provides some support, albeit with noted risks.

To see Spark’s full report on FTAI stock, click here.

FTAI Aviation Appoints New Principal Operating Officer

On April 15, 2025, FTAI Aviation Ltd. appointed David Moreno as the principal operating officer and elected him as an officer under the Securities Exchange Act. Moreno, who has been the Chief Operating Officer since January 2021, has a background in aviation investments from his time at Fortress Investment Group. Additionally, the Board elected Stacy Kuperus and BoHee Yoon as officers. Kuperus, the Chief Portfolio Officer since March 2021, has been pivotal in executing business operations across the company’s assets. Yoon, the General Counsel since February 2025, has a rich legal background, including roles at Fortress Investment Group and other notable companies.

Spark’s Take on FTAI Stock

According to Spark, TipRanks’ AI Analyst, FTAI is a Neutral.

FTAI Aviation’s overall score reflects strong revenue growth and strategic initiatives, but profitability and financial stability challenges weigh heavily. Technical analysis indicates a weak stock momentum, and valuation metrics are concerning. The earnings call highlights growth potential but also points to high capital expenditures as a risk.

To see Spark’s full report on FTAI stock, click here.