Air Lease (AL) vs. Its Competitors Head to Head Analysis

Air Lease (NYSE:AL) is one of 14 public companies in the “TRANS – EQP&LSNG” industry, but how does it contrast to its rivals? We will compare Air Lease to related companies based on the strength of its earnings, dividends, analyst recommendations, institutional ownership, profitability, valuation and risk.

Dividends

Air Lease pays an annual dividend of $0.88 per share and has a dividend yield of 1.4%. Air Lease pays out 9.5% of its earnings in the form of a dividend. As a group, “TRANS – EQP&LSNG” companies pay a dividend yield of 1.3% and pay out 20.9% of their earnings in the form of a dividend. Air Lease has increased its dividend for 13 consecutive years. Air Lease is clearly a better dividend stock than its rivals, given its higher yield and lower payout ratio.

Earnings and Valuation

This table compares Air Lease and its rivals gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Air Lease	$3.02 billion	$1.09 billion	6.98
Air Lease Competitors	$3.87 billion	$571.05 million	-33.94

Air Lease’s rivals have higher revenue, but lower earnings than Air Lease. Air Lease is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Air Lease and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Air Lease	35.72%	8.54%	2.13%
Air Lease Competitors	1.03%	10.85%	1.92%

Institutional and Insider Ownership

94.6% of Air Lease shares are held by institutional investors. Comparatively, 86.4% of shares of all “TRANS – EQP&LSNG” companies are held by institutional investors. 6.6% of Air Lease shares are held by insiders. Comparatively, 10.3% of shares of all “TRANS – EQP&LSNG” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Volatility & Risk

Air Lease has a beta of 1.07, suggesting that its share price is 7% more volatile than the S&P 500. Comparatively, Air Lease’s rivals have a beta of 1.48, suggesting that their average share price is 48% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations and price targets for Air Lease and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Air Lease	0	3	2	1	2.67
Air Lease Competitors	143	628	1070	67	2.56

Air Lease currently has a consensus target price of $66.00, suggesting a potential upside of 1.54%. As a group, “TRANS – EQP&LSNG” companies have a potential upside of 9.98%. Given Air Lease’s rivals higher probable upside, analysts plainly believe Air Lease has less favorable growth aspects than its rivals.

Summary

Air Lease beats its rivals on 9 of the 15 factors compared.

About Air Lease

Air Lease Corporation, an aircraft leasing company, engages in the purchase and leasing of commercial jet aircraft to airlines worldwide. It sells aircraft from its fleet to third parties, including other leasing companies, financial services companies, airlines, and other investors. The company provides fleet management services to investors and owners of aircraft portfolios. As of December 31, 2023, it owned a fleet of 463 aircraft, including 345 narrowbody aircraft and 118 widebody aircraft. Air Lease Corporation was incorporated in 2010 and is headquartered in Los Angeles, California.