AAR’s (AIR) Outperform Rating Reiterated at Royal Bank Of Canada

AAR (NYSE:AIR)‘s stock had its “outperform” rating reissued by equities researchers at Royal Bank Of Canada in a research note issued to investors on Monday, MarketBeat.com reports. They presently have a $145.00 price target on the aerospace company’s stock. Royal Bank Of Canada’s price objective would suggest a potential upside of 34.94% from the stock’s previous close.

AIR has been the topic of several other reports. Truist Financial raised their price target on shares of AAR from $128.00 to $145.00 and gave the stock a “buy” rating in a research note on Monday, July 27th. KeyCorp reiterated a “sector weight” rating on shares of AAR in a report on Wednesday, July 22nd. Weiss Ratings lowered shares of AAR from a “buy (b)” rating to a “buy (b-)” rating in a research note on Friday. Zacks Research upgraded AAR from a “hold” rating to a “strong-buy” rating in a report on Friday, July 10th. Finally, Jefferies Financial Group increased their price target on AAR from $150.00 to $155.00 and gave the company a “buy” rating in a report on Tuesday, July 14th. Four investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $140.60.

AAR Stock Down 6.6%

Shares of AIR opened at $107.45 on Monday. The stock has a 50 day moving average price of $131.46 and a 200 day moving average price of $123.84. AAR has a one year low of $76.10 and a one year high of $154.00. The company has a debt-to-equity ratio of 0.52, a quick ratio of 1.24 and a current ratio of 2.84. The stock has a market capitalization of $4.29 billion, a price-to-earnings ratio of 22.02 and a beta of 1.11.

AAR (NYSE:AIR) last announced its quarterly earnings data on Monday, September 28th. The aerospace company reported $1.49 earnings per share for the quarter, beating analysts’ consensus estimates of $1.30 by $0.19. AAR had a return on equity of 13.20% and a net margin of 5.55%.The company had revenue of $918.00 million for the quarter, compared to analyst estimates of $878.81 million. During the same quarter last year, the firm posted $1.08 EPS. The firm’s revenue for the quarter was up 24.1% on a year-over-year basis. Equities research analysts forecast that AAR will post 5.92 earnings per share for the current fiscal year.

Hedge Funds Weigh In On AAR

Institutional investors have recently bought and sold shares of the company. Whittier Trust Co. of Nevada Inc. acquired a new stake in shares of AAR during the 1st quarter worth approximately $25,000. Optiver Holding B.V. lifted its holdings in AAR by 218.6% in the first quarter. Optiver Holding B.V. now owns 274 shares of the aerospace company’s stock valued at $30,000 after acquiring an additional 188 shares during the last quarter. Global Retirement Partners LLC purchased a new position in AAR in the second quarter worth approximately $39,000. McMillan Office Inc. increased its stake in AAR by 66.7% during the first quarter. McMillan Office Inc. now owns 500 shares of the aerospace company’s stock worth $55,000 after acquiring an additional 200 shares during the last quarter. Finally, Nykredit A S purchased a new stake in AAR in the second quarter valued at $63,000. 90.74% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about AAR

Here are the key news stories impacting AAR this week:

• Positive Sentiment: AAR reported fiscal Q1 2027 revenue of $918 million, up 24% year over year, while adjusted diluted EPS of $1.49 exceeded analyst expectations of $1.30. Commercial sales rose 28%, government sales increased 14%, and operating cash flow improved to $55.8 million. AAR reports first quarter fiscal year 2027 results
• Positive Sentiment: The company raised its growth outlook, issuing second-quarter revenue guidance of approximately $906.6 million to $922.5 million, above the roughly $893.5 million consensus estimate. AAR fiscal 2027 guidance
• Positive Sentiment: Jefferies raised its price target for AAR to $160, while RBC maintained an Outperform rating with a $145 target, reflecting continued analyst confidence in the company’s operating momentum. Jefferies raises AAR price target
• Neutral Sentiment: AAR agreed to acquire a 65% controlling stake in MRO Holdings for an implied enterprise value of about $4 billion, adding more than $1 billion in revenue and potentially increasing adjusted EBITDA margins from roughly 12% to 16% before synergies. Management expects the deal to be adjusted-EPS accretive in the first full fiscal year after closing and is targeting 19%–20% adjusted EBITDA margins within three to four years. AAR MRO Holdings acquisition
• Negative Sentiment: Investors appear concerned that the MRO transaction will require substantial new debt and equity, including about $780 million of stock issued to current MRO owners and a roughly $230 million PIPE. Net leverage is expected to rise to approximately 3.6 times at closing, creating dilution, integration and balance-sheet risk despite the deal’s strategic benefits. Why AAR stock is down

About AAR

AAR Corp. is a global provider of aviation services supporting commercial aviation, government and defense customers. The company supplies aircraft parts and equipment, manages inventory and logistics, and provides maintenance, repair and overhaul services for aircraft and components.

AAR’s offerings include parts distribution, supply-chain management, aircraft maintenance, airframe and component repair, and mobility solutions for government and defense operators. Its services are designed to help airlines, aircraft operators and government agencies maintain fleet readiness and manage aviation assets.

Founded in 1955, AAR is headquartered in Wood Dale, Illinois, and serves customers across North America, Europe, Asia and other international markets.