StandardAero (NYSE:SARO) Issues Earnings Results

StandardAero (NYSE:SARO) posted its earnings results on Thursday. The company reported $0.39 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.38 by $0.01, FiscalAI reports. The firm had revenue of $1.56 billion during the quarter, compared to analysts’ expectations of $1.56 billion. StandardAero had a net margin of 5.12% and a return on equity of 14.52%. The company’s revenue was up 4.0% compared to the same quarter last year. During the same period in the previous year, the company earned $0.20 earnings per share.

Here are the key takeaways from StandardAero’s conference call:

• Q3 earnings growth outpaced revenue: Revenue rose 4% to $1.56 billion, while adjusted EBITDA increased 15% and adjusted EPS grew 30%; adjusted EBITDA margin expanded 130 basis points to 14.4%.
• 2026 guidance was raised again: StandardAero now expects revenue growth of about 9%, adjusted EBITDA growth of 13%, and adjusted EPS growth of 26%. It maintained adjusted free cash flow guidance of $270 million–$300 million.
• Aftermarket demand and visibility remain strong: Management reported no meaningful macro-driven change in bookings or planned engine inductions, with demand visibility extending into 2028. LEAP and CFM56 DFW reached profitability earlier this year, and the company remains on track to exceed $1 billion in annual LEAP revenue by 2030.
• Share repurchases are expanding: The company increased its authorization to $1.01 billion and announced a $350 million accelerated repurchase. Management expects year-end net leverage below 2.7 times after the repurchase.
• Some near-term margin pressures remain: Delayed military-related inputs and repair activity, particularly on training platforms, weighed on component repair margins. Management also cautioned that Q3’s unusually favorable used-serviceable-material contribution may not recur and that rising LEAP and CFM56 DFW volumes could dilute Q4 Engine Services margins.

StandardAero Stock Performance

Shares of SARO stock traded up $2.21 during trading hours on Friday, reaching $27.51. 6,848,326 shares of the company’s stock were exchanged, compared to its average volume of 3,432,492. StandardAero has a fifty-two week low of $19.56 and a fifty-two week high of $34.48. The company has a quick ratio of 1.59, a current ratio of 2.13 and a debt-to-equity ratio of 0.84. The stock has a market capitalization of $9.10 billion, a P/E ratio of 26.20 and a beta of 0.82. The business has a fifty day moving average price of $22.70 and a 200-day moving average price of $26.54.

Analyst Ratings Changes

A number of research firms have recently weighed in on SARO. UBS Group raised their price target on shares of StandardAero from $32.00 to $34.00 and gave the company a “buy” rating in a report on Friday. Royal Bank Of Canada dropped their target price on shares of StandardAero from $34.00 to $32.00 and set an “outperform” rating on the stock in a report on Wednesday, October 28th. Weiss Ratings lowered shares of StandardAero from a “hold (c)” rating to a “hold (c-)” rating in a research report on Friday, September 11th. Susquehanna restated a “negative” rating on shares of StandardAero in a report on Thursday, October 1st. Finally, Wall Street Zen downgraded StandardAero from a “buy” rating to a “hold” rating in a research report on Sunday, November 1st. Two analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $33.27.

StandardAero News Roundup

Here are the key news stories impacting StandardAero this week:

• Positive Sentiment: UBS raised its price target to $34 from $32 and maintained a Buy rating, implying 23.6% upside from the cited $27.51 price. UBS rating information
• Positive Sentiment: Third-quarter adjusted EPS was $0.39, beating the $0.38 consensus and rising 30% year over year. Revenue increased 4% to $1.56 billion, while net income rose 36.2% to $92.8 million. The earnings beat and profit growth may support investor confidence. Third-quarter 2026 results
• Negative Sentiment: A Seeking Alpha contributor said they were cutting their rating after StandardAero had gained 19% since their previous article, signaling a more cautious view after the recent run-up. Seeking Alpha analysis

StandardAero Company Profile

StandardAero is an aerospace maintenance, repair and overhaul (MRO) company that provides services for commercial and business aviation, military and government operators, and helicopter customers. The company supports aircraft throughout their operating life, helping customers maintain, repair, upgrade and return aircraft and components to service.

Its services include engine maintenance, repair and overhaul; airframe maintenance; avionics and electrical work; component and accessory repair; engineering; and aircraft modifications.