FTAI Aviation Ltd. (FTAI)
NEUTRALFundamental
57
Price
$201.26
Market Cap
$20.38B
Part 1 · What the company is worth
Overview
FTAI Aviation makes money from mid-life commercial jet engines — specifically the CFM56 and V2500 families that power most of the world's narrow-body aircraft fleet. Its Aviation Leasing segment owns aircraft and engines that it leases, manages and eventually sells to airlines and lessors. Its Aerospace Products segment manufactures and repairs aftermarket parts for those same engine families and runs a growing "module exchange" business, swapping used engine modules for repaired ones instead of grounding an aircraft for a full overhaul.
How it makes money
Aviation Leasing earns lease rental income on aircraft and engines it owns, plus gains when it sells assets. Aerospace Products earns fee income from engine maintenance, repair and exchange work, and from selling FAA-certified replacement parts that are cheaper than buying new from the original engine manufacturer. In 2025, growth in engine and module sales made Aerospace Products the larger driver of revenue, while Aviation Leasing's portfolio has been shrinking as the company shifts toward an asset-lighter model with third-party capital partners.
Competitive moat
Patents and licences · NarrowFTAI's aftermarket parts require FAA certification (PMA approval), a slow and technical process that keeps out casual competitors and lets FTAI sell functionally equivalent parts at a discount to the original engine makers. That edge is real but narrow: it applies mainly to a few widely-used engine families, and both engine OEMs and other MRO shops compete for the same repair and parts business.
What drives demand
CyclicalDemand for engine leasing, maintenance and parts follows how much airlines fly and how they manage aging fleets — both sensitive to fuel prices, air travel demand and the broader economy. The aftermarket parts and repair business is somewhat more resilient than new aircraft orders, since airlines often keep flying older planes longer in a downturn rather than buying new ones, which can support repair volume even as leasing activity softens.
Key risks
- Customer concentration — Two Aerospace Products customers together accounted for close to a quarter of 2025 revenue; losing or shrinking either relationship would be felt company-wide.
- High financial leverage — FTAI carries substantial debt relative to its equity base, a structure that amplifies both returns and losses and leaves less room to absorb a downturn in aviation demand.
- Concentration in a few engine types — The business depends heavily on the CFM56-5B, CFM56-7B and V2500 engine families; a shift in the airline fleet away from the aircraft that use them would erode the addressable market.
- Geopolitical exposure — The company still carries aviation assets connected to Russia on its balance sheet, exposing it to sanctions-related and geopolitical uncertainty outside its control.
- Execution risk in the shift to third-party capital — FTAI's strategy of partnering with outside capital to fund its leasing portfolio depends on continuing to find and retain such partners on favorable terms.
Customer concentration
Top customers account for 23% of revenue
Two customers in the Aerospace Products segment accounted for 13% and 10% of 2025 revenue respectively — together close to a quarter of the company's total business.
The case for
Buyers argue that FTAI's aftermarket parts and module-exchange business grows faster and carries higher margins than leasing, that airlines flying older aircraft longer creates durable demand for its repair services, and that the shift toward partnering with outside capital lets it grow the business with less balance-sheet risk.
The case against
Sellers worry that heavy leverage leaves little cushion if aviation demand weakens, that revenue depends on a small number of large customers and a narrow set of aging engine types, and that unresolved Russian asset exposure adds a geopolitical risk outside management's control.
Written by the editors, published on August 18, 2026
Direct competitors
Who this company fights with for the same customers
No editorial profile for this company yet
No competitor list for this company yet.
Balance Sheet & Liquidity
Revenue
$3.11B
Trailing 12 months (through 6/30/2026)
Net Income
$496M
Trailing 12 months (through 6/30/2026)
Free Cash Flow
$-338M
Total Equity
$334M
Total Liabilities
$4.04B
Current Ratio
5.28
Interest Coverage
-
Debt/EBITDA
3.47
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Historical statement
Margins over time
Debt over time
How heavy the debt is
Growth grid
Growth — Revenue
Fair Value Estimation
Fair Value
$179.34
Current Price
$201.26
Margin of Safety
-12.2%
Fair Value Range
$116.57 - $242.11
Estimation Methods
Valuation Metrics
P/E Ratio
43.32
ROE
149.9%
P/B Ratio
50.45
P/FCF
-
Gross Margin
39.2%
ROIC
-
Profitability Radar
Value Creation (Economic Moat)
ROIC
-
WACC
11.9%
ROIC − WACC
-
Fundamental Analysis Criteria
Passed (12)
- EPS shows upward trend
- EPS CAGR 21.15%
- Price CAGR 33.86%
- Gross Margin 39.2%
- Current Ratio
- Debt/EBITDA
- Return on Tangible Assets
- Low reliance on intangibles
- ROE 139.6%
- Revenue Growth 5Y 46.9%
- Analyst Consensus 94% Buy
- Piotroski F-Score 5/9
Failed (8)
- P/B Ratio 50.45
- Debt/Equity ratio
- Positive Free Cash Flow
- Price below Graham Number
- DCF valuation (Overvalued)
- Earnings Surprise avg -15.3%
- Earnings Quality (OCF/NI) -0.89
- Net Margin Trend 15.9% vs 21.3%
Unavailable (8)
- ROIC NaN%
- P/FCF NaN
- Dividend Payout NaN%
- Operating Margin NaN%
- CapEx intensity
- Interest Coverage
- PEG Ratio (need PE > 0 and growth > 0)
- Share Dilution (missing shares data)
Piotroski F-Score
Mixed signals: some areas need attention
Earnings Quality
Low quality: investigate accounting
Share Dilution
Buying back shares. Shareholder friendly
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Mr. Joseph P. Adams Jr. | Chairman & CEO | 67 |
| Mr. David Moreno | President | 35 |
| Ms. Stacy Kuperus | COO & Principal Operating Officer | 39 |
| Ms. BoHee Yoon | General Counsel & Secretary | 45 |
| Mr. Nicholas McAleese | Chief Financial Officer | 35 |
| Mr. Michael Hazan | Chief Accounting Officer | 36 |
| Mr. Charles Douglas Arestia | Principal - Investor Relations | 39 |
Audit Risk
9
Board Risk
7
Compensation Risk
1
Shareholder Rights Risk
9
Part 2 · The price and when to enter
This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.
Latest News
Recent headlines for FTAI, sourced from Markets Gazette.
- 5/19/2026NEUTRALTexas Rep. Brian Babin Sold Over $89K Worth of FTAI Aviation Stock: Here's What You Should Know
Texas Representative Brian Babin disclosed selling between $15,001 and $50,000 worth of FTAI Aviation stock on May 15th. This transaction follows a larger sale of over $89,000 in FTAI Aviation shares by the congressman in late April. While insider selling can sometimes signal a lack of confidence, the specific reasons for Representative Babin's trades are not detailed. Investors should monitor the company's performance and any further disclosures for a clearer picture of potential impacts.
- 5/11/2026POSITIVEHere's How Much $100 Invested In FTAI Aviation 10 Years Ago Would Be Worth Today
An investment of $100 in FTAI Aviation Ltd. ten years ago would have grown to approximately $2,140 today, representing a remarkable 2040% return. This significant appreciation highlights the company's strong performance and growth trajectory over the past decade. FTAI Aviation, which focuses on aviation leasing and power infrastructure, has evidently capitalized on market opportunities, delivering substantial value to its shareholders. Investors considering the stock should note this historical performance as an indicator of potential future returns, though past results do not guarantee future outcomes.
- 4/21/2026POSITIVEHere's How Much You Would Have Made Owning FTAI Aviation Stock In The Last 10 Years
FTAI Aviation Ltd. has delivered significant returns for long-term investors over the past decade. While specific figures are not provided in this summary, the article implies a strong performance trajectory. For investors considering aviation-related equities, FTAI's historical performance suggests a potential for robust capital appreciation and dividend payouts, making it a noteworthy candidate for portfolio inclusion. Further analysis of its business model and market position is recommended.
- 2/27/2026POSITIVEThe Analyst Verdict: FTAI Aviation In The Eyes Of 7 Experts
Markets Gazette reports a positive analyst verdict for FTAI Aviation, with experts maintaining optimistic ratings. JMP Securities reiterated its "Market Outperform" rating in July 2021, while Raymond James maintained its "Outperform" rating in both February 2021 and December 2020. This consensus among industry analysts highlights persistent confidence in the company's future prospects. FTAI Aviation, operating in the aviation sector, continues to enjoy a strong reputation among investment firms, suggesting the market may anticipate above-average growth potential or stability. Investors should consider these ratings as an indicator of confidence in the company's business model and management, even if the evaluations are from some time ago, their maintenance implies a structurally positive outlook.
- 2/26/2026NEUTRALFTAI (FTAI) Q4 2025 Earnings Call Transcript
The transcript for FTAI (Fortress Transportation and Infrastructure Investors LLC)'s Q4 2025 earnings call is not yet available. Investors are keenly awaiting its release to analyze the company's financial performance and future outlook. The absence of details prevents in-depth analysis, but the event itself underscores the importance of corporate communication for the market. Earnings calls are crucial moments for understanding management's strategy and responses to analyst questions, elements that can significantly influence investor sentiment and stock valuation. The future availability of the document will be key to forming a clear picture.
via Markets Gazette