StandardAero (NYSE:SARO) Board of Directors Initiates Share Buyback Program

StandardAero (NYSE:SARO) declared that its Board of Directors has authorized a share buyback program on Wednesday, December 10th, RTT News reports. The company plans to buyback $450.00 million in outstanding shares. This buyback authorization permits the company to repurchase up to 5% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s management believes its shares are undervalued.

StandardAero Stock Performance

Shares of NYSE SARO traded up $0.58 during mid-day trading on Wednesday, reaching $27.42. 2,091,145 shares of the company were exchanged, compared to its average volume of 1,411,576. The stock has a market capitalization of $9.17 billion, a P/E ratio of 49.85 and a beta of 1.16. The company has a quick ratio of 1.48, a current ratio of 2.18 and a debt-to-equity ratio of 0.89. The company’s 50-day simple moving average is $26.87 and its 200-day simple moving average is $28.01. StandardAero has a twelve month low of $21.31 and a twelve month high of $31.97.

StandardAero (NYSE:SARO) last released its quarterly earnings results on Monday, November 10th. The company reported $0.20 earnings per share for the quarter, meeting the consensus estimate of $0.20. The firm had revenue of $1.50 billion for the quarter, compared to analysts’ expectations of $1.43 billion. StandardAero had a net margin of 3.15% and a return on equity of 9.63%. The business’s revenue was up 20.4% on a year-over-year basis. During the same period in the prior year, the firm earned $0.06 EPS. As a group, research analysts predict that StandardAero will post 0.29 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on SARO shares. Susquehanna assumed coverage on shares of StandardAero in a research report on Wednesday, September 17th. They issued a “positive” rating and a $34.00 price objective for the company. Weiss Ratings upgraded shares of StandardAero from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Monday. Zacks Research upgraded StandardAero from a “strong sell” rating to a “hold” rating in a report on Wednesday, November 12th. Sanford C. Bernstein reissued an “outperform” rating on shares of StandardAero in a research report on Monday, November 24th. Finally, Truist Financial initiated coverage on StandardAero in a research note on Friday, October 10th. They issued a “buy” rating and a $35.00 price objective on the stock. Three investment analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to MarketBeat, the company has a consensus rating of “Hold” and an average target price of $32.43.

Insider Buying and Selling at StandardAero

In related news, insider Alex Trapp sold 73,718 shares of StandardAero stock in a transaction that occurred on Thursday, September 18th. The stock was sold at an average price of $28.06, for a total transaction of $2,068,527.08. Following the completion of the sale, the insider directly owned 16,908 shares of the company’s stock, valued at approximately $474,438.48. This trade represents a 81.34% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Insiders sold a total of 90,626 shares of company stock worth $2,554,051 in the last 90 days. 1.90% of the stock is currently owned by company insiders.

StandardAero Company Profile

StandardAero, Inc provides aerospace engine aftermarket services for fixed and rotary wing aircraft in the United States, Canada, the United Kingdom, Rest of Europe, Asia, and internationally. It operates in two segments, Engine Services and Component Repair Services. The Engine Services segment provides a suite of aftermarket services, including maintenance, repair and overhaul, on-wing and field service support, asset management, and engineering and related solutions to customers in the commercial aerospace, military and helicopter, and business aviation end markets.