Donald Smith & CO. Inc. Makes New $424.58 Million Investment in Aercap Holdings N.V. $AER

Donald Smith & CO. Inc. bought a new stake in Aercap Holdings N.V. (NYSE:AER) in the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm bought 2,912,504 shares of the financial services provider’s stock, valued at approximately $424,585,000. Aercap makes up approximately 7.5% of Donald Smith & CO. Inc.’s holdings, making the stock its largest holding.

A number of other hedge funds and other institutional investors also recently modified their holdings of the stock. Norges Bank acquired a new stake in shares of Aercap in the 4th quarter worth approximately $352,172,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC purchased a new position in Aercap in the 4th quarter valued at approximately $282,665,000. L1 Capital International Pty Ltd raised its holdings in Aercap by 344.2% during the fourth quarter. L1 Capital International Pty Ltd now owns 1,527,454 shares of the financial services provider’s stock worth $219,587,000 after purchasing an additional 1,183,616 shares during the last quarter. Mawer Investment Management Ltd. raised its holdings in Aercap by 56.3% during the fourth quarter. Mawer Investment Management Ltd. now owns 3,272,935 shares of the financial services provider’s stock worth $470,517,000 after purchasing an additional 1,179,241 shares during the last quarter. Finally, Alyeska Investment Group L.P. boosted its position in Aercap by 642.7% during the third quarter. Alyeska Investment Group L.P. now owns 1,111,552 shares of the financial services provider’s stock worth $134,498,000 after purchasing an additional 961,890 shares in the last quarter. 96.42% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

AER has been the topic of several research reports. Weiss Ratings lowered Aercap from a “buy (a-)” rating to a “buy (b+)” rating in a report on Thursday, July 30th. Barclays lifted their price target on Aercap from $164.00 to $179.00 and gave the stock an “overweight” rating in a research note on Tuesday, July 7th. JPMorgan Chase & Co. boosted their price objective on shares of Aercap from $150.00 to $155.00 and gave the stock an “overweight” rating in a research report on Thursday, April 30th. Susquehanna increased their price objective on shares of Aercap from $170.00 to $176.00 and gave the company a “positive” rating in a research note on Tuesday, July 7th. Finally, TD Cowen raised their target price on shares of Aercap from $175.00 to $180.00 and gave the company a “buy” rating in a report on Thursday, July 16th. One research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and one has issued a Hold rating to the company’s stock. According to MarketBeat, Aercap has a consensus rating of “Buy” and a consensus target price of $172.56.

Aercap Price Performance

AER stock opened at $146.17 on Friday. The stock’s 50 day moving average price is $149.08 and its 200 day moving average price is $144.32. The firm has a market cap of $24.39 billion, a P/E ratio of 7.19, a PEG ratio of 0.58 and a beta of 0.93. The company has a debt-to-equity ratio of 2.32, a quick ratio of 0.28 and a current ratio of 0.28. Aercap Holdings N.V. has a 1 year low of $118.74 and a 1 year high of $158.80.

Aercap (NYSE:AER) last released its quarterly earnings results on Wednesday, July 29th. The financial services provider reported $5.14 earnings per share for the quarter, topping the consensus estimate of $4.14 by $1.00. The company had revenue of $2.22 billion during the quarter, compared to the consensus estimate of $2.10 billion. Aercap had a return on equity of 17.60% and a net margin of 37.85%.Aercap’s revenue was up 14.9% compared to the same quarter last year. During the same quarter last year, the business posted $2.83 earnings per share. Aercap has set its FY 2026 guidance at 16.800-16.800 EPS. On average, sell-side analysts expect that Aercap Holdings N.V. will post 18.95 earnings per share for the current fiscal year.

Aercap declared that its Board of Directors has authorized a stock repurchase plan on Wednesday, April 29th that permits the company to repurchase $1.00 billion in shares. This repurchase authorization permits the financial services provider to buy up to 4.3% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s management believes its stock is undervalued.

Aercap Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 3rd. Investors of record on Wednesday, August 12th will be paid a dividend of $0.40 per share. The ex-dividend date of this dividend is Wednesday, August 12th. This represents a $1.60 dividend on an annualized basis and a dividend yield of 1.1%. Aercap’s dividend payout ratio (DPR) is presently 7.87%.

Aercap Profile

AerCap Holdings N.V. (NYSE: AER) is a global aircraft leasing and aviation finance company that acquires, leases, sells and manages commercial aircraft and engines. Its core services include operating leases, finance leases, sale-and-leaseback transactions, aircraft trading and remarketing, and asset management for airline customers. The company also provides related commercial and technical support services designed to optimize fleet utilization and residual values over the life cycle of aircraft and engines.

Operating with a broad global footprint, AerCap serves airlines and other aviation customers across North America, Europe, Asia-Pacific, Latin America, the Middle East and Africa.