Zacks Research lowered shares of AAR (NYSE:AIR – Free Report) from a strong-buy rating to a hold rating in a research note issued to investors on Monday morning,Zacks reports.
Other equities research analysts also recently issued research reports about the stock. Truist Financial upped their target price on shares of AAR from $128.00 to $145.00 and gave the company a “buy” rating in a research note on Monday, July 27th. Guggenheim restated a “neutral” rating on shares of AAR in a research report on Tuesday. Weiss Ratings lowered AAR from a “buy (b)” rating to a “buy (b-)” rating in a report on Friday. Royal Bank Of Canada reissued an “outperform” rating and issued a $145.00 target price on shares of AAR in a research note on Monday. Finally, Jefferies Financial Group raised their price target on AAR from $155.00 to $160.00 and gave the stock a “buy” rating in a research report on Tuesday. Four analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $140.60.
Read Our Latest Stock Report on AIR
AAR Price Performance
AAR (NYSE:AIR – Get Free Report) last announced its quarterly earnings results on Monday, September 28th. The aerospace company reported $1.49 EPS 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 during the quarter, compared to analysts’ expectations of $878.81 million. On average, equities analysts predict that AAR will post 5.92 earnings per share for the current year.
Hedge Funds Weigh In On AAR
Large investors have recently bought and sold shares of the company. QRG Capital Management Inc. lifted its position in shares of AAR by 8.3% in the second quarter. QRG Capital Management Inc. now owns 2,846 shares of the aerospace company’s stock worth $407,000 after purchasing an additional 218 shares in the last quarter. Integrated Wealth Concepts LLC bought a new stake in AAR during the second quarter worth about $84,000. Baird Financial Group Inc. acquired a new position in shares of AAR during the 2nd quarter worth approximately $263,000. Nykredit A S bought a new position in shares of AAR in the 2nd quarter valued at about $63,000. Finally, Corient Private Wealth LP increased its stake in shares of AAR by 1,523.4% during the 2nd quarter. Corient Private Wealth LP now owns 38,167 shares of the aerospace company’s stock worth $5,455,000 after purchasing an additional 35,816 shares during the last quarter. Institutional investors and hedge funds own 90.74% of the company’s stock.
Key Headlines Impacting 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.
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