Sunday, December 8, 2019

AerCap Sticking With A Value-Creating Strategy

I can’t complain as much these days about the Street not really giving AerCap (AER) shares their due. True, I still think the shares are undervalued and I think the Street undervalues the company’s ability to create value through its leasing operations, and I’d note the implied private value of the company’s fleet is above the market valuation, but I’d also note that the shares are up more than 15% from my last article on the company.

I’m still bullish on AerCap and I still believe this is a good core holding for patient investors. Some readers will no doubt be frustrated by the company’s preference for buybacks over dividends, but I believe the long-term potential rewards are worth it. More competitive lease rates are definitely worth watching, but I believe there is still money to be made from these shares.

Read the full article here:
AerCap Sticking With A Value-Creating Strategy

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