Rakuten Investment Management Inc. Makes New Investment in StandardAero, Inc. $SARO

Rakuten Investment Management Inc. bought a new stake in StandardAero, Inc. (NYSE:SARO) in the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm bought 23,240 shares of the company’s stock, valued at approximately $634,000.

Other institutional investors have also made changes to their positions in the company. Carlyle Group Inc. grew its holdings in StandardAero by 13.6% during the 2nd quarter. Carlyle Group Inc. now owns 152,673,891 shares of the company’s stock worth $4,832,129,000 after acquiring an additional 18,321,061 shares during the last quarter. Allspring Global Investments Holdings LLC lifted its position in shares of StandardAero by 311.6% during the second quarter. Allspring Global Investments Holdings LLC now owns 8,548,613 shares of the company’s stock worth $261,759,000 after purchasing an additional 6,471,813 shares in the last quarter. Norges Bank bought a new stake in shares of StandardAero during the second quarter valued at approximately $203,038,000. State Street Corp grew its stake in shares of StandardAero by 90.7% during the second quarter. State Street Corp now owns 6,047,097 shares of the company’s stock valued at $191,391,000 after purchasing an additional 2,875,579 shares during the last quarter. Finally, Cubist Systematic Strategies LLC acquired a new stake in shares of StandardAero in the second quarter valued at approximately $22,674,000.

Analyst Upgrades and Downgrades

A number of brokerages have commented on SARO. Susquehanna set a $38.00 price objective on StandardAero in a research report on Thursday, January 15th. Weiss Ratings reiterated a “hold (c)” rating on shares of StandardAero in a report on Monday, December 22nd. Truist Financial started coverage on StandardAero in a report on Friday, October 10th. They set a “buy” rating and a $35.00 price objective for the company. Zacks Research upgraded shares of StandardAero from a “strong sell” rating to a “hold” rating in a research report on Wednesday, November 12th. Finally, Wall Street Zen cut shares of StandardAero from a “buy” rating to a “hold” rating in a research report on Saturday, October 11th. Three investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat.com, StandardAero currently has an average rating of “Hold” and a consensus target price of $33.57.

Insider Buying and Selling

In other StandardAero news, CEO Russell Wayne Ford sold 40,000 shares of the stock in a transaction on Wednesday, January 7th. The shares were sold at an average price of $30.24, for a total value of $1,209,600.00. Following the sale, the chief executive officer directly owned 886,955 shares in the company, valued at approximately $26,821,519.20. This trade represents a 4.32% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Insiders own 1.90% of the company’s stock.

StandardAero Trading Up 1.8%

NYSE SARO opened at $32.95 on Friday. StandardAero, Inc. has a 12 month low of $21.31 and a 12 month high of $34.48. The stock has a 50-day simple moving average of $28.46 and a 200 day simple moving average of $27.98. The company has a current ratio of 2.18, a quick ratio of 1.48 and a debt-to-equity ratio of 0.89. The company has a market capitalization of $11.02 billion, a PE ratio of 59.91 and a beta of 1.04.

StandardAero (NYSE:SARO) last posted its earnings results on Monday, November 10th. The company reported $0.20 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.20. The company had revenue of $1.50 billion during the quarter, compared to analyst estimates of $1.43 billion. StandardAero had a return on equity of 9.63% and a net margin of 3.15%.The company’s revenue for the quarter was up 20.4% compared to the same quarter last year. During the same period in the previous year, the company earned $0.06 EPS. Research analysts forecast that StandardAero, Inc. will post 0.29 EPS for the current year.

StandardAero announced that its board has approved a share buyback plan on Wednesday, December 10th that permits the company to repurchase $450.00 million in shares. This repurchase authorization permits the company to buy up to 5% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s leadership believes its shares are undervalued.

About StandardAero

StandardAero is a global aerospace maintenance, repair and overhaul (MRO) provider specializing in gas turbine engines, auxiliary power units (APUs), airframe components and oil & gas rotating equipment. The company offers a full suite of technical services including engine repair and overhaul, component repair, accessory maintenance, parts manufacturing and on-site field support. Its customer base spans commercial airlines, business and general aviation operators, regional carriers, original equipment manufacturers (OEMs) and defense organizations.

With roots dating back to 1911, StandardAero has grown through strategic acquisitions and organic expansion to become one of the largest independent MRO providers in the industry.