Wall Street Zen Upgrades StandardAero (NYSE:SARO) to “Buy”

StandardAero (NYSE:SARO) was upgraded by equities researchers at Wall Street Zen from a “hold” rating to a “buy” rating in a research report issued on Saturday.

Other equities research analysts have also recently issued reports about the stock. Bank of America reduced their price target on shares of StandardAero from $33.00 to $30.00 and set a “neutral” rating for the company in a research report on Friday, November 14th. Susquehanna set a $38.00 target price on StandardAero in a research report on Thursday, January 15th. Zacks Research downgraded StandardAero from a “hold” rating to a “strong sell” rating in a report on Friday, January 23rd. Sanford C. Bernstein reissued an “outperform” rating and issued a $39.00 target price on shares of StandardAero in a research report on Tuesday, February 24th. Finally, Royal Bank Of Canada restated an “outperform” rating and set a $37.00 price target on shares of StandardAero in a research note on Thursday, January 29th. Four analysts have rated the stock with a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $34.67.

StandardAero Price Performance

SARO stock opened at $30.75 on Friday. The business has a 50 day moving average price of $30.87 and a 200 day moving average price of $28.34. The company has a quick ratio of 1.57, a current ratio of 2.20 and a debt-to-equity ratio of 0.82. The stock has a market cap of $10.23 billion, a price-to-earnings ratio of 37.04 and a beta of 1.02. StandardAero has a fifty-two week low of $21.31 and a fifty-two week high of $34.48.

StandardAero (NYSE:SARO) last announced its quarterly earnings results on Wednesday, February 25th. The company reported $0.24 EPS for the quarter, meeting the consensus estimate of $0.24. The company had revenue of $1.60 billion for the quarter, compared to analyst estimates of $1.57 billion. StandardAero had a net margin of 4.58% and a return on equity of 10.88%. The firm’s revenue was up 13.5% on a year-over-year basis. During the same period in the prior year, the firm posted ($0.04) earnings per share. StandardAero has set its FY 2026 guidance at 1.350-1.450 EPS. Equities research analysts anticipate that StandardAero will post 0.29 earnings per share for the current fiscal year.

StandardAero declared that its Board of Directors has initiated a stock buyback plan on Wednesday, December 10th that authorizes the company to repurchase $450.00 million in outstanding shares. This repurchase authorization authorizes the company to buy up to 5% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s leadership believes its stock is undervalued.

Insider Buying and Selling

In other StandardAero news, CEO Russell Wayne Ford sold 40,000 shares of the stock in a transaction that occurred on Wednesday, February 4th. The stock was sold at an average price of $30.12, for a total transaction of $1,204,800.00. Following the completion of the sale, the chief executive officer directly owned 726,955 shares of the company’s stock, valued at approximately $21,895,884.60. This trade represents a 5.22% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Over the last ninety days, insiders sold 160,000 shares of company stock worth $4,840,400.

Institutional Investors Weigh In On StandardAero

Large investors have recently modified their holdings of the stock. Comerica Bank acquired a new stake in shares of StandardAero during the first quarter worth $26,000. Royal Bank of Canada lifted its stake in shares of StandardAero by 418.8% in the 1st quarter. Royal Bank of Canada now owns 138,268 shares of the company’s stock worth $3,682,000 after acquiring an additional 111,617 shares during the period. AQR Capital Management LLC purchased a new stake in shares of StandardAero in the first quarter valued at about $521,000. Goldman Sachs Group Inc. acquired a new position in shares of StandardAero during the first quarter worth about $6,821,000. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC purchased a new position in StandardAero during the first quarter worth about $12,343,000.

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.