Will AerCap (AER) Stock Get a Lift from Q1 Earnings Beat?
NEW YORK (TheStreet) -- Shares of AerCap (AER) - Get Report are falling by 6.51% to $37.63 on Thursday morning, even though the Dublin-based company posted better-than-expected results for the 2016 first quarter.
Before the opening bell, the aircraft leasing company reported adjusted earnings of $1.53 per diluted share, beating analysts' estimates by a penny.
Revenue increased 2% to $1.32 billion year-over-year and was above analysts' expectations of $1.28 billion.
"We continue to see global demand for our aircraft and have access to $9.1 billion of liquidity to meet our strategic objectives. Our proactive portfolio management initiatives, coupled with return of capital, are focused on maximizing long-term value for our shareholders," CEO Aengus Kelly said in a statement.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.
The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations and expanding profit margins.
However, the team also finds weaknesses including generally higher debt management risk, a generally disappointing performance in the stock itself and unimpressive growth in net income.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: AER
