AerCap Holdings N.V. (AER)

Price way to depressed for the fundementals of this company. Oil prices have scared of investors from this company. Well divirsefied and good managment. Looking for a nice pop. Would buy more if price keeps going down.

Having a leading position in the aviation industry, AerCap Holdings NV is an integrated aviation company, with a portfolio of over 300 aircraft and 57 engines either owned, on order, under contract or letter of intent, or managed, providing aircraft and engine leasing, trading and parts sales. Through its certified repair stations, it provides aircraft management services, performs aircraft and engine maintenance, repair and overhaul and aircraft disassemblies.

Lack of new supply and lack of availability of used quality aircraft for sale has tightened the supply of commercial aircrafts, which has ultimately favored suppliers like AerCap. The global demand for aircrafts, engines and other related services are driven by economic growth, globalization and entry of low cost carriers. The worldwide growth in air travel is expected to continue, whereby the size of the fleets is expected to double by almost 2025.

In April 2006, the company completed the acquisition of AeroTurbine, which specializes in aftermarket commercial aircraft engines and parts sales. AeroTurbine has established a large commercial engine leasing portfolio through its aggressive growth, and is well on its way to becoming the largest independent provider of aftermarket engine and airframe materials support. Being a high margin business, AeroTurbine’s expertise with engines and airframe parts would complement AerCap’s aircraft leasing and management expertise.

AerCap continues to enjoy good relationship with Airbus, as it is one of the largest Airbus‘s customers, which finally helps the company to qualify for favored pricing status. Also it has good exposure to the Chinese market due to its joint venture with China Aviation. Thus, AerCap should influence investors positively in the coming year.

32% fall in civilian aircraft exports

Aircraft leasing tag seems to go down.

One of my guys over at A.G. Edwards filled me in on this wonderful little company.

sold some shares on 9-18-08

AerCap "puchased" Genesis Lease Limited today in a stock swap deal. Most holders of Genesis were disappointed as the stock swap appears to undervalue Genesis, certainly on paper. Both are airline leasing companies based in Ireland. The key is that you can't value airplanes in this recession. Several other large companies, RBS, C, AIG etc are reportedly about to shed some of aviation groups. The book values of AER and GLS actually made the even stock swap a fairly equitable merger. Leaving cash that AER had hoarded for possible expansion. The synergy of the two should help with overhead, borrowing, and contracts. The negative is that GLS was definitely "more undervalued" and paid a decent dividend where AER pays none. Even in a recession AER has been expanding while GLS has been keeping things on the conservative side. AER stats, though not as good as GLS in my opinion give me sufficient reason to shift my CAPs call to AER. Strong margins, below book, good P/E, debt load is high, (especially with GLS's added on), but as expected in this business. High Lease rate on planes. Newer planes are sought for fuel savings, and by airlines that aren't ready to buy themselves. Customers are spread out and international. Thumbs up.

Used the tepid market to buy rival Genesis on the cheap. As companies like GE are doing everything they can to shed these units, AER is buying at a discount. I like the valuation better than AYR. I like the leasor sector as many corporations can not justify the purchase of aircraft in this economy but still need to utilize them, which make leasing a necessary evil. The move will increase the size of AER's fleet by 54 planes. This is a Buffetian-like pick and I started a small position at 8.70 this am.

low valuation; biggest beneficiary along with the recovery of global airline market

Selling for 0.6 times book value. If this aircraft leasing company survives, its' stock price will likely double.

Aviation service to European market is growing rapidly

http://stonefoxcapital.blogspot.com/2009/09/merger-of-genesis-lease-and-aercap.html

Good Forward Earnings Estimate

Very low valuation in a business (aviation leasing) that will inevitably grow in the long term. Price suppressed due to fears of airline failures and fuel cost/ supply concerns

AYR is a well managed aircraft leasing company that is undervalued. It also leases aircraft engines.

Low relative PE, good star ranking, PEG & 09 PE still below normal - bottom fishing - 8/3 picks

low peg ratio

Neewcomer on NYSE. Good play in aircraft leasing.

AerCap announced the issuance of $1.66B in floating rate notes in order to redeem currently outstanding notes. In addition, the remaining proceeds will be retained for aircraft purchases.

This is the debt refinancing transaction discussed since early March which should add at least $0.15 to annual EPS going forward.