Aar Corp Stock Buy Hold or Sell Recommendation
| AIR Stock | USD 67.93 0.14 0.21% |
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding AAR Corp is 'Strong Sell'. Macroaxis provides AAR Corp buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding AAR Corp positions. The advice algorithm takes into account all of AAR Corp's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting AAR Corp's buy or sell advice are summarized below:
Real Value 27.71 | Target Price 0.15 | Hype Value 68.07 | Market Value 67.93 | Naive Value 68.47 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell AAR Corp given historical horizon and risk tolerance towards AAR Corp. When Macroaxis issues a 'buy' or 'sell' recommendation for AAR Corp, the advice is generated through an automated system that utilizes algorithms and statistical models.
AAR |
Execute AAR Corp Buy or Sell Advice
The AAR recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on AAR Corp. Macroaxis does not own or have any residual interests in AAR Corp or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute AAR Corp's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Sell
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Frail | Details | |
Financial Leverage | Inapplicable | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
AAR Corp Trading Alerts and Improvement Suggestions
| AAR Corp has a frail financial position based on the latest SEC disclosures | |
| Over 94.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from news.google.com: Benchmark Raises AAR Price Target to 83.00 - Defense World |
AAR Corp Returns Distribution Density
The distribution of AAR Corp's historical returns is an attempt to chart the uncertainty of AAR Corp's future price movements. The chart of the probability distribution of AAR Corp daily returns describes the distribution of returns around its average expected value. We use AAR Corp price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of AAR Corp returns is essential to provide solid investment advice for AAR Corp.
| Mean Return | 0.23 | Value At Risk | -2.36 | Potential Upside | 3.10 | Standard Deviation | 1.87 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of AAR Corp historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
AAR Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as AAR Corp is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading AAR Corp backward and forwards among themselves. AAR Corp's institutional investor refers to the entity that pools money to purchase AAR Corp's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Lord, Abbett & Co Llc | 2023-12-31 | 553.5 K | Charles Schwab Investment Management Inc | 2023-12-31 | 531.8 K | Principal Financial Group Inc | 2023-12-31 | 494 K | Hhg Plc | 2023-12-31 | 466.4 K | Segall Bryant & Hamill | 2023-12-31 | 434.3 K | Goldman Sachs Group Inc | 2023-12-31 | 430 K | Northern Trust Corp | 2023-12-31 | 428.2 K | Emerald Advisers, Llc | 2023-12-31 | 394.7 K | Norges Bank | 2023-12-31 | 344.7 K | Blackrock Inc | 2023-12-31 | 6.2 M | Vanguard Group Inc | 2023-12-31 | 3.8 M |
AAR Corp Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (94.5M) | 74.9M | (10.4M) | (23.6M) | (21.2M) | (22.3M) | |
| Change In Cash | 383.6M | (364.5M) | (1.3M) | 22.9M | 20.6M | 21.6M | |
| Free Cash Flow | (59.7M) | 93.9M | 57.9M | (6.2M) | (7.1M) | (6.8M) | |
| Depreciation | 43.7M | 36.3M | 33.1M | 27.9M | 32.1M | 40.8M | |
| Other Non Cash Items | 27.3M | 28.3M | (16.1M) | 5.3M | 6.1M | 6.4M | |
| Dividends Paid | 10.7M | 100K | 16.8M | 189.7M | 218.2M | 229.1M | |
| Capital Expenditures | 23.6M | 11.3M | 17.3M | 29.5M | 33.9M | 29.4M | |
| End Period Cash Flow | 424.7M | 60.2M | 58.9M | 81.8M | 94.1M | 60.9M | |
| Investments | (24.8M) | (500K) | (16.5M) | (138M) | (124.2M) | (118.0M) | |
| Change Receivables | 14.8M | (4.5M) | (49M) | (18.1M) | (16.3M) | (15.5M) | |
| Net Borrowings | 459.5M | (470M) | (34.2M) | 172M | 197.8M | 207.7M | |
| Change To Netincome | 1.9M | 64.6M | 11M | 18.3M | 21.0M | 25.5M |
AAR Corp Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to AAR Corp or Aerospace & Defense sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that AAR Corp's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a AAR stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | 0.22 | |
β | Beta against NYSE Composite | -0.06 | |
σ | Overall volatility | 1.89 | |
Ir | Information ratio | 0.07 |
AAR Corp Volatility Alert
AAR Corp has relatively low volatility with skewness of 0.13 and kurtosis of 2.52. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure AAR Corp's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact AAR Corp's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.AAR Corp Fundamentals Vs Peers
Comparing AAR Corp's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze AAR Corp's direct or indirect competition across all of the common fundamentals between AAR Corp and the related equities. This way, we can detect undervalued stocks with similar characteristics as AAR Corp or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of AAR Corp's fundamental indicators could also be used in its relative valuation, which is a method of valuing AAR Corp by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare AAR Corp to competition |
| Fundamentals | AAR Corp | Peer Average |
| Return On Equity | 0.054 | -0.31 |
| Return On Asset | 0.0538 | -0.14 |
| Profit Margin | 0.03 % | (1.27) % |
| Operating Margin | 0.06 % | (5.51) % |
| Current Valuation | 2.64 B | 16.62 B |
| Shares Outstanding | 35.43 M | 571.82 M |
| Shares Owned By Insiders | 4.94 % | 10.09 % |
| Shares Owned By Institutions | 94.25 % | 39.21 % |
| Number Of Shares Shorted | 955.48 K | 4.71 M |
| Price To Earning | 18.70 X | 28.72 X |
| Price To Book | 1.84 X | 9.51 X |
| Price To Sales | 0.97 X | 11.42 X |
| Revenue | 1.99 B | 9.43 B |
| Gross Profit | 371.3 M | 27.38 B |
| EBITDA | 161 M | 3.9 B |
| Net Income | 89.8 M | 570.98 M |
| Cash And Equivalents | 68.4 M | 2.7 B |
| Cash Per Share | 1.28 X | 5.01 X |
| Total Debt | 317.9 M | 5.32 B |
| Debt To Equity | 0.16 % | 48.70 % |
| Current Ratio | 2.89 X | 2.16 X |
| Book Value Per Share | 33.51 X | 1.93 K |
| Cash Flow From Operations | 23.3 M | 971.22 M |
| Short Ratio | 2.77 X | 4.00 X |
| Earnings Per Share | 1.69 X | 3.12 X |
| Price To Earnings To Growth | 2.41 X | 4.89 X |
| Target Price | 76.75 | |
| Number Of Employees | 5 K | 18.84 K |
| Beta | 1.68 | -0.15 |
| Market Capitalization | 2.4 B | 19.03 B |
| Total Asset | 1.83 B | 29.47 B |
| Retained Earnings | 910.6 M | 9.33 B |
| Working Capital | 746.4 M | 1.48 B |
Note: Disposition of 10000 shares by John Holmes of AAR Corp at 18.94 subject to Rule 16b-3 [view details]
AAR Corp Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as AAR . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About AAR Corp Buy or Sell Advice
When is the right time to buy or sell AAR Corp? Buying financial instruments such as AAR Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Short and Long Term Debt Total | 156.3M | 317.9M | 365.6M | 279.0M | Total Assets | 1.6B | 1.8B | 2.1B | 1.1B |
Use Investing Ideas to Build Portfolios
In addition to having AAR Corp in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Beer and Liquor Thematic Idea Now
Beer and Liquor
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Beer and Liquor theme has 33 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Beer and Liquor Theme or any other thematic opportunities.
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Check out AAR Corp Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. To learn how to invest in AAR Stock, please use our How to Invest in AAR Corp guide.You can also try the Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
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When running AAR Corp's price analysis, check to measure AAR Corp's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy AAR Corp is operating at the current time. Most of AAR Corp's value examination focuses on studying past and present price action to predict the probability of AAR Corp's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move AAR Corp's price. Additionally, you may evaluate how the addition of AAR Corp to your portfolios can decrease your overall portfolio volatility.
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Is AAR Corp's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of AAR Corp. If investors know AAR will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about AAR Corp listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.37) | Earnings Share 1.69 | Revenue Per Share 63.442 | Quarterly Revenue Growth 0.089 | Return On Assets 0.0538 |
The market value of AAR Corp is measured differently than its book value, which is the value of AAR that is recorded on the company's balance sheet. Investors also form their own opinion of AAR Corp's value that differs from its market value or its book value, called intrinsic value, which is AAR Corp's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because AAR Corp's market value can be influenced by many factors that don't directly affect AAR Corp's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between AAR Corp's value and its price as these two are different measures arrived at by different means. Investors typically determine if AAR Corp is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, AAR Corp's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.