| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 24 | 40.4x | 17.8x | Bottom tier | |
Growth | 90 | 45.3% | 7.1% | Top tier | |
Quality | 69 | 19.6% | 4.5% | Top tier | |
Safety | 46 | 2.9x | 2.6x | Around median | |
Capital Return | 38 | 0.91% | 2.12% | Bottom tier | |
Momentum | 28 | 29.2% | 2.9% | Bottom tier | |
Sentiment | 90 | 5 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
FTAI Aviation operates through three interconnected businesses built on its aftermarket turbine expertise: Aerospace Products for maintaining, repairing, and exchanging CFM56 engines and modules; Asset Management for managing aviation assets through SCI vehicles; and Power for converting CFM56 engines into Mod-1 power-generation units. In Aerospace Products, the company generates revenue from engine services and sales of refurbished modules to aviation customers and SCI, while the asset business generates management fees, co-investment returns, leasing income, and sales gains, and Power aims to sell turbines to the joint venture and then share in the profits from selling the units to customers.
In Q2 FY2026, revenue was $953.1 million, gross profit was $317.3 million, net income was $125.1 million, and earnings per share were $1.13; representing a gross margin of approximately 33.3% and a net margin of approximately 13.1%. Adjusted earnings before interest, taxes, depreciation, and amortization were $291.4 million, comprising $249.7 million from Aerospace Products and $88.2 million from Aviation Leasing, offset by negative $46.5 million from Corporate & Other, including intersegment eliminations and Power startup expenses.
Aerospace Products revenue in Q2 FY2026 increased 78% year over year and 18% quarter over quarter, while its adjusted earnings before interest, taxes, depreciation, and amortization rose 51% year over year and 12% quarter over quarter, but its margin remained at 29%. This mix shows that the primary growth driver is increased CFM56 module production and service for external customers, while the leasing business is undergoing a deliberate transition toward the less balance-sheet-intensive SCI model, and Power is incurring startup expenses ahead of its targeted contribution to FY2027 earnings.
The analyst consensus is “Buy,” with an average price target of $325 and a wide range of $290 to $360. The average is slightly above the 52-week range high of $323.51, but the wide spread of targets, the $100 million reduction in the Aviation Leasing forecast, and pressure on the Aerospace Products margin to approximately 30% indicate that achieving this valuation depends heavily on executing growth in Power and SCI.
Figures in the text are as of 2026-08-29; the live price is shown at the top of the page.
Aerospace Products was the largest driver, generating $249.7 million in adjusted earnings before interest, taxes, depreciation, and amortization at a 29% margin. The business's revenue increased 78% year over year and 18% quarter over quarter, while its adjusted earnings rose 51% year over year. This was supported by the refurbishment of 296 CFM56 modules, an increase of 61% compared with Q2 FY2025.
FTAI redirected a larger share of engine module production to external Aerospace Products customers instead of replenishing its balance-sheet leasing fleet. This coincided with SCI's growth, but the reduction in balance-sheet assets occurred before the contribution from the investment vehicles had fully ramped up. Therefore, the company reduced its FY2026 Aviation Leasing earnings before interest, taxes, depreciation, and amortization forecast by $100 million to $475 million.
The J&F Power Systems venture signed a five-year master agreement and an initial purchase order worth $1.465 billion with a U.S. hyperscaler customer for 2027 deliveries. The contract includes a significant upfront payment and milestone payments, allowing the customer to fund part of the production ramp-up as it progresses. FTAI is targeting $450 million in earnings before interest, taxes, depreciation, and amortization from Power in 2027, while Mod-1 testing continues in Miami following testing in Montreal.
Automated analysis for informational purposes only — not investment advice.
The company increased its total effective capacity from 2,000 to 3,000 modules annually by expanding its network and partnerships. The additions include GMF AeroAsia in Jakarta and EgyptAir in Cairo, along with expansions in Rome, Lisbon, and Montreal. After producing 566 modules in the first half, it raised its FY2026 target to 1,200 modules and set an internal target of 1,700 modules in 2027.
The model gradually transfers ownership of leased assets to investment vehicles managed and partially owned by FTAI instead of retaining all of them on its balance sheet. The 2025 vehicle became fully committed with more than 300 aircraft closed or subject to letters of intent and issued $612 million in ABS notes that enabled a special distribution in July 2026. The 2026 vehicle is targeting $6 billion in capital commitments, and FTAI will commit 15% of it while performing engine maintenance through its operations.
Management is targeting total segment earnings before interest, taxes, depreciation, and amortization of $2.3 billion in 2027. The target consists of $1.4 billion from Aerospace Products, $450 million from Aviation Leasing, and $450 million from Power. Executing Mod-1 production, achieving the target of 1,700 modules in Aerospace Products, and transitioning the majority of leasing earnings to SCI are critical factors in reaching these figures.
