AAR (NYSE:AIR) Shares Gap Down After Analyst Downgrade

AAR Corp. (NYSE:AIR - Get Free Report) shares gapped down prior to trading on Friday after StockNews.com downgraded the stock from a hold rating to a sell rating. The stock had previously closed at $68.35, but opened at $63.58. AAR shares last traded at $59.00, with a volume of 330,752 shares changing hands.

A number of other analysts have also recently weighed in on the stock. Truist Financial cut their price objective on shares of AAR from $81.00 to $78.00 and set a "buy" rating on the stock in a report on Friday. KeyCorp began coverage on shares of AAR in a research note on Thursday, January 16th. They set an "overweight" rating and a $83.00 price target on the stock. One analyst has rated the stock with a sell rating, four have issued a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, AAR currently has a consensus rating of "Moderate Buy" and a consensus price target of $80.80.

Insider Activity

In other AAR news, CFO Sean M. Gillen sold 17,385 shares of AAR stock in a transaction on Friday, January 10th. The shares were sold at an average price of $66.33, for a total value of $1,153,147.05. Following the transaction, the chief financial officer now directly owns 72,326 shares in the company, valued at approximately $4,797,383.58. The trade was a 19.38 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO John Mcclain Holmes III sold 5,000 shares of the stock in a transaction dated Friday, January 17th. The stock was sold at an average price of $70.81, for a total transaction of $354,050.00. Following the sale, the chief executive officer now owns 341,680 shares of the company's stock, valued at $24,194,360.80. This trade represents a 1.44 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 185,793 shares of company stock valued at $12,538,396 in the last ninety days. 4.10% of the stock is currently owned by company insiders.

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Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the stock. JPMorgan Chase & Co. increased its stake in shares of AAR by 9.7% during the third quarter. JPMorgan Chase & Co. now owns 40,737 shares of the aerospace company's stock worth $2,663,000 after acquiring an additional 3,612 shares during the period. SG Americas Securities LLC acquired a new stake in AAR in the fourth quarter valued at $1,539,000. Charles Schwab Investment Management Inc. boosted its position in shares of AAR by 3.8% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 538,125 shares of the aerospace company's stock worth $32,976,000 after purchasing an additional 19,863 shares in the last quarter. Shelton Wealth Management LLC acquired a new position in shares of AAR during the 4th quarter worth $1,068,000. Finally, Barclays PLC increased its holdings in shares of AAR by 269.4% in the 3rd quarter. Barclays PLC now owns 66,223 shares of the aerospace company's stock valued at $4,328,000 after purchasing an additional 48,298 shares in the last quarter. Institutional investors and hedge funds own 90.74% of the company's stock.

AAR Price Performance

The stock has a market cap of $1.99 billion, a price-to-earnings ratio of 197.22 and a beta of 1.58. The company's 50 day moving average is $66.40 and its 200 day moving average is $65.38. The company has a debt-to-equity ratio of 0.84, a current ratio of 2.68 and a quick ratio of 1.27.

AAR (NYSE:AIR - Get Free Report) last announced its quarterly earnings results on Thursday, March 27th. The aerospace company reported $0.99 EPS for the quarter, topping the consensus estimate of $0.96 by $0.03. The business had revenue of $678.20 million for the quarter, compared to analyst estimates of $699.13 million. AAR had a return on equity of 10.46% and a net margin of 0.41%. The company's quarterly revenue was up 19.5% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.85 EPS. Research analysts forecast that AAR Corp. will post 3.77 earnings per share for the current fiscal year.

About AAR

AAR Corp. provides products and services to commercial aviation, government, and defense markets worldwide. The Parts Supply segment leases and sells aircraft components and replacement parts. The Repair & Engineering segment provides airframe maintenance services, such as airframe inspection, painting, line maintenance, airframe modification, structural repair, avionics service and installation, exterior and interior refurbishment, and engineering and support services; component repair services comprising maintenance, repair, and overhaul (MRO) services, engine and airframe accessories, and interior refurbishment; and landing gear overhaul services, including repair services on wheels and brakes.