StandardAero (NYSE:SARO) to Buyback $450.00 million in Outstanding Shares

StandardAero (NYSE:SARO) announced that its board has initiated a share repurchase plan on Wednesday, December 10th, RTT News reports. The company plans to repurchase $450.00 million in shares. This repurchase authorization authorizes the company to repurchase up to 5% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company’s board believes its shares are undervalued.

Wall Street Analyst Weigh In

A number of brokerages have weighed in on SARO. Barclays initiated coverage on shares of StandardAero in a report on Friday, September 12th. They issued an “equal weight” rating and a $32.00 price target on the stock. Wall Street Zen downgraded StandardAero from a “buy” rating to a “hold” rating in a research report on Saturday, October 11th. Susquehanna started coverage on StandardAero in a research note on Wednesday, September 17th. They set a “positive” rating and a $34.00 price target for the company. Zacks Research raised StandardAero from a “strong sell” rating to a “hold” rating in a research note on Wednesday, November 12th. Finally, Sanford C. Bernstein reiterated an “outperform” rating on shares of StandardAero in a report on Monday, November 24th. Three research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. Based on data from MarketBeat.com, StandardAero presently has a consensus rating of “Hold” and an average price target of $32.43.

StandardAero Stock Performance

StandardAero stock opened at $27.42 on Thursday. The stock’s 50 day moving average price is $26.87 and its 200 day moving average price is $28.01. The firm has a market capitalization of $9.17 billion, a PE ratio of 49.85 and a beta of 1.16. The company has a debt-to-equity ratio of 0.89, a quick ratio of 1.48 and a current ratio of 2.18. StandardAero has a one year low of $21.31 and a one year high of $31.97.

StandardAero (NYSE:SARO) last posted its quarterly earnings data on Monday, November 10th. The company reported $0.20 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.20. StandardAero had a net margin of 3.15% and a return on equity of 9.63%. The company had revenue of $1.50 billion for the quarter, compared to analyst estimates of $1.43 billion. During the same quarter last year, the firm posted $0.06 earnings per share. The business’s quarterly revenue was up 20.4% on a year-over-year basis. As a group, sell-side analysts expect that StandardAero will post 0.29 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, insider Alex Trapp sold 10,000 shares of StandardAero stock in a transaction on Wednesday, October 15th. The shares were sold at an average price of $29.21, for a total transaction of $292,100.00. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Over the last ninety days, insiders have sold 90,626 shares of company stock worth $2,554,051. 1.90% of the stock is currently owned by company insiders.

About StandardAero

StandardAero, Inc provides aerospace engine aftermarket services for fixed and rotary wing aircraft in the United States, Canada, the United Kingdom, Rest of Europe, Asia, and internationally. It operates in two segments, Engine Services and Component Repair Services. The Engine Services segment provides a suite of aftermarket services, including maintenance, repair and overhaul, on-wing and field service support, asset management, and engineering and related solutions to customers in the commercial aerospace, military and helicopter, and business aviation end markets.