Wed, Jul. 15, 8:15 AM
- Lease agreements: 103 aircraft. Purchased: 11 aircraft. Executed sale and part-out transactions: 18 aircraft.
- Signed agreement for an order of 100 Boeing 737 MAXs (deliveries start in 2019) and signed financing transactions for $2.3B.
- As of June 30, AerCap's (NYSE:AER) portfolio consisted of approximately 1,730 aircraft that were either owned, managed, or under contract to purchase.
Mon, Jul. 13, 12:59 PM
- Top publicly traded aircraft leasing company AerCap (AER +1.9%) shares look cheap, trading at just 8x earnings, and shares could jump 35% as earnings beat estimates, according to a Barron's weekend analysis.
- A major AER asset is its big order book, largely inherited from ILFC; ~205 of the 368 planes on order are highly desirable Airbus A320neo and A321neo narrow-body planes, and another 60 in the order book are Boeing 787s, probably the best plane in Boeing’s fleet; analysts also say AER gets high marks for both business and financial management.
- The article says AER may be undervalued because of an overhang from the sale a month ago by AIG of 71M shares, or about a third of total shares outstanding; there is concern about developing markets, where AER generates half of its revenue; and AER has a lot of debt - ~$30B, vs. $8B of equity - making it vulnerable to higher interest rates.
Tue, Jun. 16, 7:21 AM
- Boeing (NYSE:BA) has extended its lead over Airbus (OTCPK:EADSY) on the second day of the Paris Air Show, pulling in the biggest deal yet with 100 single-aisle planes that gives it almost twice the haul of its arch-rival.
- The order, by leasing company Aercap (NYSE:AER), is for 100 737 MAX 8 aircraft valued at about $10.7B at list prices.
- Boeing now holds a heavy lead over Airbus with orders of about $29.6B in total, almost double the French planemaker's $15B in orders.
Fri, Jun. 12, 2:28 PM
- Boeing (BA -0.3%) is close to a long-sought deal to sell 100 of its 737 MAX passenger jets to Dutch aircraft leasing company AerCap (AER -0.5%), Reuters reports.
- The deal, expected to be announced at next week's Paris Airshow, would be worth ~$11B at list prices.
- AER CEO Aengus Kelly had said the air show was likely to produce fewer orders this year than in the past, presenting an ideal time to negotiate with planemakers for favorable deals.
Thu, Jun. 4, 5:50 AM
- AIG sold $3.7B in AerCap Holdings (NYSE:AER) stock on Wednesday, building capital to buy back its own shares. The New York-based insurer previously announced a $3.5B share-repurchase plan in April.
- The larger-than-planned transaction saw AIG selling about 71.2M shares, following expectations for a 50M share public offering. The move reduces AIG's stake in AerCap from 46% to 5%.
- Previously: AIG and AerCap gain as AIG sells chunk of stake (Jun. 02 2015)
Tue, Jun. 2, 11:47 AM
- "We view this as another step forward on the capital management plan," says FBR's Randy Binner, assuming AIG (AIG +1.6%) might use the proceeds (in the area of $2.4B) for an immediate buyback. He rates the stock an Outperform.
- AIG a few weeks back announced a $3.5B share repurchase plan.
- AerCap (AER +2%) is also on the move higher despite 50M shares of its stock hitting the market. Alongside the secondary, AerCap is buying back $750M of stock from AIG.
- Previously: AIG unloading chunk of AerCap stake (June 1)
Mon, Jun. 1, 5:23 PM
- AerCap Holdings (NYSE:AER) announces a 50M share secondary as AIG moves to sell 51% of its holdings in the company. AIG currently has a 46% stake in AerCap.
- The underwriters have a greenshoe option to buy another 7.5M shares from AIG.
- AerCap agrees to purchase from AIG $750M worth of stock at a price equal to what the underwriters price the secondary at. Consideration will be in the form of $500M of junior notes and $250M in cash.
- The sales should leave AIG with more than $2.5B in cash, which presumably can be put to work on buybacks.
Thu, May 21, 9:17 AM
- New additions to Goldman's hedge fund hotels - 50 stocks which most frequently appear among the largest ten holdings of hedge funds: AerCap (NYSE:AER), Assured Guaranty (NYSE:AGO), Baker Hughes (NYSE:BHI), Citizens Financial (NYSE:CFG), Colony Capital (NYSE:CLNY), Dresser-Rand (NYSE:DRC), Family Dollar (NYSE:FDO), Hospira (NYSE:HSP), Netflix (NASDAQ:NFLX), NXP Semi (NASDAQ:NXPI), Pharmacyclics (NASDAQ:PCYC), Visa (NYSE:V), and Walgreens (NASDAQ:WBA).
- Since 2001, the basket has outperformed the S&P 500 in 66% of quarters by an average of 73 basis points. YTD, however, it has underperformed by nine bps. Goldman notes the current basket overweights Consumer Discretionary (22%) and underweights Consumer Staples (2%).
- Looking at the full list, Actavis (NYSE:ACT) leads the way, with 77 funds naming the stock as a top 10 holding. Next up is Apple (NASDAQ:AAPL) with 69, then Facebook (NASDAQ:FB) at 42. For the entire list of 50, the average is 26 funds making a stock a top 10 holding.
- The rest in order: Valeant (NYSE:VRX), Microsoft (NASDAQ:MSFT), DirecTV (NASDAQ:DTV), Citigroup (NYSE:C), Time Warner (NYSE:TWC), Delta (NYSE:DAL), Cheneire (NYSEMKT:LNG), Yahoo (NASDAQ:YHOO), Liberty Global (NASDAQ:LBTYK), AIG, SunEdison (NYSE:SUNE), Air Products (NYSE:APD), Amazon (NASDAQ:AMZN), GM, BofA (NYSE:BAC), JPMorgan (NYSE:JPM), Macquarie Infrastructure (NYSE:MIC), American Airlines (NASDAQ:AAL), Charter Communications (NASDAQ:CHTR), Google (GOOG, GOOGL), Ally Financial (NYSE:ALLY), NorthStar Realty (NYSE:NRF), Priceline (NASDAQ:PCLN), eBay (NASDAQ:EBAY), MasterCard (NYSE:MA), Alibaba (NYSE:BABA), Micron (NASDAQ:MU), Williams (NYSE:WMB), Gilead (NASDAQ:GILD), Berkshire Hathaway (BRK.A, BRK.B), Dolar General (NYSE:DG), NorthStar Asset (NYSE:NSAM), Brookdale Senior (NYSE:BKD), DISH Network (NASDAQ:DISH).
- See also: Goldman updates list of hedge funds most-shorted stocks (May 21)
Fri, May 15, 6:05 PM
- After having exited a prior GM position a year ago, David Einhorn's Greenlight Capital bought 9.5M shares of the auto giant in Q1, per Greenlight's Q1 13F.
- Einhorn previously disclosed the purchase, along with his reasoning, in his Q1 letter. "2015 should be a better year for GM: the company is a year closer to eliminating its losses in Europe; low gas prices should stimulate demand for its highly profitable SUV and light truck product lines; raw material costs are low; and we believe that the worst of the product recalls is behind them." He also noted GM's buyback, and called earnings estimates beatable.
- A 1.7M-share stake was taken in Macy's (NYSE:M), and a 1.1M-share stake in Ingram Micro (NYSE:IM). Greenlight's stake in Chicago Bridge & Iron (NYSE:CBI) was more than doubled to 6.7M shares, and its stake in AerCap (NYSE:AER) hiked by 49% to 5.6M.
- On the flip side, Greenlight liquidated a 1.3M-share stakes in Aetna (NYSE:AET) and Amdocs (NASDAQ:DOX). The firm cut its stake in chipmaker/long-time holding Marvell (NASDAQ:MRVL) by 63% to 9M shares, and in chip equipment maker Lam Research (NASDAQ:LRCX) by 33% to 1.7M shares.
Thu, May 14, 9:30 AM
- United Continental (NYSE:UAL) has announced plans to lease up to 25 used aircraft from AerCap (NYSE:AER) to reduce its dependence on smaller, 50-seat jets.
- UAL expects delivery of 11 used A319s over the next two years, with the right to add up to 14 more of the single-aisle planes over the next five years.
Mon, May 11, 7:47 AM
Sun, May 10, 5:30 PM
Tue, Mar. 31, 11:52 AM
- According to a filing from AerCap (AER -1.4%), AIG will sell its remaining 97.6M shares in the company (a 46% stake) at a maximum price of $43.74 each.
- AIG, of course, obtained the stake through its sale of ILFC to AerCap last year.
- For AerCap, the sale will remove a sizable overhang on the stock. For AIG, the $4B-plus raised will be nice firepower for buybacks.
- SEC Form F-3ASR
Mon, Feb. 23, 7:17 AM
Sun, Feb. 22, 5:30 PM
Tue, Jan. 20, 8:57 AM
- "We are just very disciplined with the money of our shareholders and will do what's best for them: whether it is paying down debt, buying airplanes or buying back shares," says AerCap (NYSE:AER) CEO Aengus Kelly, responding to a question as to whether the company might buy back all or part of its stock owned by AIG.
- Earlier headlines making the rounds described Kelly's comments as suggesting a stronger consideration of a buyback.
- AerCap has maintained its priority is reducing its debt loan during the ILFC integration, a strategy Kelly says is ahead of schedule.
AER vs. ETF Alternatives
AerCap Holdings NV provides aircraft leasing & aviation finance services. Its activities also include aircraft asset management, corporate services, remarketing of aircraft, collecting rental, maintenance payments & monitoring aircraft maintenance.
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