Should You Think About Buying FTAI Aviation Ltd. (NASDAQ:FTAI) Now?

Yahoo

29-05-2025

Let's talk about the popular FTAI Aviation Ltd. (NASDAQ:FTAI). The company's shares saw a significant share price rise of 36% in the past couple of months on the NASDAQGS. While good news for shareholders, the company has traded much higher in the past year. As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company's outlook is already priced into the stock. However, what if the stock is still a bargain? Today we will analyse the most recent data on FTAI Aviation's outlook and valuation to see if the opportunity still exists.
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According to our valuation model, FTAI Aviation seems to be fairly priced at around 9.73% above our intrinsic value, which means if you buy FTAI Aviation today, you'd be paying a relatively reasonable price for it. And if you believe that the stock is really worth $107.75, then there isn't really any room for the share price grow beyond what it's currently trading. Although, there may be an opportunity to buy in the future. This is because FTAI Aviation's beta (a measure of share price volatility) is high, meaning its price movements will be exaggerated relative to the rest of the market. If the market is bearish, the company's shares will likely fall by more than the rest of the market, providing a prime buying opportunity.
Check out our latest analysis for FTAI Aviation
Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Buying a great company with a robust outlook at a cheap price is always a good investment, so let's also take a look at the company's future expectations. FTAI Aviation's earnings over the next few years are expected to double, indicating a very optimistic future ahead. This should lead to stronger cash flows, feeding into a higher share value.
Are you a shareholder? It seems like the market has already priced in FTAI's positive outlook, with shares trading around its fair value. However, there are also other important factors which we haven't considered today, such as the track record of its management team. Have these factors changed since the last time you looked at the stock? Will you have enough conviction to buy should the price fluctuates below the true value?
Are you a potential investor? If you've been keeping an eye on FTAI, now may not be the most advantageous time to buy, given it is trading around its fair value. However, the positive outlook is encouraging for the company, which means it's worth diving deeper into other factors such as the strength of its balance sheet, in order to take advantage of the next price drop.
If you want to dive deeper into FTAI Aviation, you'd also look into what risks it is currently facing. For instance, we've identified 4 warning signs for FTAI Aviation (1 is a bit concerning) you should be familiar with.
If you are no longer interested in FTAI Aviation, you can use our free platform to see our list of over 50 other stocks with a high growth potential.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.