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Air Lease

NYSE:AL
Snowflake Description

High growth potential and good value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
AL
NYSE
$5B
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

Air Lease Corporation, an aircraft leasing company, engages in the purchase and leasing of commercial jet transport aircraft to airlines worldwide. The last earnings update was 29 days ago. More info.


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AL Share Price and Events
7 Day Returns
-2.2%
NYSE:AL
-2.2%
US Trade Distributors
-1.4%
US Market
1 Year Returns
25.5%
NYSE:AL
15%
US Trade Distributors
14.5%
US Market
AL Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Air Lease (AL) -2.2% -1.4% 8.8% 25.5% 24.7% 39.9%
US Trade Distributors -2.2% -1.7% 11.8% 15% 19.8% 28.6%
US Market -1.4% 1.3% 4.6% 14.5% 35.7% 48.6%
1 Year Return vs Industry and Market
  • AL outperformed the Trade Distributors industry which returned 15% over the past year.
  • AL outperformed the Market in United States of America which returned 14.5% over the past year.
Price Volatility
AL
Industry
5yr Volatility vs Market

AL Value

 Is Air Lease undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Air Lease to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Air Lease.

NYSE:AL Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Dividend Discount Model
Dividend Per Share Company Filings (2019-09-30) in USD $ 0.52764882352941
Payout Ratio Company Filings (2019-09-30) 630.5%
Discount Rate (Cost of Equity) See below 9.6%
Perpetual Growth Rate 10-Year US Government Bond Rate 1.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:AL
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 1.7%
Equity Risk Premium S&P Global 5.4%
Trade Distributors Unlevered Beta Simply Wall St/ S&P Global 0.94
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.936 (1 + (1- 21%) (271.18%))
1.447
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.45
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.74% + (1.447 * 5.44%)
9.61%

Discounted Cash Flow Calculation for NYSE:AL using Dividend Discount Model Model

The calculations below outline how an intrinsic value for Air Lease is arrived at by discounting future dividends to their present value. This approach is used for finance firms where free cash flow is difficult to estimate (e.g. Banks/ Insurance firms).

If the firm does not pay the majority of its earnings out as a dividend this method will often arrive at a value significantly lower than the share price.

See our documentation to learn about this calculation.

NYSE:AL Gordon Growth Model
Calculation Result
Value per share = Expected dividends per share / (Discount Rate - Perpetual growth rate)
= $0.53 / (9.61% - 1.74%)
$6.71
NYSE:AL Discount to Share Price
Calculation Result
Value per share (USD) From above. $6.71
Current discount Discount to share price of $45.58
= -1 x ($45.58 - $6.71) / $6.71
-579.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Air Lease is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Air Lease's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Air Lease's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:AL PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in USD $5.00
NYSE:AL Share Price ** NYSE (2019-12-05) in USD $45.58
United States of America Trade Distributors Industry PE Ratio Median Figure of 41 Publicly-Listed Trade Distributors Companies 16.99x
United States of America Market PE Ratio Median Figure of 2,924 Publicly-Listed Companies 18.23x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Air Lease.

NYSE:AL PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:AL Share Price ÷ EPS (both in USD)

= 45.58 ÷ 5.00

9.11x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Air Lease is good value based on earnings compared to the US Trade Distributors industry average.
  • Air Lease is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Air Lease's expected growth come at a high price?
Raw Data
NYSE:AL PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 9.11x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts
21.8%per year
United States of America Trade Distributors Industry PEG Ratio Median Figure of 33 Publicly-Listed Trade Distributors Companies 1.02x
United States of America Market PEG Ratio Median Figure of 2,045 Publicly-Listed Companies 1.45x

*Line of best fit is calculated by linear regression .

NYSE:AL PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 9.11x ÷ 21.8%

0.42x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Air Lease is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Air Lease's assets?
Raw Data
NYSE:AL PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in USD $48.47
NYSE:AL Share Price * NYSE (2019-12-05) in USD $45.58
United States of America Trade Distributors Industry PB Ratio Median Figure of 51 Publicly-Listed Trade Distributors Companies 1.64x
United States of America Market PB Ratio Median Figure of 5,086 Publicly-Listed Companies 1.77x
NYSE:AL PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:AL Share Price ÷ Book Value per Share (both in USD)

= 45.58 ÷ 48.47

0.94x

* Primary Listing of Air Lease.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Air Lease is good value based on assets compared to the US Trade Distributors industry average.
X
Value checks
We assess Air Lease's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Trade Distributors industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Trade Distributors industry average (and greater than 0)? (1 check)
  5. Air Lease has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

AL Future Performance

 How is Air Lease expected to perform in the next 1 to 3 years based on estimates from 9 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
21.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Air Lease expected to grow at an attractive rate?
  • Air Lease's earnings growth is expected to exceed the low risk savings rate of 1.7%.
Growth vs Market Checks
  • Air Lease's earnings growth is expected to exceed the United States of America market average.
  • Air Lease's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:AL Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:AL Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts 21.8%
NYSE:AL Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 9 Analysts 21.5%
United States of America Trade Distributors Industry Earnings Growth Rate Market Cap Weighted Average 13.1%
United States of America Trade Distributors Industry Revenue Growth Rate Market Cap Weighted Average 4.5%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:AL Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:AL Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 3,064 2,101 873 4
2020-12-31 2,429 1,750 706 9
2019-12-31 2,005 1,384 569 9
2019-12-06
NYSE:AL Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-09-30 1,918 1,356 552
2019-06-30 1,838 1,322 547
2019-03-31 1,765 1,269 538
2018-12-31 1,680 1,254 511
2018-09-30 1,628 1,178 844
2018-06-30 1,554 1,150 796
2018-03-31 1,537 1,087 782
2017-12-31 1,516 1,060 756
2017-09-30 1,488 1,010 382
2017-06-30 1,467 1,013 376
2017-03-31 1,436 1,012 367
2016-12-31 1,419 1,020 375

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Air Lease's earnings are expected to grow significantly at over 20% yearly.
  • Air Lease's revenue is expected to grow significantly at over 20% yearly.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:AL Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below

All data from Air Lease Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:AL Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 7.73 8.30 7.37 4.00
2020-12-31 6.22 7.00 5.20 10.00
2019-12-31 5.03 5.18 4.80 10.00
2019-12-06
NYSE:AL Past Financials Data
Date (Data in USD Millions) EPS *
2019-09-30 5.00
2019-06-30 5.05
2019-03-31 5.05
2018-12-31 4.88
2018-09-30 8.13
2018-06-30 7.69
2018-03-31 7.56
2017-12-31 7.33
2017-09-30 3.71
2017-06-30 3.65
2017-03-31 3.57
2016-12-31 3.65

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Air Lease is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Air Lease's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Air Lease has a total score of 5/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

AL Past Performance

  How has Air Lease performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Air Lease's growth in the last year to its industry (Trade Distributors).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Air Lease has delivered over 20% year on year earnings growth in the past 5 years.
  • Air Lease's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Air Lease's 1-year earnings growth is negative, it can't be compared to the US Trade Distributors industry average.
Earnings and Revenue History
Air Lease's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Air Lease Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:AL Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 1,918.33 552.47 137.61
2019-06-30 1,838.13 547.10 129.22
2019-03-31 1,764.54 538.28 121.93
2018-12-31 1,679.70 510.84 114.85
2018-09-30 1,628.19 843.54 115.37
2018-06-30 1,554.26 796.15 108.77
2018-03-31 1,537.40 781.87 111.57
2017-12-31 1,516.38 756.15 111.13
2017-09-30 1,488.40 382.04 107.78
2017-06-30 1,466.73 376.13 107.63
2017-03-31 1,435.91 367.00 103.64
2016-12-31 1,419.06 374.93 99.93
2016-09-30 1,375.27 358.84 97.73
2016-06-30 1,333.29 342.60 97.23
2016-03-31 1,287.85 326.92 94.38
2015-12-31 1,222.84 253.39 93.98
2015-09-30 1,182.09 242.62 96.02
2015-06-30 1,130.90 228.01 95.59
2015-03-31 1,082.52 213.93 98.13
2014-12-31 1,050.49 256.00 98.47
2014-09-30 1,007.45 244.71 97.57
2014-06-30 961.42 230.86 95.28
2014-03-31 912.96 211.81 94.39
2013-12-31 858.68 190.41 92.83
2013-09-30 811.88 171.37 89.07
2013-06-30 768.83 159.81 87.78
2013-03-31 716.01 144.99 87.34
2012-12-31 655.75 131.92 88.14

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Air Lease has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Air Lease used its assets less efficiently than the US Trade Distributors industry average last year based on Return on Assets.
  • Air Lease's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Air Lease's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Trade Distributors industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Air Lease has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

AL Health

 How is Air Lease's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Air Lease's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Air Lease's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Air Lease's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Air Lease's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is not covered by short term assets, assets are 0x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Air Lease Company Filings, last reported 2 months ago.

NYSE:AL Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 5,462.17 13,751.87 291.77
2019-06-30 5,299.88 12,859.24 264.06
2019-03-31 5,173.82 11,869.67 285.72
2018-12-31 4,806.90 11,538.91 300.13
2018-09-30 4,478.92 11,094.34 228.50
2018-06-30 4,337.84 10,962.45 259.53
2018-03-31 4,226.62 9,887.50 252.49
2017-12-31 4,127.44 9,698.79 292.20
2017-09-30 3,655.58 9,237.32 226.02
2017-06-30 3,558.20 9,303.31 239.71
2017-03-31 3,459.23 9,102.69 155.76
2016-12-31 3,382.19 8,713.87 274.80
2016-09-30 3,288.29 8,554.73 226.82
2016-06-30 3,195.53 8,390.47 172.73
2016-03-31 3,104.40 8,017.50 162.81
2015-12-31 3,019.91 7,712.42 156.68
2015-09-30 2,939.45 7,498.24 119.72
2015-06-30 2,861.86 7,220.46 162.99
2015-03-31 2,785.18 6,954.80 210.16
2014-12-31 2,772.06 6,630.76 282.82
2014-09-30 2,695.09 6,646.64 210.67
2014-06-30 2,631.76 6,284.18 244.45
2014-03-31 2,583.51 5,943.10 256.08
2013-12-31 2,523.43 5,853.32 270.17
2013-09-30 2,460.81 5,466.28 221.68
2013-06-30 2,411.03 5,226.34 234.30
2013-03-31 2,375.12 4,861.20 217.62
2012-12-31 2,332.62 4,384.73 230.09
  • Air Lease's level of debt (251.8%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (246.5% vs 251.8% today).
  • Debt is not well covered by operating cash flow (9.9%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2.7x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess Air Lease's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Air Lease has a total score of 0/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

AL Dividends

 What is Air Lease's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.32%
Current annual income from Air Lease dividends. Estimated to be 1.16% next year.
If you bought $2,000 of Air Lease shares you are expected to receive $26 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Air Lease's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.43%).
  • Air Lease's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).
Upcoming dividend payment

Purchase Air Lease before the 'Ex-dividend' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:AL Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
United States of America Trade Distributors Industry Average Dividend Yield Market Cap Weighted Average of 15 Stocks 2.6%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1958 Stocks 2.3%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:AL Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.63 3.00
2020-12-31 0.52 7.00
2019-12-31 0.49 7.00
2019-12-06
NYSE:AL Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-11-07 0.600 1.312
2019-08-08 0.520 1.245
2019-05-09 0.520 1.315
2019-02-21 0.520 1.428
2018-11-08 0.520 1.451
2018-08-09 0.400 0.919
2018-02-22 0.400 0.923
2017-11-09 0.400 0.874
2017-08-03 0.300 0.721
2017-05-04 0.300 0.791
2017-02-23 0.300 0.787
2016-11-03 0.300 0.840
2016-05-05 0.200 0.698
2016-02-25 0.200 0.640
2015-11-05 0.200 0.681
2015-08-06 0.160 0.486
2015-05-07 0.160 0.446
2014-11-06 0.160 0.434
2014-08-07 0.120 0.340
2014-05-12 0.120 0.314
2014-05-08 0.120 0.316
2014-02-27 0.120 0.327
2013-08-09 0.100 0.335
2013-08-08 0.100 0.369
2013-02-28 0.100 0.356

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Air Lease has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Air Lease only paid a dividend in the past 7 years.
Current Payout to shareholders
What portion of Air Lease's earnings are paid to the shareholders as a dividend.
  • Dividends paid are thoroughly covered by earnings (9.3x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be thoroughly covered by earnings (13.2x coverage).
X
Income/ dividend checks
We assess Air Lease's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Air Lease afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Air Lease has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

AL Management

 What is the CEO of Air Lease's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
John Plueger
COMPENSATION $7,672,190
AGE 65
TENURE AS CEO 3.4 years
CEO Bio

Mr. John L. Plueger has been Chief Executive Officer and President of Air Lease Corporation since July 2016 and March 2010 respectively and serves its Director since March 2010. Mr. Plueger served as Chief Operating Officer and then Acting Chief Executive Officer at Air Lease Corporation since March 2010 until June 2016. Mr. Plueger has more than 30 years of aviation industry and aircraft leasing experience, 23 of which were with International Lease Finance Corporation (“ILFC”) where he served as acting Chief Executive Officer from February 2010 to March 2010, as President and Chief Operating Officer from 2002 to February 2010 and on its board of directors from 2002 to 2010. Mr. Plueger’s professional experience also includes testifying before the U.S. House of Representatives as an aircraft leasing industry expert witness as well as responding to European Commission formal inquiries concerning aerospace industry related mergers and acquisitions. Mr. Plueger is a Certified Public Accountant and is an FAA Airline Transport Pilot with type ratings on multiple jet aircraft and single/multi engine and instrument instructor ratings. Mr. Plueger is the chairman of the board of directors of the Smithsonian National Air and Space Museum and a member of the Pepperdine University Board of Regents. He has been a Director of Spirit Aerosystems Holdings, Inc. since July 29, 2014. Mr. Plueger is an active jet pilot, holding a U.S. FAA Airline Transport Pilot license, with multiple jet type ratings and instructor ratings. Mr. Plueger's non-profit Board memberships include Pepperdine University and the Smithsonian National Air and Space Museum. Mr. Plueger holds a Bachelor of Arts degree from UCLA and is a Certified Director from the UCLA Anderson Graduate School of Management Corporate Director Certification Program. Mr. Plueger is a Certified Public Accountant, having received his training from Price Waterhouse early in his career.

CEO Compensation
  • John's compensation has been consistent with company performance over the past year, both up more than 20%.
  • John's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Air Lease management team in years:

8.5
Average Tenure
56
Average Age
  • The average tenure for the Air Lease management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Steve Udvar-Házy

TITLE
Executive Chairman of the Board
COMPENSATION
$8M
AGE
73

John Plueger

TITLE
CEO, President & Director
COMPENSATION
$8M
AGE
65
TENURE
3.4 yrs

Greg Willis

TITLE
Executive VP & CFO
COMPENSATION
$2M
AGE
40
TENURE
7.8 yrs

Grant Levy

TITLE
Executive Vice President of Marketing & Commercial Affairs
COMPENSATION
$3M
AGE
56

Jie Chen

TITLE
Executive VP & MD of Asia
COMPENSATION
$4M
AGE
55
TENURE
9.3 yrs

Mary Liz DePalma

TITLE
Assistant Vice President of Investor Relations

Carol Forsyte

TITLE
Executive VP
AGE
56
TENURE
7.3 yrs

Marc Baer

TITLE
Executive Vice President of Marketing
COMPENSATION
$3M
AGE
54
TENURE
9.7 yrs

Courtney McKeown

TITLE
Vice President of Human Resources

Alex Khatibi

TITLE
Executive Vice President
AGE
58
TENURE
9.7 yrs
Board of Directors Tenure

Average tenure and age of the Air Lease board of directors in years:

7.8
Average Tenure
65
Average Age
  • The tenure for the Air Lease board of directors is about average.
Board of Directors

Steve Udvar-Házy

TITLE
Executive Chairman of the Board
COMPENSATION
$8M
AGE
73
TENURE
3.4 yrs

John Plueger

TITLE
CEO, President & Director
COMPENSATION
$8M
AGE
65
TENURE
9.8 yrs

Matt Hart

TITLE
Independent Director
COMPENSATION
$245K
AGE
67
TENURE
9.6 yrs

Robert Milton

TITLE
Lead Independent Director
COMPENSATION
$295K
AGE
58

Ron Sugar

TITLE
Independent Director
COMPENSATION
$230K
AGE
70
TENURE
9.7 yrs

Ian Saines

TITLE
Independent Director
COMPENSATION
$215K
AGE
56
TENURE
9.5 yrs

Cheryl Krongard

TITLE
Independent Director
COMPENSATION
$210K
AGE
63
TENURE
6 yrs

Marshall Larsen

TITLE
Independent Director
COMPENSATION
$210K
AGE
71
TENURE
5.6 yrs

Susan McCaw

TITLE
Independent Director
AGE
57
TENURE
0.1 yrs
Who owns this company?
Recent Insider Trading
  • Air Lease individual insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
26. Nov 19 Sell Marc Baer Individual 26. Nov 19 26. Nov 19 -7,000 $46.77 $-327,412
25. Nov 19 Sell Alex Khatibi Individual 22. Nov 19 22. Nov 19 -10,000 $46.01 $-460,079
14. Nov 19 Sell Steven Udvar-Házy Individual 13. Nov 19 14. Nov 19 -344,679 $45.12 $-15,509,137
14. Nov 19 Sell Gregory Willis Individual 12. Nov 19 12. Nov 19 -15,000 $45.74 $-686,043
14. Nov 19 Sell Carol Forsyte Individual 12. Nov 19 12. Nov 19 -10,691 $45.64 $-487,884
12. Sep 19 Sell Grant Levy Individual 12. Sep 19 12. Sep 19 -10,000 $44.70 $-447,033
11. Sep 19 Sell Marc Baer Individual 11. Sep 19 11. Sep 19 -5,000 $44.34 $-221,702
10. Sep 19 Sell Kishore Korde Individual 09. Sep 19 09. Sep 19 -20,000 $42.80 $-856,082
30. Aug 19 Sell Kishore Korde Individual 30. Aug 19 30. Aug 19 -10,106 $41.51 $-419,523
30. Aug 19 Sell Alex Khatibi Individual 28. Aug 19 29. Aug 19 -10,000 $41.07 $-405,371
21. Aug 19 Sell Marc Baer Individual 20. Aug 19 20. Aug 19 -10,000 $39.00 $-390,000
20. Aug 19 Sell Steven Udvar-Házy Individual 16. Aug 19 16. Aug 19 -209,773 $38.59 $-8,095,140
15. Aug 19 Sell Steven Udvar-Házy Individual 15. Aug 19 15. Aug 19 -148,923 $37.94 $-5,650,451
14. Dec 18 Buy Steven Udvar-Házy Individual 14. Dec 18 14. Dec 18 3,000 $34.29 $102,870
13. Dec 18 Buy Steven Udvar-Házy Individual 11. Dec 18 11. Dec 18 2,000 $35.77 $71,540
X
Management checks
We assess Air Lease's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Air Lease has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

AL News

Simply Wall St News

Air Lease (NYSE:AL) Shareholders Booked A 40% Gain In The Last Three Years

For example, Air Lease Corporation (NYSE:AL) shareholders have seen the share price rise 40% over three years, well in excess of the market return (32%, not including dividends). … Check out our latest analysis for Air Lease To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. … Air Lease was able to grow its EPS at 15% per year over three years, sending the share price higher.

Simply Wall St -

This Insider Has Just Sold Shares In Air Lease Corporation (NYSE:AL)

See our latest analysis for Air Lease The Last 12 Months Of Insider Transactions At Air Lease In fact, the recent sale by Steven Udvar-Házy was the biggest sale of Air Lease shares made by an insider individual in the last twelve months, according to our records. … While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. … NYSE:AL Recent Insider Trading, August 19th 2019 Does Air Lease Boast High Insider Ownership?

Simply Wall St -

Is Air Lease Corporation's (NYSE:AL) P/E Ratio Really That Good?

Air Lease has a price to earnings ratio of 7.66, based on the last twelve months. … The formula for price to earnings is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Air Lease: P/E of 7.66 = $38.7 ÷ $5.05 (Based on the year to March 2019.) Is A High Price-to-Earnings Ratio Good? … NYSE:AL Price Estimation Relative to Market, August 8th 2019 Its relatively low P/E ratio indicates that Air Lease shareholders think it will struggle to do as well as other companies in its industry classification.

Simply Wall St -

Why Air Lease Corporation’s (NYSE:AL) Return On Capital Employed Might Be A Concern

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business. … The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Air Lease: 0.055 = US$1.0b ÷ (US$19b - US$367m) (Based on the trailing twelve months to March 2019.) So, Air Lease has an ROCE of 5.5%.

Simply Wall St -

Does Air Lease Corporation's (NYSE:AL) Stock Price Account For Its Growth?

Air Lease Corporation (NYSE:AL) is considered a high growth stock. … Air Lease is poised for significantly high earnings growth in the near future. … However, to be able to properly assess the value of a high-growth stock such as Air Lease, we must incorporate its earnings growth in our valuation.

Simply Wall St -

Does The Air Lease Corporation (NYSE:AL) Share Price Tend To Follow The Market?

If you're interested in Air Lease Corporation (NYSE:AL), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … While we should keep in mind that Warren Buffett has cautioned that 'Volatility is far from synonymous with risk', beta is still a useful factor to consider.

Simply Wall St -

Here's What You Should Know About Air Lease Corporation's (NYSE:AL) 1.3% Dividend Yield

Today we'll take a closer look at Air Lease Corporation (NYSE:AL) from a dividend investor's perspective. Owning a strong business and reinvesting the dividends is widely seen as an attractive way of growing your wealth. On the other hand, investors have been known to buy a stock because of its yield, and then lose money if the company's dividend doesn't live up to expectations. Investors might not know much about Air Lease's dividend prospects, even though it has been paying dividends for the last six years and offers a 1.3% yield. While the yield may not look too great, the relatively long payment history is interesting. Before you buy any stock for its dividend however, you should always remember Warren Buffett's two rules: 1) Don't lose money, and 2) Remember rule #1. … However, it's also important to assess if earnings per share (EPS) are growing. Growing EPS can help maintain or increase the purchasing power of the dividend over the long run. It's good to see Air Lease has been growing its earnings per share at 22% a year over the past 5 years. Earnings per share have grown rapidly, and the company is retaining a majority of its earnings. We think this is ideal from an investment perspective, if the company is able to reinvest these earnings effectively. Conclusion Dividend investors should always want to know if a) a company's dividends are affordable, b) if there is a track record of consistent payments, and c) if the dividend is capable of growing. … Next, earnings growth has been good, but unfortunately the company has not been paying dividends as long as we'd like.

Simply Wall St -

Does Air Lease Corporation's (NYSE:AL) CEO Salary Reflect Performance?

According to our data, Air Lease Corporation has a market capitalization of US$4.3b, and pays its CEO total annual compensation worth US$7.7m. … I think that the total shareholder return of 36%, over three years, would leave most Air Lease Corporation shareholders smiling. … We compared total CEO remuneration at Air Lease Corporation with the amount paid at companies with a similar market capitalization.

Simply Wall St -

Did Air Lease's (NYSE:AL) Share Price Deserve to Gain 27%?

That's what has happened with the Air Lease Corporation (NYSE:AL) share price. … Disappointingly, the share price is down 7.9% in the last year. … By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time.

Simply Wall St -

What Air Lease Corporation's (NYSE:AL) ROE Can Tell Us

Our data shows Air Lease has a return on equity of 11% for the last year. … That means that for every $1 worth of shareholders' equity, it generated $0.11 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

AL Company Info

Description

Air Lease Corporation, an aircraft leasing company, engages in the purchase and leasing of commercial jet transport aircraft to airlines worldwide. The company also sells aircraft from its operating lease portfolio to third parties, including other leasing companies, financial services companies, and airlines. In addition, it provides fleet management services to investors and owners of aircraft portfolios. As of December 31, 2018, the company owned a fleet of 275 aircraft, including 207 narrowbody jet aircraft and 68 widebody jet aircraft. Air Lease Corporation was founded in 2010 and is based in Los Angeles, California.

Details
Name: Air Lease Corporation
AL
Exchange: NYSE
Founded: 2010
$5,095,363,618
112,704,349
Website: http://www.airleasecorp.com
Address: Air Lease Corporation
2000 Avenue of the Stars,
Suite 1000N,
Los Angeles,
California, 90067,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE AL Class A Common Stock New York Stock Exchange US USD 19. Apr 2011
DB AVLA Class A Common Stock Deutsche Boerse AG DE EUR 19. Apr 2011
NYSE AL.PRA 6.150 NON CUM A New York Stock Exchange US USD 26. Feb 2019
Number of employees
Current staff
Staff numbers
97
Air Lease employees.
Industry
Trading Companies and Distributors
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/12/06 00:16
End of day share price update: 2019/12/05 00:00
Last estimates confirmation: 2019/12/03
Last earnings filing: 2019/11/07
Last earnings reported: 2019/09/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.