AAR Corp is a global aerospace and defense company that provides a wide range of services and solutions to the aviation industry, including aircraft maintenance, repair, and overhaul (MRO), as well as supply chain management and logistics support. The company specializes in supporting both commercial and government aerospace markets, offering comprehensive solutions that ensure the efficiency and reliability of aircraft operations. Additionally, AAR Corp plays a crucial role in parts distribution and fleet management, helping clients optimize their operations and reduce downtime through innovative and cost-effective services. Read More
Shares of aviation and defense services provider AAR CORP (NYSE:AIR)
jumped 10.9% in the afternoon session after the company reported record sales and profitability for its fiscal fourth quarter and full-year 2025. The aviation services provider announced fourth-quarter adjusted earnings of $1.16 per share, a 32% increase from the prior year, handily beating analyst expectations. Revenue for the quarter also impressed, rising 15% to $755 million. The strong performance was driven by robust demand in both its commercial and government businesses, particularly in its Parts Supply segment. The company highlighted its successful integration of a recent acquisition and the divestiture of its landing gear business as key strategic moves that are now delivering higher growth and margins. Following the strong report, RBC Capital raised its price target on the stock to $85 from $75, maintaining an "Outperform" rating.
Aviation and defense services provider AAR CORP (NYSE:AIR) beat Wall Street’s revenue expectations in Q2 CY2025, with sales up 14.9% year on year to $754.5 million. Its non-GAAP profit of $1.16 per share was 16.2% above analysts’ consensus estimates.
Small-cap stocks in the Russell 2000 (^RUT) can be a goldmine for investors looking beyond the usual large-cap names.
But with less stability and fewer resources than their bigger counterparts, these companies face steeper challenges in scaling their businesses.
Wall Street is overwhelmingly bullish on the stocks in this article, with price targets suggesting significant upside potential.
However, it’s worth remembering that analysts rarely issue sell ratings, partly because their firms often seek other business from the same companies they cover.
Whether you see them or not, industrials businesses play a crucial part in our daily activities. But they are at the whim of volatile macroeconomic factors that influence capital spending (like interest rates), and the market seems convinced that demand will slow.
Due to this bearish outlook, the industry has tumbled by 10.4% over the past six months. This performance was worse than the S&P 500’s 1.9% loss.
Earnings results often indicate what direction a company will take in the months ahead. With Q1 behind us, let’s have a look at AAR (NYSE:AIR) and its peers.
Growth boosts valuation multiples, but it doesn’t always last forever.
Companies that cannot maintain it are often penalized with large declines in market value, a lesson ingrained in investors who lost money in tech stocks during 2022.
