Zacks Research Downgrades StandardAero (NYSE:SARO) to Hold

StandardAero (NYSE:SARO) was downgraded by investment analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued on Tuesday,Zacks.com reports.

SARO has been the subject of a number of other research reports. Truist Financial upgraded StandardAero to a “strong-buy” rating in a research report on Friday, May 1st. Canadian Imperial Bank of Commerce restated an “outperform” rating and set a $39.00 price objective on shares of StandardAero in a research note on Friday, May 8th. Morgan Stanley reduced their price objective on shares of StandardAero from $35.00 to $34.00 and set an “equal weight” rating for the company in a report on Tuesday. UBS Group raised shares of StandardAero from a “neutral” rating to a “buy” rating and lowered their target price for the company from $35.00 to $34.00 in a research note on Monday. Finally, Sanford C. Bernstein restated an “outperform” rating and set a $39.00 price target on shares of StandardAero in a research report on Tuesday, February 24th. Two research analysts have rated the stock with a Strong Buy rating, six have assigned a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $34.64.

StandardAero Stock Performance

SARO stock opened at $26.73 on Tuesday. StandardAero has a 1 year low of $23.83 and a 1 year high of $34.48. The stock has a market capitalization of $8.89 billion, a price-to-earnings ratio of 30.37 and a beta of 0.81. The company has a debt-to-equity ratio of 0.81, a quick ratio of 1.57 and a current ratio of 2.12. The stock’s fifty day moving average is $26.48 and its two-hundred day moving average is $28.13.

StandardAero (NYSE:SARO) last posted its earnings results on Thursday, May 7th. The company reported $0.33 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.30 by $0.03. StandardAero had a net margin of 4.71% and a return on equity of 12.36%. The firm had revenue of $1.63 billion during the quarter, compared to analyst estimates of $1.49 billion. During the same period in the previous year, the business posted $0.19 EPS. StandardAero’s revenue was up 13.3% on a year-over-year basis. StandardAero has set its FY 2026 guidance at 1.400-1.500 EPS. On average, research analysts predict that StandardAero will post 1.42 EPS for the current year.

Insider Buying and Selling

In other news, CFO Daniel Satterfield sold 2,306 shares of StandardAero stock in a transaction that occurred on Thursday, April 16th. The shares were sold at an average price of $27.36, for a total value of $63,092.16. Following the transaction, the chief financial officer owned 6,232 shares of the company’s stock, valued at $170,507.52. The trade was a 27.01% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Russell Wayne Ford sold 10,638 shares of the business’s stock in a transaction that occurred on Thursday, April 16th. The stock was sold at an average price of $27.36, for a total transaction of $291,055.68. Following the completion of the sale, the chief executive officer owned 14,342 shares in the company, valued at $392,397.12. The trade was a 42.59% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 59,337 shares of company stock worth $1,732,660 in the last ninety days. Insiders own 1.90% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. Comerica Bank acquired a new stake in shares of StandardAero during the 1st quarter valued at $26,000. Royal Bank of Canada lifted its holdings in shares of StandardAero by 418.8% during the first quarter. Royal Bank of Canada now owns 138,268 shares of the company’s stock valued at $3,682,000 after purchasing an additional 111,617 shares during the last quarter. AQR Capital Management LLC purchased a new stake in shares of StandardAero during the first quarter valued at $521,000. Goldman Sachs Group Inc. purchased a new stake in shares of StandardAero in the first quarter valued at $6,821,000. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC acquired a new stake in shares of StandardAero in the first quarter worth $12,343,000.

StandardAero Company Profile

StandardAero is a global aerospace maintenance, repair and overhaul (MRO) provider specializing in gas turbine engines, auxiliary power units (APUs), airframe components and oil & gas rotating equipment. The company offers a full suite of technical services including engine repair and overhaul, component repair, accessory maintenance, parts manufacturing and on-site field support. Its customer base spans commercial airlines, business and general aviation operators, regional carriers, original equipment manufacturers (OEMs) and defense organizations.

With roots dating back to 1911, StandardAero has grown through strategic acquisitions and organic expansion to become one of the largest independent MRO providers in the industry.