Analyst Brian McKenna of JMP Securities reiterated a Buy rating on FTAI Aviation (FTAI – Research Report), retaining the price target of $190.00.
Brian McKenna’s rating is based on several compelling factors that highlight FTAI Aviation’s strong financial positioning and growth potential. The recent $2.5 billion debt commitment for FTAI’s Strategic Capital Initiative (SCI) is a significant vote of confidence from major financial players like ATLAS SP Partners and Deutsche Bank. This financing boosts FTAI’s deployment capacity to over $4 billion, allowing for strategic investments in on-lease aircraft models such as the 737NG and A320ceo.
Moreover, the partnership enhances FTAI’s engine maintenance business, creating long-term contractual revenues and promoting a more capital-efficient model. The innovative approach to aircraft engine services is expected to open numerous future partnership opportunities, potentially expanding the SCI significantly. As the demand for alternative asset management grows, SCI’s potential to scale could be highly beneficial for FTAI, supporting McKenna’s Buy rating and the expectation of healthy returns and increased demand in the coming years.
McKenna covers the Financial sector, focusing on stocks such as Blue Owl Capital, Hercules Capital, and Blue Owl Capital. According to TipRanks, McKenna has an average return of 30.0% and a 79.13% success rate on recommended stocks.
In another report released on February 24, Jefferies also maintained a Buy rating on the stock with a $200.00 price target.