AAR

AIR

Aerospace & Defense · Industrials

Price

$135.34

+1.86 (+1.39%)

Market Cap

$5.38B

Winston Score

Winston is serious

Mixed quality — meaningful strengths and weaknesses.

Share count rising — dilution

+1.4% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 35.3M (2021) → 35.8M (2025)

AAR Corp. is a company that fixes and maintains aircraft for airlines and governments. It provides services like repairing airplane parts, storing aircraft, and supplying spare components. AAR is one of the largest independent aircraft maintenance and repair companies in the United States, meaning it does not make planes — it keeps them flying.

AAR makes money by charging airlines, cargo carriers, and the U.S. military for maintenance work, parts, and logistics services. It operates mainly in North America but also has facilities in other regions. Its competitive edge comes from long-term contracts with major customers and the high cost and complexity of switching to a different maintenance provider. The main growth driver is rising global air travel, which increases demand for aircraft upkeep, but a key risk is that airlines can cut maintenance spending quickly during economic downturns or travel slowdowns.

Winston Score History

Politician Trades

1 trades / 12mo

0 Congressional buys and 1 sell on AIR in the last 12 months.

Unlock the full Smart Money Map — every trade plotted on the price chart with politicians, amounts and returns since each trade. Founder's Deal is $57/mo locked for life.

Unlock politician trades

Growth Profile

For growth stock investors

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+24.6% YoY

YoY Growth Rate

Steady revenue growth

EPS Growth

+788.0% YoY

YoY Growth Rate

EPS growth accelerating

R&D Spend

$0/ year

0.0% of revenue

Below sector average (4%)

Research and development spending

Insider Activity

3.5%ownership

→ Flat

Insiders holding steady — not selling despite ability to

Cash Position

Cash flow positive

$100M cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Growth + cash flow

AAR is a rare growth stock that's already generating positive cash flow while growing at 25%. The Winston Score doesn't fully credit this transition from "burner" to "earner."

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

Each metric is explained in plain language so you know exactly what you're looking at. Start your free trial now.

Quality

Gross Margin

18.3%

Thin — 18.3% gross margin

Operating Margin

7.6%

Modest — 7.6% operating margin

ROCE

2.5%

Weak — 2.5% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Growth

Sales YoY

+16.0%

Fast-growing sales (16.0% YoY)

EPS YoY

+200.9%

Earnings growing fast (200.9% YoY)

Earnings growing 25%+ a year. The compounder zone.

EPS Consistency

6/8 quarters

Earnings grew in most of the last 8 quarters

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Cash Flow

Cash Conversion

95%

Modest — 95% of profit becomes cash

FCF Margin

2.6%

Thin free cash flow (2.6%)

FCF margin between 0% and 10%. Some cash from sales, but not a lot.

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Stability

Debt / Equity

0.54

Conservative — low debt load (0.54)

Interest Cover

3.76x

Tight — interest eats into profit (3.8x)

Interest coverage between 3 and 8. Profits cover interest several times over.

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Valuation

P/E Ratio (TTM)

40.5x

Pricey — P/E 40.5

P/E over 35. The market is pricing in heavy, sustained growth.

P/E vs Forward

+18.7

GROWING

Earnings expected to grow meaningfully — cheaper on forward P/E (40.5 → 21.8)

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Dividends

Not applicable for this business.

🔒 See full fundamentals and if they are improving or declining — click here for your free trial now.

Start free trial