Air Lease (AL) to Report Q3 Earnings: What's in the Cards?
Air Lease Corporation (AL) is scheduled to report third-quarter 2023 results on Nov 6, before market open.
Air Lease has outperformed the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 5.82%.
Let’s see how things have shaped up for Air Lease this earnings season.
Q3 Expectations
The Zacks Consensus Estimate for Air Lease’s third-quarter 2023 revenues is pegged at $659.17 million, indicating growth of 17.43% year over year. The top line is likely to have benefited from continuous growth in the company’s fleet and an increase in sales activity.
The Zacks Consensus Estimate for third-quarter revenues of rental of flight equipmentis pegged at $617 million, indicating 14% growth from the year-ago reported figure. The Zacks Consensus Estimate for aircraft sales, trading activity and other sources’ third-quarter revenues is pegged at $40.29 million, indicating more than 100% growth from the year-ago reported figure.
However, escalating operating expenses, due to higher interest expenses and depreciation of flight equipment costs, might be a concern for Air Lease’s bottom line in the third quarter. The Zacks Consensus Estimate for AL’s third-quarter 2023 earnings has been revised downward by 13.6% in the past 90 days.
What Our Model Says
Our proven model does not conclusively predict an earnings beat for Air Lease this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Air Lease has an Earnings ESP of -4.58% and a Zacks Rank #3.
Air Lease Corporation Price and EPS Surprise
Air Lease Corporation price-eps-surprise | Air Lease Corporation Quote
Highlights of Q2
Air Lease reported second-quarter 2023 earnings of $1.10 per share, which surpassed the Zacks Consensus Estimate of $1.09 and improved 15.8% on a year-over-year basis. Total revenues of $672.9 million outpaced the Zacks Consensus Estimate of $657.7 million and jumped 20.7% year over year, owing to the continuous growth in the company’s fleet and an increase in sales activity.
Stocks to Consider
Here are a few stocks from the broader Zacks Transportation sector that investors may consider, as our model shows that these have the right combination of elements to beat their third-quarter 2023 earnings:
Golar LNG Limited (GLNG) has an Earnings ESP of +18.00% and a Zacks Rank #3. GLNG will release results on Nov 21.
GLNG has an expected earnings growth rate of 13.64% for third-quarter 2023. GLNG delivered a trailing four-quarter earnings surprise of 24.04%, on average.
The Zacks Consensus Estimate for GLNG’s third-quarter 2023 revenues is pegged at $68.41 million, indicating growth of 0.74% year over year.
Copa Holdings CPA has an Earnings ESP of +4.60% and a Zacks Rank #3. CPA is scheduled to report third-quarter 2023 earnings on Nov 15.
We expect upbeat air-travel demand to have aided CPA’s third-quarter performance. CPA has an impressive earnings surprise history, having surpassed the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 15.13%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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Copa Holdings, S.A. (CPA) : Free Stock Analysis Report
Air Lease Corporation (AL) : Free Stock Analysis Report
Golar LNG Limited (GLNG) : Free Stock Analysis Report
