Aviation and defense services provider AAR CORP (NYSE: AIR) will be reporting earnings this Wednesday after market hours. Here’s what you need to know.
AAR missed analysts’ revenue expectations by 2.8% last quarter, reporting revenues of $678.2 million, up 19.5% year on year. It was a mixed quarter for the company, with a solid beat of analysts’ adjusted operating income estimates but a miss of analysts’ Integrated Solutions revenue estimates.
Is AAR a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting AAR’s revenue to grow 5.8% year on year to $694.4 million, slowing from the 18.7% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.00 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. AAR has missed Wall Street’s revenue estimates four times over the last two years.
Looking at AAR’s peers in the aerospace and defense segment, only Byrna has reported results so far. It met analysts’ revenue estimates, delivering year-on-year sales growth of 40.6%. The stock was down 28.8% on the results.
Read our full analysis of Byrna’s earnings results here.There has been positive sentiment among investors in the aerospace and defense segment, with share prices up 6.6% on average over the last month. AAR is up 8.9% during the same time and is heading into earnings with an average analyst price target of $80.80 (compared to the current share price of $74).
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