StandardAero, Inc.
- Open
- 26.52
- Day high
- 27.45
- Day low
- 26.21
- Prev close
- 26.62
- Volume
- 3.8M
- Mkt cap
- $8.9B
- P/E (TTM)
- 29.7
- EPS (TTM)
- $0.90
- P/B
- 3.3
- P/S
- 1.4
- Yield
- —
- Per share
- —
- ▼Insiders net selling -$2.4M over the last 3 months (0 open-market buys, 2 sales)
- 🏛Institutions accumulating (13F)
StandardAero, Inc. (SARO) is a Industrials company listed on NYSE. The stock is down 12% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 2 sales (SEC Form 4).
StandardAero, Inc. (SARO) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 5 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
SARO earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 7, 2026 | $0.30 | $0.33 | +10.0% | $1.6B | +9.2% |
| Feb 25, 2026 | $0.24 | $0.24 | -3.7% | $1.6B | +1.0% |
| Aug 13, 2025 | $0.21 | $0.20 | -4.8% | $1.5B | +8.1% |
| Mar 10, 2025 | $0.16 | $0.12 | -25.0% | $1.4B | +6.4% |
| Jun 29, 2024 | — | $0.02 | — | $1.3B | — |
| Mar 30, 2024 | — | $0.01 | — | $1.2B | — |
| Dec 31, 2023 | — | $-0.01 | — | $1.2B | — |
| Sep 30, 2023 | — | $-0.05 | — | $1.1B | — |
SARO insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jul 8, 2026 | Ford Russell Waynedirector, officer: Chief Executive Officer | Sell | 40,000 | $30.44 |
| Jul 6, 2026 | Ford Russell Waynedirector, officer: Chief Executive Officer | Sell | 40,000 | $30.23 |
| Jun 26, 2026 | CLARE PETER Jdirector | Grant | 6,608 | — |
| Jun 26, 2026 | Masiello Wendy Motlongdirector | Grant | 6,608 | — |
| Jun 26, 2026 | Newman Andrea Fischerdirector | Grant | 6,608 | — |
| Jun 26, 2026 | Weingartner Stefandirector | Grant | 6,608 | — |
| Jun 26, 2026 | McElhinney Pauldirector | Grant | 6,608 | — |
| Jun 26, 2026 | KERR DEREK Jdirector | Grant | 6,608 | — |
| Jun 15, 2026 | Masiello Wendy Motlongdirector | Option | 6,011 | — |
| Jun 15, 2026 | Newman Andrea Fischerdirector | Option | 6,011 | — |
| Jun 15, 2026 | KERR DEREK Jdirector | Option | 6,011 | — |
| Jun 15, 2026 | Weingartner Stefandirector | Option | 6,011 | — |
| Jun 15, 2026 | CLARE PETER Jdirector | Option | 6,011 | — |
| Jun 15, 2026 | McElhinney Pauldirector | Option | 6,011 | — |
| Apr 17, 2026 | Trapp Alexofficer: Chief Strategy Officer | Sell | 475 | $27.36 |
Source: SARO SEC Form 4 filings, latest Jul 8, 2026. For informational purposes only — not investment advice.
See the full SARO insider & 13F page →StandardAero, Inc. company profile
Overview
StandardAero, Inc. (NYSE:SARO) is a leading independent provider of aerospace engine aftermarket services founded in 1911 and headquartered in Scottsdale, Arizona. The company has evolved from its early aviation roots into a comprehensive maintenance, repair, and overhaul (MRO) specialist serving commercial airlines, military operators, and business aviation customers across the globe. StandardAero went public in October 2024 following over a century of operations as a private company, positioning itself as a critical service provider in the aerospace industry's maintenance ecosystem.
Business
StandardAero operates in the aerospace aftermarket services industry, which encompasses the maintenance, repair, and overhaul of aircraft engines and components after they have been manufactured and sold. This industry is essential to aviation safety and operations, as aircraft engines require regular maintenance to meet strict regulatory standards and ensure reliable performance. The company operates through two primary business segments. The Engine Services segment generates approximately 88% of total revenue and provides comprehensive aftermarket services including maintenance, repair and overhaul (MRO), on-wing and field service support, asset management, and engineering solutions. This segment focuses on complete engine overhauls where engines are disassembled, inspected, repaired, and reassembled to like-new specifications. The Component Repair Services segment accounts for roughly 12% of revenue and specializes in repairing individual engine components and accessories, offering faster turnaround times for specific parts rather than complete engine overhauls. StandardAero serves three primary end markets within aerospace: commercial aerospace (serving passenger and cargo airlines), military and helicopter operations (supporting defense contractors and government agencies), and business aviation (maintaining private and corporate aircraft). The commercial aerospace segment has been the primary growth driver, representing the largest portion of the company's revenue base. The company's services are critical because aircraft engines must undergo mandatory maintenance at prescribed intervals based on flight hours, cycles, or calendar time, regardless of economic conditions affecting the broader aviation industry.
Revenue model
StandardAero generates revenue primarily through service fees charged for maintenance, repair, and overhaul work performed on aircraft engines and components. The company operates under two main business models depending on the service type and customer relationship. For engine services, StandardAero typically charges customers based on the scope of work required, which can range from routine maintenance to complete engine overhauls. Approximately 77% of the company's business operates under long-term service contracts with airlines and operators, providing revenue stability and predictability. These contracts often span multiple years and guarantee a certain volume of maintenance work. The remaining business comes from transactional or spot market work where customers pay for services as needed. The company's paying customers include commercial airlines (such as Lion Air), military organizations, helicopter operators, business aviation fleet operators, and aircraft leasing companies. Revenue recognition typically occurs when services are completed and engines or components are returned to customers in airworthy condition. Several factors influence StandardAero's profitability margins. Positive margin drivers include the non-discretionary nature of aircraft maintenance (airlines must maintain aircraft regardless of economic conditions), the company's expanding capabilities on newer engine platforms like the LEAP engine, and operational leverage as facilities reach higher utilization rates. Margin pressures come from the initial investment phase of new engine programs where learning curves are steep and margins start low, competitive pricing in the aftermarket services industry, fluctuations in parts costs and availability, and the capital-intensive nature of expanding maintenance capabilities. The company also faces potential margin impact from trade tariffs, estimating approximately $15 million in net tariff impact for 2025.
Competitive moat
StandardAero possesses a moderate competitive moat built primarily around regulatory barriers, specialized expertise, and customer relationships, though the moat faces some structural limitations. The company's strongest defensive position comes from the highly regulated nature of aircraft maintenance, where service providers must obtain extensive certifications from aviation authorities like the FAA and EASA. These regulatory approvals require significant time, capital investment, and demonstrated expertise, creating meaningful barriers to entry for new competitors. The company has developed deep technical expertise across multiple engine platforms, particularly in older, established engines like the CFM56 and CF34 where StandardAero has built substantial institutional knowledge over decades. This expertise becomes valuable as these engines age and require more specialized maintenance. Additionally, StandardAero's long-term service contracts with airlines (covering 77% of business) provide some customer stickiness and revenue predictability. However, the moat faces several challenges. Original Equipment Manufacturers (OEMs) like GE, Pratt & Whitney, and Rolls-Royce represent the most significant competitive threat, as they designed the engines and often compete directly in the aftermarket services market. OEMs possess inherent advantages including access to proprietary technical data, original parts, and ongoing relationships with airlines. The aftermarket services industry also includes other large independent providers like Lufthansa Technik and AAR Corp, creating a competitive landscape where pricing pressure is common. For newer engine platforms like the LEAP, StandardAero must invest heavily upfront while competing with OEMs who may offer competitive pricing to retain aftermarket share. The company's moat is strongest in mature engine platforms where OEMs have less strategic focus, but weakest in cutting-edge technology where OEMs maintain tighter control over service networks and technical capabilities.
Risks & safety
StandardAero presents moderate financial risk with some concerning liquidity metrics but manageable debt levels relative to its market position. • **Cash and Liquidity Concerns**: Cash position of $141 million is relatively low for a $6.5 billion asset base. Free cash flow has been negative in recent quarters (-$49 million in Q1 2025, -$47 million for FY 2024), indicating working capital pressures from business growth and facility investments. • **Debt and Solvency**: Debt-to-equity ratio of 1.03 is manageable but not conservative. The company successfully refinanced debt following its 2024 IPO, reducing annual interest expense by $130 million. Current ratio of 2.0 provides adequate short-term liquidity coverage. • **Valuation Metrics**: Trading at elevated multiples with P/E ratio of 35x and EV/EBITDA of 22x, suggesting limited margin of safety from a valuation perspective. Price-to-book ratio of 3.6x indicates premium valuation relative to tangible assets. • **Other Considerations**: Revenue growth of 16% and EBITDA growth of 20% in Q1 2025 demonstrate operational momentum. The non-discretionary nature of aircraft maintenance provides some downside protection, though cyclical exposure to commercial aviation remains a factor.
Recent development
StandardAero has undergone significant strategic transformation over the past few years, centered around expanding its capabilities on next-generation engine platforms and completing its transition to public ownership. The most significant development has been the company's LEAP engine program, where StandardAero has invested heavily in building maintenance capabilities for this newer CFM engine platform. The company has completed construction of a dedicated LEAP facility in San Antonio, obtained regulatory approvals in multiple international markets including India, Japan, and the UAE, and signed service contracts with nine customers representing over $1 billion in future revenue backlog. The company has also expanded its capacity for mature engine platforms, particularly the CFM56 and CF34 engines, where it has achieved record performance levels and added new customers like Lion Air. In component repair services, StandardAero has pursued a strategy of developing higher-value repairs and insourcing capabilities that were previously outsourced, while exiting non-core businesses like hydraulics repair to focus resources on more profitable segments. Corporate structure changes marked 2024 as a transformational year, with StandardAero completing its initial public offering in October 2024 after operating as a private company for over a century. The IPO proceeds enabled the company to refinance its debt structure, significantly reducing annual interest expense by $130 million and providing additional financial flexibility for growth investments and potential acquisitions. The company has maintained an active acquisition strategy, building a pipeline of potential targets primarily focused on component repair services that would complement its existing capabilities. Management has emphasized a disciplined approach to mergers and acquisitions, seeking deals that meet specific strategic fit criteria while leveraging the company's strengthened balance sheet capacity following the public offering.
SARO company profile · for informational purposes only — not investment advice.
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