Tuesday, April 19, 2011

Air Lease Jumps to $28 After IPO

Air Lease raised more then expected by selling 30.3M shares at $26.50. The $800M+ will be used to finance a growth strategy with orders for more then 150 additional airplanes on a fleet base of just 49 as of today.

This values AL at closer to 1.5 times tangible book value compared to Aercap Holdings (AER) trading below 1 times book value. See my recent article at Seeking Alpha suggesting that AER becomes a much greater value especially as AL surges past the IPO price: Skip the Air Lease IPO, Aercap Holdings Provides Better Value. 


Disclosure: Long AER in client and personal accounts. Please review the disclaimer page. 

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