Small Cap Insight
The amazing part about the financial crisis is that numerous stocks
that trade below audited book values are still feeling the lingering
effects on investors' willingness to buy the stocks. No matter what the
financials say quarter after quarter, the stocks continue trading below
the accounting value and in some cases extremely below those levels
while also generating profits. In the case of FLY Leasing (FLY), the stock trades considerably below the established book value while earning substantial income.
company focuses on leasing airplanes to airlines all around the world
with a renewed focus on buying new planes to replace an aging fleet
compared to the competition. Both larger public competitors in Air Lease (AL) and AerCap Holdings (AER)
have significantly newer fleets with longer average leases, but does
that mean that FLY can't generate a solid return for investors?
Read the full article at Seeking Alpha.
Disclosure: Long AER. Please review the disclaimer page for more details.