AAR Corp.

AAR Corp.

85.60
EUR
-3.15
(-3.55%)
4.21EPS
22.89P/E
3.86BMarket Cap
Jan 06Next Earn

Total Valuation

EUR

As of May 31, 2026, AAR CORP. carries a market capitalization of 3.86B, placing it among publicly traded companies globally. Its enterprise value stands at 4.64B, reflecting the total theoretical takeover cost after accounting for cash holdings and debt obligations.

Market Cap3.86B
Enterprise Value4.64B

Important Dates

AAR CORP.'s next confirmed earnings release is scheduled for January 6, 2027.

Earnings Date1/6/2027

Share Statistics

As of May 31, 2026, AAR CORP. has 39.88M shares outstanding.

Shares Outstanding39.88M

Valuation Ratios

As of May 31, 2026, AAR CORP. trades at a trailing price-to-earnings ratio of 22.89. The price-to-sales ratio is 1.30, and the price-to-book ratio stands at 2.64.

PE Ratio22.89
PS Ratio1.30
PB Ratio2.64
P/TBV Ratio5.35
P/FCF Ratio45.78
P/OCF Ratio43.53

Enterprise Valuation

As of May 31, 2026, AAR CORP. trades at an EV/EBITDA multiple of 15.47 - the valuation measure that neutralizes differences in capital structure, tax rates, and depreciation policy, making it the standard yardstick for comparing companies across an industry. The EV/Sales ratio of 1.64 reflects the premium investors pay for the company's revenue stream, a useful check when earnings are depressed or negative. Its EV/EBIT multiple of 19.49 values the business against core operating earnings after depreciation, a stricter test than EV/EBITDA for capital-intensive businesses. AAR CORP. trades at an EV/FCF ratio of 36.23, comparing the total takeover cost of the business to the cash it actually generates for all capital providers. These enterprise value multiples are built on an enterprise value of 4.64B versus a market cap of 3.86B, with the gap driven by net debt and cash on the balance sheet.

EV / Sales1.64
EV / EBITDA15.47
EV / EBIT19.49
EV / FCF36.23

Financial Position

As of May 31, 2026, AAR CORP. maintains a current ratio of 2.84, meaning it holds 2.8x the short-term assets needed to cover near-term liabilities. The debt-to-equity ratio is 58.40, indicating elevated leverage, while an interest coverage ratio of 4.85 demonstrates adequate ability to service its debt obligations.

Current Ratio2.84
Quick Ratio1.01
Debt / Equity58.40
Debt / EBITDA2.84
Interest Coverage4.85

Financial Efficiency

EUR

Over the twelve months ended May 31, 2026, AAR CORP. posted a return on equity (ROE) of 12.88, showing how much profit the company earns on every dollar of shareholder capital. Return on invested capital (ROIC) comes in at 8.55 - the clearest signal of whether the business earns more on its capital than that capital costs, and the core measure of a durable competitive advantage. Return on assets (ROA) stands at 6.05, measuring how efficiently the asset base is converted into earnings. Return on capital employed (ROCE) is 9.79, useful for judging operating efficiency across full business cycles. The company generates approximately 474,912.54 in revenue per employee across its workforce of 5,975.00, a quick read on workforce productivity versus industry peers. Inventory turnover of 3.00 indicates how many times AAR CORP. sells and replaces its inventory over a year, a key working capital efficiency ratio.

Return on Equity (ROE)12.88
Return on Assets (ROA)6.05
Return on Invested Capital (ROIC)8.55
Return on Capital Employed (ROCE)9.79
Revenue Per Employee474,912.54
Employee Count5,975.00
Inventory Turnover3.00

Taxes

EUR

Over the twelve months ended May 31, 2026, AAR CORP. recorded 49.92M in income tax expense. That works out to an effective tax rate of 23.67, which can sit above or below the statutory corporate tax rate depending on foreign earnings mix, tax credits, and one-off items. Taxes are levied on pretax income of 210.93M, leaving 161.01M in net income after tax - the gap is what shifts in the tax rate do to reported earnings and EPS.

Income Tax49.92M
Effective Tax Rate23.67

Stock Price Statistics

EUR

As of the close on October 22, 2026, AAR CORP.'s stock has gained approximately 22.29% over the past 52 weeks. The 50-day moving average sits at 102.71, while the 200-day moving average is 102.70.

52-Week Price Change22.29%
50-Day Moving Average102.71
200-Day Moving Average102.70

Income Statement

EUR

Over the twelve months ended May 31, 2026, AAR CORP. generated 2.84B in revenue and converted that into 161.01M in net income, yielding earnings per share of 4.21. EBITDA reached 300.14M, while operating income came in at 232.12M.

Revenue2.84B
Gross Profit533.55M
Operating Income232.12M
Pretax Income210.93M
Net Income161.01M
EBITDA300.14M
EBIT238.30M
Earnings Per Share (EPS)4.21

Balance Sheet

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As of May 31, 2026, AAR CORP. holds 72.06M in cash and equivalents against 853.51M in total debt, resulting in a net debt position of 694.73M. Total book value stands at 1.46B, with working capital of 968.37M providing operational flexibility.

Cash & Cash Equivalents72.06M
Total Debt853.51M
Net Debt694.73M
Equity (Book Value)1.46B
Book Value Per Share36.65
Working Capital968.37M

Cash Flow

EUR

AAR CORP. produced 84.66M in operating cash flow over the twelve months ended May 31, 2026. After subtracting -3.69M in capital expenditures, free cash flow totaled 80.98M - equivalent to 2.13 per share.

Operating Cash Flow84.66M
Capital Expenditures-3.69M
Free Cash Flow80.98M
FCF Per Share2.13

Margins

Over the twelve months ended May 31, 2026, AAR CORP. posted a gross margin of 18.80, reflecting its pricing power and cost economics. The operating margin of 8.18 and net profit margin of 5.67 provide insight into operational efficiency.

Gross Margin18.80
Operating Margin8.18
Pretax Margin7.43
Profit Margin5.67
EBITDA Margin10.58

Dividends & Yields

These figures cover the twelve months ended May 31, 2026. Free cash flow yield stands at 2.18, showing how much cash the business generates relative to its market value - dividends covered by free cash flow are generally more durable than those funded by debt. Total shareholder yield is negative at -4.63, meaning AAR CORP. raised more capital through share issuance and new debt than it returned via dividends and buybacks.

Shareholder Yield-4.63
FCF Yield2.18

Stock Splits

AAR CORP.'s most recent stock split took place on February 24, 1998 with a 2:3 split ratio.

Last Split Date2/24/1998
Split Ratio2:3

Scores

As of May 31, 2026, AAR CORP. has an Altman Z-Score of 4.51, well above the 3.0 threshold that indicates strong financial health and minimal bankruptcy risk.

Altman Z-Score4.51