Is AerCap (AER) Still Worth Keeping?

Aristotle Capital Management, an independent/employee-owned investment management organization, published its “Aristotle Small/Mid Cap Equity Composite Fund” first quarter 2022 investor letter – a copy of which can be downloaded here. For the first quarter of 2022, the Aristotle Small/Mid Cap Equity Composite generated a total return of -4.38% gross of fees (-4.52% net of fees), outperforming the -5.82% total return of the Russell 2500 Index. Try to spend some time looking at the fund’s top 5 holdings to be informed about their best picks for 2022.

In its Q1 2022 investor letter, Aristotle Capital Management Small/Mid Cap Equity Fund mentioned AerCap Holdings N.V. (NYSE:AER) and explained its insights for the company. Founded in 1995, AerCap Holdings N.V. (NYSE:AER) is a Dublin, Ireland-based aircraft leasing company with an $11.7 billion market capitalization. AerCap Holdings N.V. (NYSE:AER) delivered a -26.99% return since the beginning of the year, while its 12-month returns are down by -19.05%. The stock closed at $47.76 per share on May 26, 2022.

Here is what Aristotle Capital Management Small Cap Equity has to say about AerCap Holdings N.V. (NYSE:AER) in its Q1 2022 investor letter:

AerCap Holdings (NYSE:AER), the world’s largest aircraft leasing firm, declined due to negative sentiment associated with the business given its exposure to the airline industry and the recovery of certain eastern European assets. We maintain a position, as we believe the company is well-positioned to weather this period of volatility given its competitive position, robust pipeline of new aircraft orders and strong balance sheet.”

Airline, Airplane

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Our calculations show that AerCap Holdings N.V. (NYSE:AER) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. AerCap Holdings N.V. (NYSE:AER) was in 40 hedge fund portfolios at the end of the first quarter of 2022. AerCap Holdings N.V. (NYSE:AER) delivered a -22.01% return in the past 3 months.

In May 2021, we also shared another hedge fund’s views on AerCap Holdings N.V. (NYSE:AER) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.

Disclosure: None. This article is originally published at Insider Monkey.