PR Newswire
BATON ROUGE, La., Oct. 27, 2021
BATON ROUGE, La., Oct. 27, 2021 /PRNewswire/ -- Prescience Point Capital Management, a research-focused, catalyst-driven investment firm that seeks to earn superior risk-adjusted returns uncorrelated to the broader market, announced today that it has published a detailed analysis of AerSale Corporation (Nasdaq: ASLE) ("AerSale" or "the Company") with a Strong Buy recommendation and a near-term price target of $47.13.
A copy of Prescience Point's research report on AerSale can be found HERE.
Prescience Point believes that AerSale, a leading provider of aftermarket aircraft services and equipment, is one of the most obvious and attractive investments it has ever seen. The Company is projected to grow its adjusted, fully-diluted EPS at a robust CAGR of 231% from FY 2020 to FY 2022. Yet, despite the Company's impressive growth trajectory, its shares are trading at just 10x FY 2022 earnings, while its peers are trading at 25x – 30x. Prescience Point believes AerSale offers immediate upside as several imminent catalysts could result in a more than doubling of its share price within a month. These imminent catalysts include:
Prescience Point projects AerSale will generate $1.08 of adjusted, fully-diluted EPS in FY 2021. Based on conservative projections for the Company's core business, and assuming the delivery of 250 AerAware units to its launch customer in FY 2022, Prescience Point estimates that the Company will generate $1.89 of adjusted, fully-diluted EPS in FY 2022.
"Given that AerSale generates higher margins and is growing at a much faster rate than its peers, we believe its shares should, at the very least, trade at a multiple that is in-line with its comparables," said Eiad Asbahi, Founder and Portfolio Manager of Prescience Point. "Based on our projection of $1.89 of adjusted, fully-diluted EPS in FY 2022, and assuming a conservative multiple of 25x, we value AerSale shares at $47.13 today, which represents a 146.5% premium to the current share price of $19.12."
Prescience Point has a long position in shares of AerSale and stands to benefit if the share price rises.
About Prescience Point Capital Management
Prescience Point Capital Management is a research-focused, catalyst-driven investment firm that seeks to earn superior risk-adjusted returns uncorrelated to the broader market. Unlike traditional investment strategies, we are unconstrained and can opportunistically invest globally, across asset classes, industry verticals and capital structures. Whether investing in misunderstood distressed assets, creating value through shareholder activism, or uncovering fraud, we seek to capitalize on opportunities that others miss or fall outside the rigid mandates of most investment firms.
Our uniqueness resides in our unconventional thinking, deep research, intellectual curiosity and willingness to go against the prevailing wisdom.
The firm was founded by investor Eiad Asbahi in 2009 and is headquartered in Baton Rouge, LA.
For more information please visit www.presciencepoint.com or follow @PresciencePoint.
Prescience Investment Group, LLC is a member of the Financial Industry Regulatory Authority, CRD number 152721.
View original content:https://www.prnewswire.com/news-releases/prescience-point-capital-management-publishes-analysis-of-aersale-corporation-with-strong-buy-rating-and-a-near-term-price-target-of-47-301409562.html
SOURCE Prescience Point Capital Management
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