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2588: Resilient Earnings Outlook Will Support Further Upside Ahead

Aircraft Leasing Outlook Will Remain Positive Amid Strong Future Earnings Expectations

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2588
AnalystConsensusTarget
Not Invested
Published 20 Apr 2025

Update shared on 11 Dec 2025

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1Y
22.1%
7D
1.6%

Analysts have modestly adjusted their price target for BOC Aviation to SGD 85.00, reflecting updated views that, despite largely unchanged assumptions for discount rate, revenue growth, profit margins, and future valuation multiples, the company’s fair value remains solidly supported by its resilient earnings outlook.

What's in the News

  • Entered a sale and leaseback agreement with Philippine Airlines for two Airbus A350-1000 aircraft, classified as Qualified Aircraft Leasing Activity (Key Developments).
  • The first A350-1000 delivery to Philippine Airlines is scheduled for 2025 under a long term operating lease (Key Developments).
  • The second A350-1000 delivery to Philippine Airlines is expected in 2026, also under a long term operating lease (Key Developments).

Valuation Changes

  • Fair Value: Unchanged at SGD 85.00 per share, indicating no revision to the overall valuation outcome.
  • Discount Rate: Stable at 11.24 percent, with no change in the risk and return assumptions applied to the cash flow model.
  • Revenue Growth: Edged down marginally to about 11.12 percent, a negligible adjustment that does not materially affect projections.
  • Net Profit Margin: Trimmed very slightly to roughly 29.25 percent, reflecting only a minor recalibration of profitability expectations.
  • Future P/E: Eased modestly from about 11.74 times to around 11.74 times, indicating a very small reduction in the assumed market multiple.

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Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.