How AerCap’s $1.2 Billion Bond Offering and 777-300ERSF Delivery Changed Its Investment Story (AER)

• In late September 2025, AerCap Holdings N.V. completed a US$1.2 billion fixed-income offering by issuing two tranches of senior unsecured notes, supporting its liquidity and ongoing initiatives in aviation leasing.
• This capital raise coincided with the delivery of Boeing 777-300ERSF passenger-to-freighter converted aircraft to Kalitta Air, highlighting AerCap’s continued focus on both fleet innovation and financial flexibility.
• We’ll explore how AerCap’s enhanced capital position from the bond issuance could impact its investment narrative and future growth prospects.

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AerCap Holdings Investment Narrative Recap

To be a shareholder in AerCap Holdings, you must believe that sustained global air travel demand and persistent aircraft supply constraints will continue to support high lease extension rates, boosting revenue reliability. The recent US$1.2 billion bond issuance strengthens AerCap’s liquidity and flexibility, but it does not materially change the immediate catalyst of tight aircraft supply that is keeping lease rates elevated, nor does it fully offset the risk of a future OEM delivery ramp leading to market oversupply.

AerCap’s recent delivery of two Boeing 777-300ERSF converted freighters to Kalitta Air is closely linked to its funding and reflects the company’s ongoing efforts to stay relevant in both passenger and cargo markets. This step aligns with the current key catalyst of strong airline demand for newer, more efficient aircraft, underscoring the importance of supporting future lease revenue even as broader supply chain conditions evolve.

Yet, investors should consider that if OEMs increase deliveries faster than expected over the next several years, the resulting oversupply could start to pressure lease rates and returns...

Read the full narrative on AerCap Holdings (it's free!)

AerCap Holdings is projected to reach $8.4 billion in revenue and $1.4 billion in earnings by 2028. This outlook assumes a 1.7% annual revenue growth rate, but earnings are expected to decrease by $1.5 billion from current earnings of $2.9 billion.

Uncover how AerCap Holdings' forecasts yield a $132.00 fair value, a 5% upside to its current price.

Exploring Other Perspectives

Two fair value estimates from the Simply Wall St Community suggest a wide span for AerCap shares, from US$132.00 up to US$270.79. While AerCap is seen trading well below these levels by some, the big question is how future OEM aircraft deliveries could impact lease rates and shape your long-term outlook.

Explore 2 other fair value estimates on AerCap Holdings - why the stock might be worth just $132.00!

Build Your Own AerCap Holdings Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your AerCap Holdings research is our analysis highlighting 2 key rewards and 3 important warning signs that could impact your investment decision.
• Our free AerCap Holdings research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate AerCap Holdings' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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