Top 5 Stocks in George Soros’ Stock Portfolio

2. AerCap Holdings N.V. (NYSE:AER)

AerCap Holdings N.V. (NYSE:AER) is an aviation leasing company headquartered in Dublin, Ireland.

On February 21, AerCap Holdings N.V. (NYSE:AER) announced that it entered into a lease agreement with Thai Airways for seven widebody aircraft and ten Airbus A321NEO aircraft.

On February 23, AerCap Holdings N.V. (NYSE:AER) announced its Q4 non-GAAP EPS of $3.11, surpassing the analysts’ estimates by $0.66. The revenue of $1.9 billion grew 3.8% YoY.

O’keefe Stevens Advisory stated the following regarding AerCap Holdings N.V. (NYSE:AER) in its fourth quarter 2023 investor letter:

“Top picks for 2024 – Five Point Holdings, LLC (FPH) (FPH) and AerCap Holdings N.V. (NYSE:AER). Both situations are similar, with significant overhangs resolved in late 2023. Aercap acquired GECAS in 2021 for cash and stock. GE consistently sold their AER shares, creating heavy selling pressure. In addition, Aercaps planes on lease to Russian airlines were written off in 2022. Thus far, they received $1.2B in insurance recoverables, and ~$2B remains outstanding. Insurance proceeds provide substantial ammunition to aggressively repurchase shares. Ongoing engine and airplane production issues created a “hard market” for secondary transactions. Aercap continually sells planes and engines for over 1.2x carrying value, using proceeds to repurchase stock at or below book value. Note- at a couple of turns of leverage, this ROE is closer to 70%-80%. Repurchasing stock trading at 90% of BV is almost a 100% delta between private market transactions and the stock. That is one hell of a trade! With airlines scrambling for capacity, Aercap holds substantial bargaining power, driving higher rates and longer terms. Business is flying high.”