AAR Corp. (AIR) Stock Price & How to Invest

AAR Corp is a leading independent provider of aviation services to commercial airlines, government and defense operators, MRO shops, and OEMs. It operates across four segments: Parts Supply (selling and leasing used serviceable material and new parts), Repair & Engineering (airframe and component maintenance), Integrated Solutions (including the Trax cloud MRO software platform and government logistics programs), and Expeditionary Services (mobility and pallet products). The business is squarely an aftermarket story: it makes money keeping existing aircraft flying rather than building new ones, which gives it exposure to global flight hours, fleet age, and defense sustainment budgets.

The investment picture in fiscal 2026 has been one of accelerating growth. Quarterly sales rose from roughly $740 million in Q1 to about $795 million in Q2 to roughly $845 million in Q3, with double-digit organic growth and expanding adjusted EBITDA and EPS. The market has rewarded that with a premium multiple (around 30x earnings), so the debate for investors is whether AAR can keep compounding through parts-supply demand, USM (used serviceable material) sourcing, and margin gains from its higher-value repair and software businesses, or whether a slowdown in air travel, defense spending, or parts availability would compress both growth and the multiple.

AIR is cyclical: a downturn in air travel, airline capacity cuts, or a recession would reduce flight hours and maintenance demand. The stock's premium multiple (around 30x earnings as of July 2026) leaves little margin for error if growth decelerates or margins slip. AAR carries acquisition-related debt, so higher interest costs weigh on net income, and integration missteps could pressure returns. It also depends on sourcing used serviceable material, which can tighten when part-out feedstock is scarce. Finally, exposure to government contracts brings budget and program-timing risk, and past legacy compliance matters remind investors that regulatory and contract risk is real.

5 analysts publish price targets on AIR, averaging $145.20 against a $140.04 price as of August 2026, or +3.7%. The published targets run from $128.00 to $155.00, a narrow spread, and the ratings split 5 buy, 2 hold, 0 sell. Over the last six months there have been 7 raises and 1 cut among the published actions. A price target is what an analyst published on a date, not a prediction, and sell-side ratings skew positive across the whole market.

Read the full AIR forecast and price target for the target table, the recent rating actions by firm, and how the consensus has shifted.

We give no verdict on AAR Corp.. Both cases are real, which is why the question is contested at all, so here is the strongest version of each.

The case for buying. Aging global fleet and record flight activity. Airlines are flying older aircraft longer as new-jet deliveries from Boeing and Airbus stay constrained, which drives more maintenance events and higher demand for spare and used serviceable parts. The most optimistic published target, $155.00, assumes this works close to its best case.

The case against. AIR is cyclical: a downturn in air travel, airline capacity cuts, or a recession would reduce flight hours and maintenance demand. The most pessimistic target, $128.00, is roughly what AIR is worth if this bites instead.

Read the full bull and bear case on AIR, including what would have to change to break either one. Walnut is not an investment adviser.

A simple financial snapshot. These are approximations and refresh quarterly; for current figures see AAR Corp.'s investor relations page or your broker.

• Revenue (TTM): ~$3.1B
• Q3 FY2026 sales: ~$845M (up ~25% YoY)
• Q3 FY2026 adj. EPS: ~$1.25 (up ~26% YoY)
• Market cap: ~$5.6B
• P/E ratio: ~31x
• Share price: ~$140

AAR posted accelerating growth through fiscal 2026, with quarterly sales climbing from roughly $740M to about $845M and adjusted EBITDA and EPS growing at double-digit rates. Management guided full-year fiscal 2026 to roughly 19% total sales growth and about 12% organic growth. The roughly 31x earnings multiple reflects those expectations, so the valuation embeds continued execution.

Other names that sit close to AIR: same theme, named as a direct competitor, or held beside it in the same funds. Each entry says which. Worth a look if you are thinking about diversification within a thesis rather than concentration on one ticker.

There are three common ways to get AIR exposure. Buy shares (or fractional shares) directly at any major broker. Hold an ETF that includes it, which spreads the position across many companies. Or build it into a focused thematic portfolio, so AIR sits alongside other stocks that express the same thesis.

Walnut takes the portfolio route. Describe a thesis where AIR fits (for example “AI infrastructure” or “dividend-growth large-caps”) and the AI proposes 5 to 6 constituents with target weights. You review the plan and fund it through your own broker when you're ready.

New to this? Start with how to invest in stocks, see how to analyze a stock with AI, or compare the best AI stock analyzers.

AIR is a focused aviation aftermarket play riding fleet aging and record flight activity, and it now carries a growth multiple that leaves little room for execution slips.

Whether AIR is worth buying today depends more on your time horizon and what you already hold than on any single call. We walk through valuation, what would have to go right, and the risks in is AIR a buy or a sell?, and where the stock could go from here in the AIR stock forecast.

For income investors, whether AIR pays a dividend and how the payout looks is covered in does AIR pay a dividend? And to weigh AIR against a peer, read the full side-by-side comparisons: AIR vs HEI and AIR vs TDG.