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Air Lease (AL) Provides Activity Update for Fourth Quarter

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Air Lease Corporation (AL - Free Report) provided an update on aircraft investments, sales and financing that took place in the fourth quarter of 2020.

As of Dec 31, 2020, the company’s fleet consisted of 332 owned (indicates a rise from 292 owned aircraft in 2019) and 81 managed aircraft. At the end of the period, the company also had 361 new aircraft on orders from Boeing and Airbus, which are expected to be delivered through 2026. Steady growth in Air Lease’s fleet is aiding its top line.

During the December-quarter, Air Lease delivered 10 new aircraft, including two A320neos, six A321neos, one A330-900 and one A350-1000. Additionally, it purchased and leased back 10 A320-200 and four 737-800 aircraft. The company’s aircraft investments in the quarter totaled approximately $1.1 billion. Majority of the investments occurred in the latter half of the quarter. The company did not sell any aircraft during the fourth quarter.

Under its financing activity, the company issued $1.5 billion of senior unsecured medium-term notes, comprising of $750 million due 2026 at a fixed rate of 2.875% and $750 million due 2030 at a fixed rate of 3.125%.

Zacks Rank & Key Picks

Air Lease carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the broader Transportation sector are ArcBest Corp. (ARCB - Free Report) , GATX Corp. (GATX - Free Report) and Herc Holdings (HRI - Free Report) . While GATX carries a Zacks Rank #2 (Buy), ArcBest and Herc Holdings sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Shares of ArcBest, GATX and Herc Holdings have gained more than 71%, 46% and 100% in the last six months respectively.

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