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SARO

NYSE
Neutral · 54/100

StandardAero, Inc.

Industrials
Aerospace & Defense

$30.83

2.4%

Updated Today 12:11 PM ET

Report Card

SARO at a glance — five pillars scored 0–100 from real filed financials.

Value
0
Growth
0
Profitability
0
Health
0
Dividends
0

Overall: Neutral · 54/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.

Price — Past Year

▲ Up 0.0% over the last 12 months

Price 50-day average 200-day averageDCF fair value ±15%Source: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$10.01B

P/E

34x

Forward P/E (est.)

24.29x

ROE

11.3%

Revenue Growth

15.0%

EPS Growth

305.0%

Profit Margin

4.7%

FCF Yield

Debt / Equity

0.83x

ROIC

9.0%

Interest Coverage

3.16x

Current Ratio

2.12x

Dividend Yield

Implied Growth (rev. DCF)

6.5%

Rating Score

54/100

Business Overview
Research

StandardAero, Inc. (SARO) is a large-cap company in the Aerospace & Defense industry, part of the Industrials sector of the S&P 500, with a market value around $10.01B.

In its latest reported year it generated about $6.06B in revenue and $277.42M in net profit.

Our model rates SARO Neutral (54/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what SARO's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. SARO trades near $30.83, above its 50-day average ($26.49) and 200-day average ($27.77). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 83 it is overbought — the recent rally is stretched and can cool off.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.

Volatility — ATR. Average True Range is the typical daily move. SARO's is $0.91 (~3.0% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month SARO found buyers near $24.70 (support) and sellers near $30.95 (resistance); its 52-week range is $23.83–$34.48. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 0.3× the 20-day average — lighter than usual, so the move carries less conviction. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Revenue Growth
Research

3Y CAGR

13.5%

4/4 checks passedRevenue growingRevenue growth beats sector midpointEPS growingEPS growing faster than revenue

Revenue moved from $4.15B in 2022 to $6.06B in 2025, a 13.5% compound annual growth rate. The most recent year grew a strong 15.0% year over year. Consistent top-line growth is one sign of healthy demand.

Profitability
Research
1/4 checks passedProfitableNet margin above sector midpointROE above 12%ROIC above 10%

Gross Margin

14.6%

Operating Margin

9.1%

Net Margin

4.6%

ROE

11.3%

StandardAero, Inc. keeps about 4.7% of each sales dollar as net profit, with a 14.6% gross margin and 9.1% operating margin. Return on equity is 11.3% and return on invested capital about 9.0%. Thin margins leave less cushion if costs rise.

Debt Analysis
Research
4/4 checks passedDebt under 1× equityDebt under 2× equityInterest covered 3×+Short-term bills covered

Total Debt

$2.21B

Net Debt

$2.21B

Net Debt / EBITDA

4.01x

Debt / Equity

0.83x

Leverage: debt-to-equity is 0.8x, and operating profit covers interest about 3.2x, with a current ratio of 2.1x. That is a moderate, manageable debt load for most businesses.

Cash Flow Analysis
Research
1/1 checks passedMarket expects achievable growth (<8%)

Operating CF

$316.70M

Free Cash Flow

$234.30M

FCF Margin

3.9%

In the latest year StandardAero, Inc. produced about $316.70M of operating cash flow and $234.30M of free cash flow after capital spending. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.

Valuation Analysis
Research
2/4 checks passedPositive earnings (P/E meaningful)P/E below sector's upper bandForward P/E below trailing (earnings growing)Trading below DCF fair value

P/E

34x

P/S

1.65x

P/B

3.6x

EV / EBITDA

16.38x

SARO trades at 34.0x trailing earnings (about 24.3x on estimated forward earnings), 1.7x sales, and 3.6x book value. Reverse-engineering today's price implies the market expects roughly 6.5% long-term free-cash-flow growth. That is a premium multiple that needs growth to justify it.

DCF Fair Value (Educational)

A two-stage discounted cash flow on real SEC-filed free cash flow — the intrinsic-value anchor professional analysts triangulate from.

DCF fair value / share

$22.32

Current price

$30.83

-28% · Above fair-value estimate

Starting FCF (latest 10-K)

$234.30M

Growth, years 1–5

15.0%

Fade to terminal, years 6–10

2.5%

Discount rate

9.0%

PV of 10-yr free cash flow$2.92B
PV of terminal value$4.50B
Estimated equity value$7.42B
Shares outstanding332M

Cash flows grow at the stage-1 rate (trailing revenue growth, capped at 20%) for five years, fade to 2.5% by year 10, and continue at that rate forever (Gordon terminal value), all discounted at 9.0%. Small changes in assumptions move the result a lot — treat this as one reference point, not a target price. Educational only, not investment advice.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
34.0xExpensive
Forward P/E
24.3xExpensive
P/S ratio
1.7xCheap
Revenue growth
15.0%Strong
EPS growth
305.0%Strong
Gross margin
14.6%Weak
Net margin
4.7%Weak
ROE
11.3%Weak

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$0.00 $0.00

vs. $30.83 today · expected CAGR 4%15%

Metric20262027202820292030
Revenue$6.97B$8.02B$9.22B$10.60B$12.19B
Net income$348.59M$400.88M$461.02M$530.17M$609.69M
EPS$1.05$1.21$1.39$1.59$1.83
Share price (low)$20.97$24.12$27.73$31.89$36.68
Share price (high)$35.65$41.00$47.15$54.22$62.35
CAGR (low–high)-32% / 16%-12% / 15%-3% / 15%1% / 15%4% / 15%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for SARO:

  • Revenue is growing 15.0% a year, a sign of real demand.
  • As an established S&P 500 member in Industrials, it brings scale and a long operating history.
Bear Case

The case against SARO:

  • Thin net margins (4.7%) leave little room for error.
  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Valuation risk — at 34.0x earnings, disappointing results could compress the multiple.

Margin risk — thin profitability (4.7%) is vulnerable to cost or pricing pressure.

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the picture is mixed: StandardAero, Inc. is a large-cap industrials business still growing nicely, with modest profitability, and a heavier debt load to watch. It trades at 34.0x earnings, which our model scores Neutral (54/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

SARO — frequently asked questions

Is SARO a good stock to buy?

We don't give buy or sell advice. Our model rates StandardAero, Inc. Neutral (54/100) based on its growth, profitability, financial health, and valuation — use that as a research starting point and make your own decision.

What is SARO's rating on The Stocks School?

StandardAero, Inc. currently scores 54/100 (Neutral) on our transparent model, which weighs real fundamentals: growth, margins, returns on capital, balance-sheet strength, and valuation.

How our ratings work
Where does SARO's data come from?

Live price data plus real fundamentals and 5-year financials pulled directly from StandardAero, Inc.'s SEC filings — refreshed automatically, not hand-entered.

How is the 5-year projection for SARO calculated?

It's a scenario model: it grows revenue at an assumed rate, applies a profit margin and a valuation multiple, and shows the resulting share-price range. The assumptions are yours to change — it's a tool for thinking, not a prediction.

Is this SARO analysis financial advice?

No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell SARO. Always do your own research and consider a licensed professional.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.