Is Air Lease Corp. overvalued or undervalued?

As of 5 May 2025, the valuation grade for Air Lease Corp. has moved from very expensive to fair, indicating a shift in perception regarding its market value. The company is currently fairly valued, with a P/E ratio of 15, a price to book value of 0.82, and an EV to EBITDA ratio of 10.92. In comparison to peers, Ryder System, Inc. has a P/E of 11.77 and an EV to EBITDA of 4.89, while The Western Union Co. shows a P/E of 3.05 and an EV to EBITDA of 1.69, suggesting that Air Lease Corp. is positioned reasonably within its industry.
Despite recent stock performance showing a 20.11% return over the past year compared to the S&P 500's 10.26%, the valuation metrics indicate that Air Lease Corp. is not significantly undervalued or overvalued at this time. The company's dividend yield stands at an impressive 74.85%, which may attract income-focused investors, but overall, the valuation appears balanced against its peers.