Risk factor
Very poor trading liquidity
Profitability factor
Greatly undervalued vs peers
About
Alliance Aviation Services Ltd. offers a comprehensive suite of aviation services, encompassing contract flying, charter operations, and related support, catering to the mining, energy, tourism, and government industries across Australia and internationally. Beyond these core offerings, the company delivers specialized aviation solutions, including aircraft wet leases, airport operational management, aircraft trading, spare parts sales, engine leasing, and engineering expertise to other carriers and diverse clientele. As of June 30, 2022, its operational fleet comprised 5 Fokker 50 turboprop aircraft, 13 Fokker 70 jet aircraft, 24 Fokker 100 jet aircraft, and an additional 19 Embraer aircraft. The firm, which was founded in 2002, maintains its headquarters in Brisbane, Australia.
Company Valuation
Based on key historical and expected multiples, the stock is greatly undervalued relative to its peers. Specifically, the stock is 'cheap' on P/E, undervalued on EV/EBITD