Quality Investor

StandardAero, Inc.

Rank #400Op. LeverageWatchlistCompare with other stocks

SARO · NYSE · Industrials

StandardAero, Inc. (SARO) — Rank #400 by gross profitability (GP/assets 0.13) · ROE 10.1% · Piotroski F-Score 8 / 9.

As-of 2026-10-30 · CIK 0002025410 · all metrics point-in-time as of the filing date.

About

StandardAero, Inc. provides aerospace engine aftermarket services for fixed and rotary wing aircraft in the United States, Canada, the United Kingdom, Rest of Europe, Asia, and internationally.

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It operates in two segments, Engine Services and Component Repair Services. The Engine Services segment provides a suite of aftermarket services, including maintenance, repair and overhaul, on-wing and field service support, asset management, and engineering and related solutions to customers in the commercial aerospace, military and helicopter, and business aviation end markets. The Component Repair Services segment offers engine component and accessory repairs to the commercial aerospace, military and helicopter, land and marine, and oil and gas end markets. StandardAero, Inc. was formerly known as Dynasty Parent Co., Inc. and changed its name to StandardAero, Inc. in September 2024.

The company was founded in 1911 and is headquartered in Scottsdale, Arizona.

Industry
Aerospace & Defense
Sector
Industrials
State
DE
Filer Category
Large accelerated filer
Fiscal Year End
December 31

Company Snapshot

P/E and reverse DCF are the primary valuation lenses at this stage.

Market Cap

—

P/E (annual)

—

P/S (annual)

—

P/B

—

P/OCF (annual)

—

Shareholder Yield

—

Employees

8,000

Industry

Aerospace & Defense

Exchange

NYSE

10/12

Flags passed

SARO passes 10/12 quality flags

2 cautions to review

  • CAUTION
    Dilution above 2%

    Annual share count increase exceeds 2%. May be acceptable for high-growth companies funding talent via stock compensation

  • CAUTION
    Disclosure regression

    A previously-disclosed line item is no longer reported — worth checking the filing for why

  • PASS
    Gross margin holding
  • PASS
    FCF not negative from investment
  • PASS
    Revenue not declining
  • PASS
    Operating margin holding
  • PASS
    Free cash flow intact
  • PASS
    Passes safety gate
  • PASS
    Balance sheet stable
  • PASS
    No competitive retreat
  • PASS
    SBC not compressing margin
  • PASS
    No valuation convergence

Strengths Revenue growth accelerating · Operating leverage expanding · Deferred revenue growing · Sequential beat (rev + EPS)

A count of the 12 warning flags that could be evaluated. Unweighted: colour follows the worst flag.

Quality Profile

Profitability

1/1 pass
GP / assets
0.13
Return on equity
10.1%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
1.49
Current ratio
2.13×
Net cash
-$2.15B

Cash Flow

2/3 pass
Positive FCF
PASS
Cash-backed earnings
WARN
Accruals healthy
PASS
SBC / revenue
0.2%

Growth

1/2 pass
Revenue growth
15.8%
Piotroski F-Score
8 / 9
Share dilution
15.4%

Operating margin expansion and free cash flow are the primary reads at this stage.

Profitability

Does it make money well?

No warning flags · GP/assets 10th percentile of 21 SIC 37 peers

Gross profitability (GP / assets)

0.13

Primary signal (Novy-Marx).

10th pctl of 21 SIC 37 peers

Return on equity

10.1%

Gross margin

14.8%

15th pctl of 21 SIC 37 peers

Revenue growth (YoY)

15.8%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2022202320242025
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

13.5%

Revenue CAGR (5Y)

—

Earnings CAGR (3Y)

—

FCF CAGR (3Y)

—

Cash Flow Health

Is the cash real?

No warning flags · FCF 16% below net income

Free cash flow

$234.30M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF vs net income

-15.5%

(FCF − net income) ÷ |net income|. Positive: cash above earnings. Negative: below.

FCF not below net income

Fails when free cash flow is below net income (yellow flag).

WARN

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.2%

Stock-based comp intensity.

Balance Sheet Strength

Can it survive a storm?

Caution: Dilution above 2% · net debt $2.15B, F-Score 8/9

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

1.49

16th pctl of 20 SIC 37 peers (best = lowest)

Current ratio

2.13×

50th pctl of 21 SIC 37 peers

Quick ratio

0.70×

Net cash

-$2.15B

Cash & equivalents minus total debt.

Piotroski F-Score

8 / 9

Fundamental-strength score (0-9).

Valuation

Is the price reasonable?

No warning flags

Capital allocation quality

Composite score

2.3 / 5

Fair
Share count trend
15.4%0/5 Weak
Buyback timing
N/AN/A
Dividend growth consistency(non-payer or broken streak)
0 yr3/5 Good
Net debt trajectory(deleveraging)
3.1%4/5 Strong

Lifecycle Phase History

20222025
Op. Leverage

Price History

SARO-31.9% · -17.8% CAGRSPY+37.0% · +17.4% CAGR