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We recently compiled a list of the 10 Firms Defy Market’s Bullish Momentum. In this article, we are going to take a look at where FTAI Aviation Ltd. (NASDAQ:FTAI) stands against the other stocks.
Wall Street's main indices all finished in the green territory on Wednesday, as investors cheered an unexpectedly slower inflation rate in December.
The Dow Jones jumped by 1.65 percent, while the S&P surged by 1.83 percent. Meanwhile, the Nasdaq Composite index soared 2.45 percent.
Ten companies under mixed sectors bucked an overall positive market sentiment amid a series of negative factors weighing on investor sentiment.
In this article, let’s take a look at the reasons that dragged their shares performance.
To come up with the losers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.
A team of airline employees surrounded by flight deck controls, with a variety of aircraft outside.
FTAI Aviation Ltd. (NASDAQ:FTAI)
FTAI Aviation Ltd. (NASDAQ:FTAI) saw its share prices decline by 24.27 percent on Wednesday to close at $116.08 apiece following reports that a law firm was investigating the company for allegedly manipulating its financials.
The investigation stemmed from a report by Muddy Waters Research, alleging that FTAI by “materially manipulates its financials” by “exaggerating the size of its aftermarket aerospace business”, “misleading investors by presenting whole engine sales as individual module sales”, “inflating Aerospace Products’ EBITDA margins by means of over-depreciation in the leasing segment”, and “engaging in channel stuffing.”
FTAI Aviation Ltd. (NASDAQ:FTAI) is a company engaged in aftermarket power and maintenance for the most widely used commercial jet engines.
FTAI Aviation (FTAI) focuses on aviation leasing assets and aerospace products that generate strong and stable cash flows with the potential for earnings growth and asset appreciation.
Overall FTAI ranks 1st on our list of Wednesday's losers. While we acknowledge the potential of FTAI as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than FTAI but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.