📊 WLFC Key Takeaways
Is Willis Lease Finance Corp. (WLFC) a Good Investment?
Willis Lease Finance exhibits strong profitability (18.9% net margin, 34.6% FCF margin) and solid cash generation, but faces material financial risk from critical structural imbalances: interest coverage of 0.9x with $2.2B debt leaves minimal margin for error, while zero revenue growth and extreme leverage (3.44x D/E) limit financial flexibility. The capital structure poses heightened distress risk if lease market conditions deteriorate.
Why Buy Willis Lease Finance Corp. Stock? WLFC Key Strengths
- Exceptional free cash flow generation of $185.9M with 34.6% FCF margin demonstrates strong cash conversion efficiency
- Solid net profitability of 18.9% margin and 15.6% ROE indicates the core business is operationally sound
- Operating cash flow of $209.1M exceeds net income, reflecting earnings quality and working capital management
WLFC Stock Risks: Willis Lease Finance Corp. Investment Risks
- Critical interest coverage ratio of 0.9x indicates operating income barely covers debt service with zero margin for deterioration—unsustainable capital structure
- Zero YoY revenue growth signals market stagnation or competitive pressure, limiting organic expansion and debt reduction capacity
- Extreme leverage with 3.44x debt-to-equity ratio and only $12.9M cash reserves creates acute refinancing and liquidity risk in adverse scenarios
Key Metrics to Watch
- Interest coverage ratio trend—must improve above 1.5x to reduce distress risk
- Revenue growth trajectory—any continued flat or negative growth further constrains debt service capability
- Debt/Equity ratio and cash position—monitor deleveraging progress and cash accumulation to build financial cushion
Willis Lease Finance Corp. (WLFC) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 34.6% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
WLFC Profit Margin, ROE & Profitability Analysis
WLFC vs Industrial Sector: How Willis Lease Finance Corp. Compares
How Willis Lease Finance Corp. compares to Industrial sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Willis Lease Finance Corp. Stock Overvalued? WLFC Valuation Analysis 2026
Based on fundamental analysis, Willis Lease Finance Corp. has mixed fundamental signals relative to the Industrial sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Willis Lease Finance Corp. Balance Sheet: WLFC Debt, Cash & Liquidity
WLFC Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Willis Lease Finance Corp.'s revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $6.23 reflects profitable operations.
WLFC Revenue Growth, EPS Growth & YoY Performance
WLFC Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2024 | $4.7M | $4.4M | $0.55 |
| Q3 2022 | $2.4M | $1.6M | $-0.14 |
| Q2 2020 | $26.5M | $5.4M | $0.74 |
| Q1 2020 | $20.5M | $4.3M | $0.56 |
| Q3 2019 | $19.4M | $9.7M | $1.47 |
| Q2 2019 | $22.0M | $8.4M | $1.26 |
| Q1 2019 | $15.4M | $7.1M | $1.00 |
| Q3 2018 | $19.4M | $5.3M | $0.80 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Willis Lease Finance Corp. Dividends, Buybacks & Capital Allocation
WLFC SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Willis Lease Finance Corp. (CIK: 0001018164)
📋 Recent SEC Filings
❓ Frequently Asked Questions about WLFC
What is the AI rating for WLFC?
Willis Lease Finance Corp. (WLFC) has an AI rating of SELL with 68% confidence, based on fundamental analysis of SEC EDGAR filings.
What are WLFC's key strengths?
Claude: Exceptional free cash flow generation of $185.9M with 34.6% FCF margin demonstrates strong cash conversion efficiency. Solid net profitability of 18.9% margin and 15.6% ROE indicates the core business is operationally sound.
What are the risks of investing in WLFC?
Claude: Critical interest coverage ratio of 0.9x indicates operating income barely covers debt service with zero margin for deterioration—unsustainable capital structure. Zero YoY revenue growth signals market stagnation or competitive pressure, limiting organic expansion and debt reduction capacity.
What is WLFC's revenue and growth?
Willis Lease Finance Corp. reported revenue of $536.6M.
Does WLFC pay dividends?
Willis Lease Finance Corp. pays dividends, with $5.7M distributed to shareholders in the trailing twelve months.
Where can I find WLFC SEC filings?
Official SEC filings for Willis Lease Finance Corp. (CIK: 0001018164) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is WLFC's EPS?
Willis Lease Finance Corp. has a diluted EPS of $13.89.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is WLFC a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Willis Lease Finance Corp. has a SELL rating with 68% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is WLFC stock overvalued or undervalued?
Valuation metrics for WLFC: ROE of 15.6% (sector avg: 15%), net margin of 18.9% (sector avg: 10%). Higher ROE suggests strong returns relative to peers.
Should I buy WLFC stock in 2026?
Our dual AI analysis gives Willis Lease Finance Corp. a combined SELL rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is WLFC's free cash flow?
Willis Lease Finance Corp.'s operating cash flow is $209.1M, with capital expenditures of $23.2M. FCF margin is 34.6%.
How does WLFC compare to other Industrial stocks?
Vs Industrial sector averages: Net margin 18.9% (avg: 10%), ROE 15.6% (avg: 15%), current ratio N/A (avg: 1.8).
Is Willis Lease Finance Corp. carrying too much debt?
WLFC has a debt-to-equity ratio of 3.44x, which is above the Industrial sector average of 0.7x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.