FTAI Aviation Ltd (NASDAQ:FTAI) shares are trading higher Tuesday afternoon after the company unveiled FTAI Power, a new business that converts CFM56 aircraft engines into power turbines aimed at supplying electricity to data centers and other users facing AI-driven power shortages. Here’s what investors need to know.
What To Know: The New York-based lessor and maintenance specialist said FTAI Power will adapt the world's largest aircraft engine platform into a 25-megawatt aeroderivative gas turbine designed to be a flexible, lower-cost alternative to larger grid units. Production is expected to begin in 2026.
The company believes its scale as one of the largest aftermarket owners and servicers of CFM56 engines, with more than one million square feet of maintenance facilities and a fleet exceeding 1,000 engines, will allow it to produce the turbines predictably and cost-effectively and support over 100 units a year.
Management said accelerating electricity demand from AI hyperscalers has created an urgent need for rapid, modular power solutions. Separately, BTIG analyst Andre Madrid on Tuesday reiterated a Buy rating on FTAI Aviation and maintained his $230 price target.
Benzinga Edge Rankings: According to Benzinga Edge rankings, FTAI Aviation shows a strong Momentum score of 88.58, signaling robust recent price performance compared with other stocks.
FTAI Price Action: FTAI Aviation shares were up 13.01% at $195.32 at the time of publication on Tuesday. The stock is trading at a new 52-week high, according to Benzinga Pro data.
The current price is notably positioned well above key historical levels, suggesting robust upward momentum. The stock has surged past its previous resistance levels, with the recent high of $199.88 indicating a potential new resistance point.
Traders may look to this level as a benchmark for future price action, while the low of $176.68 could serve as a near-term support level, providing a cushion against potential pullbacks.
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