Air Lease (AL) is Key Player in Largely Unknown Market - Cramer

Air Lease Corp. (NYSE: AL) is positive Thursday following CEO Steve Hazy speaking with Jim Cramer on Wednesday night's Mad Money.

Hazy noted that the airplane industry sees capacity double every 15 years and aircraft last about 25 to 30 years. He noted that Air Lease is in a sweet spot as a huge replacement cycle gets underway.

While a few decades back, aircraft leasing amounted to just 10 percent of the market, that has moved up to 50 percent recently. Airlines are finding it a better fiscal decision to leave rather than buy aircraft that run $150 million or more apiece.

Air Lease purchases aircraft from manufacturers in bulk, meaning they get deep discounts. That means the company is as much in the field of marketing and distribution as it is leasing.

Cramer is positive on Air Lease and thinks its a niche player in a market that not many are aware of right now.

Shares of Air Lease are up 0.8 percent. The company last reported Q1 EPS of $.57, topping expectations by 7 cents.

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