- We have been holding FTAI since 2017 while managing to achieve some incredible gains with its preferreds during March's panic selloff.
- While its positive EBITDA, the aviation industry remains depressed, and the weaker results may not be able to sustain the common dividend unless a recovery occurs.
- Our covered call strategy allows us to stay in the game, collect the distribution, and yet run away if things turn sour.
- However, FTAI's valuation has gone ahead of itself. Its preferreds remain investable with the possibility for some capital gains, though with limited total returns.
For further details see:
Fortress Transportation's Valuation Has Gotten Ahead Of Itself