Faruqi & Faruqi, LLP Investigates Potential Securities Fraud Claims Against FTAI Aviation Ltd.

Ongoing Investigation into FTAI Aviation by Faruqi & Faruqi, LLP

Faruqi & Faruqi, LLP, a prominent national securities law firm, has initiated an investigation into potential claims against FTAI Aviation Ltd. The investigation focuses on securities purchased between July 23, 2024, and January 15, 2025. The firm aims to assist investors who may have suffered losses during this period and reminds them of the upcoming March 18, 2025, deadline to seek lead plaintiff status in a federal securities lawsuit staged against the company.

Background of the Case

FTAI Aviation Ltd. operates within the aviation sector and is listed on the NASDAQ under the ticker FTAI. The firm’s investigation stems from allegations made regarding the company’s financial reporting and operational practices. Specifically, it is contended that FTAI may have misled investors by making false statements concerning its earnings and revenue generation methods.

The complaint alleges that the company breached federal securities laws by:
1. Reporting singular engine sales as Maintenance Repair & Overhaul (MRO) revenue even though FTAI only provides limited maintenance and repair on those engine assets.
2. Presenting comprehensive engine sales as merely module sales, resulting in an inflated perception of demand.
3. Incorrectly depreciating engines that are not leased, which resulted in a misleadingly lower cost of goods sold, thus artificially inflating earnings before interest, taxes, depreciation, and amortization (EBITDA).
4. Making positive assertions about business conditions and future prospects that lack substantiation due to the aforementioned misleading financial representations.

These actions have drawn increased scrutiny following a report published by Muddy Waters Research on January 15, 2025. The report alleged significant financial manipulations, indicating that FTAI exaggerated the scope of its aftermarket business and misled investors through misleading sales presentations.

Impact on Shareholders

Following the release of this report, FTAI's stock price suffered a substantial decline, dropping $37.21 or 24.3%, to close at $116.08 per share on exceptionally high trading volume. These occurrences have propelled many investors to reconsider their positions and explore remediation options.

Legal Rights and How to Proceed

Investors who acquired FTAI securities during the specified timeframe and believe they may have experienced losses are encouraged to contact Faruqi & Faruqi partner, Josh Wilson, who specializes in securities litigation. Potential plaintiffs have until March 18, 2025, to file a motion for lead plaintiff status, allowing them to take a prominent role in the litigation process on behalf of others similarly affected.

If you have relevant information regarding FTAI’s operations or their financial conduct, including former employees, whistleblowers, and shareholders, Faruqi & Faruqi invites you to come forward. The firm is open to assessing cases individually, and all communications will be held in strict confidentiality.

Conclusion

Investors need to be aware of their legal rights and options during this ongoing investigation. Staying informed and proactive can be vital for those affected by the recent developments surrounding FTAI Aviation. For continued updates and information regarding the FTAI Aviation class action, visit Faruqi & Faruqi’s website or contact their offices directly.

By bringing potential claims to light, firms like Faruqi & Faruqi, LLP play a critical role in protecting investor rights and ensuring corporate accountability within the financial sector.