Sifting through countless of stocks in the Aerospace & Defense industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in AAR Corp. or Elbit Systems Ltd. because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how AAR Corp. and Elbit Systems Ltd. compare based on key financial metrics to determine which better meets your investment needs.

About AAR Corp. and Elbit Systems Ltd.

AAR Corp. provides products and services to commercial aviation, government, and defense markets in North America, Europe, Africa, Asia, and internationally. It operates through four segments: Parts Supply; Repair, Engineering, and Software; Government Solutions; and Legacy Commercial Programs. The company sells and leases used serviceable material and aftermarket distribution of new, and original equipment manufacturers supplied replacement parts. It also provides airframe maintenance, repair, and overhaul (MRO) services, such as airframe inspection, painting services, line maintenance, airframe modifications, structural repairs, avionics service and installation, exterior and interior refurbishment and engineering services, and support for various commercial and military aircraft; component MRO services, including repair and overhaul services, engine and airframe accessories, and interior refurbishment; software solutions comprising cloud-based, mobile, and AI-enabled aviation aftermarket software; develops PMA parts for aftermarket applications; and designs proprietary designated engineering representative repairs. In addition, the company designs, manufactures, and repairs transportation pallets; offers fleet management and operations of customer-owned aircraft; provision of supply chain logistics services, such as material planning, sourcing, logistics, information and program management, and parts and component repair and overhaul services; and engineering, design, and system integration services for specialized command and control systems. Further, it provides asset-heavy flight hour-based component pool and repair programs for commercial airlines and distribution of consumables and expendables inventory. Additionally, it offers containers and shelters for military and humanitarian tactical deployment activities; and shelters, such as stationary and vehicle-mounted applications. AAR Corp. was founded in 1951 and is headquartered in Wood Dale, Illinois.

Elbit Systems Ltd., together with its subsidiaries, develops and supplies defense and homeland security arenas products and services in Israel, North America, Europe, the Asia-Pacific, Latin America, and internationally. The company operates through five segments: Aerospace; C4I and Cyber; Intelligence, Surveillance, Target Acquisition and Reconnaissance and Electronic Warfare; Land; and Elbit Systems of America. It offers airborne platforms, unmanned aerial solutions, precision guided munition sensors, aerostructures, training and simulator systems, flight academy solutions, and commercial aviation systems; and command, control, communications, computer, intelligence, surveillance and reconnaissance systems, as well as data links and radio communication systems and equipment, cyber intelligence solutions, and autonomous and homeland security solutions. The company also provides various electro-optic laser solutions and countermeasure systems and products, naval combat management and sonar systems, and electronic warfare, signal Intelligence, and radar systems; indirect fire, turrets and weapons, ammunition and munition, and active protection systems; and products, system solutions, and support services to defense, homeland security, law enforcement, commercial aviation, and medical instrumentation markets. It serves various governments and companies. The company was incorporated in 1966 and is based in Haifa, Israel.

Latest Aerospace & Defense and AAR Corp., Elbit Systems Ltd. Stock News

As of September 2, 2026, AAR Corp. had a $4.9 billion market capitalization, compared to the Aerospace & Defense median of $3.9 million. AAR Corp.’s stock is up 49.5% in 2026, down 8.9% in the previous five trading days and up 62.2% in the past year.

Currently, AAR Corp.’s price-earnings ratio is 25.5. AAR Corp.’s trailing 12-month revenue is $3.3 billion with a 5.7% net profit margin. Year-over-year quarterly sales growth most recently was 23.0%. Analysts expect adjusted earnings to reach $5.709 per share for the current fiscal year. AAR Corp. does not currently pay a dividend.

As of September 2, 2026, Elbit Systems Ltd. had a $33.7 billion market cap, putting it in the 90th percentile of all stocks. Elbit Systems Ltd.’s stock is up 22.1% in 2026, down 1.9% in the previous five trading days and up 49.09% in the past year.

Currently, Elbit Systems Ltd.’s price-earnings ratio is 62.3. Elbit Systems Ltd.’s trailing 12-month revenue is $7.9 billion with a 7.4% net profit margin. Year-over-year quarterly sales growth most recently was 43.8%. Analysts expect adjusted earnings to reach $16.266 per share for the current fiscal year. Elbit Systems Ltd. currently has a 0.6% dividend yield.

How We Compare AAR Corp. and Elbit Systems Ltd. Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at AAR Corp. and Elbit Systems Ltd.’s stock grades to see how they measure up against one another.

Learn more about A+ Investor here!

Sign Up to Receive a Free Special Report Showing How A+ Grades Can Help You Make Smarter Investment Decisions

AAR Corp. and Elbit Systems Ltd. Stock Value Grades

Company	Ticker	Value
AAR Corp.	AIR	D
Elbit Systems Ltd.	ESLT	F

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection.

Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Value Grade derives from a stock’s value score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.

AAR Corp. has a Value Score of 23, which is Expensive. Elbit Systems Ltd. has a Value Score of 7, which is Ultra Expensive.

The Value Stock Winner: No Clear Winner

Neither AAR Corp. or Elbit Systems Ltd. has a high enough value grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolio. It’s important to look at a wide range of financial metrics in order to determine if AAR Corp. or Elbit Systems Ltd. is the better investment when it comes to value.

AAR Corp. and Elbit Systems Ltd. Growth Grades

Company	Ticker	Growth
AAR Corp.	AIR	A
Elbit Systems Ltd.	ESLT	A

The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.

In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.

The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.

AAR Corp. has a Growth Score of 89, which is Very Strong. Elbit Systems Ltd. has a Growth Score of 89, which is Very Strong.

The Growth Grade Winner: It’s a Tie!

Looking at the Growth Grade breakdown above, both AAR Corp. and Elbit Systems Ltd. have a grade of A. For investors who focus solely on a company’s upward growth, further research should be conducted into both companies’ other financial metrics before deciding whether to invest.

AAR Corp. and Elbit Systems Ltd.’s Momentum Grades

Company	Ticker	Momentum
AAR Corp.	AIR	B
Elbit Systems Ltd.	ESLT	B

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

AAR Corp. has a Momentum Score of 79, which is Strong. Elbit Systems Ltd. has a Momentum Score of 75, which is Strong.

The Momentum Grade Winner: It’s a Tie!

Looking at the Momentum Grade breakdown above, both AAR Corp. and Elbit Systems Ltd. have a grade of B. For those who focus solely on a company’s momentum, further research will need to be conducted into both companies to see if they fit your individual needs as an investor.

Other AAR Corp. and Elbit Systems Ltd. Grades

In addition to Momentum, Growth and Value, A+ Investor also provides grades for Estimate Revisions and Quality.

Earnings estimate revisions scores take into account the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, surprises beget further surprises‐or at least continued sales growth (the exact opposite is generally true, too).

AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the quality grade is the percentile rank of the composite of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F-Score.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether AAR Corp. and Elbit Systems Ltd. pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, AAR Corp. or Elbit Systems Ltd. Stock?

Overall, AAR Corp. stock has a Value Score of 23, Growth Score of 89 and Momentum Score of 79.

Elbit Systems Ltd. stock has a Value Score of 7, Growth Score of 89 and Momentum Score of 75.

Comparing AAR Corp. and Elbit Systems Ltd.’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.