Insider Trading March 30, 2026

AAR Corp CEO Disposes $9.5 Million in Shares After Option Exercises

John McClain Holmes III completed option exercises and subsequent share sales on March 26-27; company recently posted stronger-than-expected Q3 fiscal 2026 results

By Derek Hwang AIR
AAR Corp CEO Disposes $9.5 Million in Shares After Option Exercises
AIR

AAR Corp (NYSE:AIR) Chairman, President and CEO John McClain Holmes III executed option exercises that produced 86,225 shares and then sold those shares for approximately $9.5 million across March 26 and 27. The exercised options were at prices between $37.66 and $37.74, and the sales transacted at prices ranging from $107.6039 to $112.4135. Following the activity, Holmes directly holds 235,064 AAR shares. The transactions were reported on a Form 4 filed with the SEC and signed under power of attorney by Katherine Kwiat. Separately, AAR reported better-than-expected third-quarter fiscal 2026 results, with EPS of $1.25 on revenue of $845 million, and several analysts raised price targets and maintained Buy ratings while management increased its fiscal 2026 outlook.

Key Points

  • AAR CEO John McClain Holmes III exercised options to acquire 86,225 shares at $37.66 to $37.74, then sold those 86,225 shares for about $9.5 million at $107.6039 to $112.4135 - sectors impacted: aviation services, capital markets.
  • After the transactions Holmes directly holds 235,064 AAR shares and the trades were disclosed on an SEC Form 4 signed by Katherine Kwiat under power of attorney - sectors impacted: corporate governance, regulatory reporting.
  • AAR reported stronger-than-expected Q3 fiscal 2026 results (EPS $1.25 vs. $1.16 forecast; revenue $845M vs. $812.2M forecast), prompting several analysts to raise price targets and maintain Buy ratings - sectors impacted: aerospace, parts distribution, equity research.

John McClain Holmes III, who serves as Chairman, President and CEO of AAR Corp (NYSE:AIR), completed a pair of related equity transactions on March 26 and March 27 that together amounted to $9.5 million in share sales.

The transactions reported on a Form 4 filed with the Securities and Exchange Commission indicate that Holmes sold 86,225 shares of AAR common stock, with executed sale prices spanning from $107.6039 to $112.4135. Those share sales were tied to the exercise of stock options: the filing shows the acquisition of 86,225 shares through option exercises at prices between $37.66 and $37.74, for an aggregate acquisition value of $3,247,266.

Following these option exercises and open-market sales, Holmes is listed as directly owning 235,064 shares of AAR Corp. The Form 4 disclosure was signed on Holmes’ behalf by Katherine Kwiat, acting under a power of attorney.


Context on company results and analyst reactions

In separate corporate disclosures, AAR reported third-quarter fiscal 2026 results that exceeded consensus forecasts. The company recorded earnings per share of $1.25, above the forecasted $1.16, and reported revenue of $845 million versus an expected $812.2 million.

Following the quarterly release, several sell-side firms adjusted their price targets and maintained favorable ratings. Jefferies raised its price target to $150 while keeping a Buy rating. RBC Capital lifted its target to $125. Truist Securities reiterated a Buy with a $128 target, citing expansion in the parts distribution business. KeyBanc also increased its target to $120, noting strong execution and market share progress. Management, in turn, increased its fiscal 2026 outlook and raised expectations for organic growth in upcoming quarters.


Reporting mechanics

The insider sales and option exercises were disclosed in the SEC Form 4 filing that documents officer and director transactions in company stock. The filing’s execution under a power of attorney is noted in the record.

This report presents the details that appear in the company and regulatory filings and the post-quarter market reactions reported by analysts. No additional inferences regarding motives or future stock movement are provided beyond the facts recorded in the filings and the company’s published results.

Risks

  • Insider sales and option exercises are recorded but the filing does not explain the CEO’s rationale; this leaves uncertainty about management’s intentions - impacts corporate governance and investor sentiment.
  • Analyst revisions reflect updated views after Q3 results, but future performance and organic growth forecasts retain inherent execution risk - impacts the aerospace and parts distribution sectors.

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