Tourlite Capital Management, an investment management company, released its first-quarter 2026 investor letter. A copy of the letter is available to download here. In Q1, Tourlite Fund, LP returned 16.9%, significantly surpassing the (4.4%) return for the S&P 500 Index and 0.9% for the Russell 2000. The Fund delivered annualized returns of 11.9% since inception, compared to 11.2% and 6.3% for the indexes, respectively. Macroeconomic and geopolitical volatility continues to impact the global economy as it enters the second quarter. Despite signs of de-escalation in the war and the closure of the Strait of Hormuz, pressure on the global oil market remains. The Fund expects pro-growth policies to ensure economic stability, and the “Iran War” has heightened the risk of a prolonged “higher-for-longer” interest-rate environment. In addition, you can check the firm’s top 5 holdings to determine its best picks for 2026.
In its first-quarter 2026 investor letter, Tourlite Capital Management highlighted FTAI Aviation Ltd. (NASDAQ:FTAI) as a notable contributor. FTAI Aviation Ltd. (NASDAQ:FTAI) is an aviation company that owns, acquires, and sells aviation equipment. On May 29, 2026, FTAI Aviation Ltd. (NASDAQ:FTAI) closed at $260.34 per share. One-month return of FTAI Aviation Ltd. (NASDAQ:FTAI) was 8.47%, and its shares gained 116.32% over the past 52 weeks. FTAI Aviation Ltd. (NASDAQ:FTAI) has a market capitalization of $26.71 billion.
Tourlite Capital Management stated the following regarding FTAI Aviation Ltd. (NASDAQ:FTAI) in its Q1 2026 investor letter:
“As the aerospace and engine markets remain supply-constrained, FTAI Aviation Ltd. (NASDAQ:FTAI) continues to deliver strong results to start 2026. Leveraging its compelling value proposition and lower-cost Maintenance, Repair, and Exchange (MRE) solutions, the company continues capturing market share, currently ~12% of the CFM56 aftermarket, up from 5% just two years ago. FTAI is presently operating at 55% of its existing capacity and is targeting a 25% long-term market share. While the company has conceded some margin to secure a partnership with a major U.S. airline, the broader adoption of Parts Manufacturer Approval (PMA) components is expected to materially enhance EBITDA per module.
In late March, FTAI announced a joint venture with Jereh Group, a leading global manufacturer of containerized gas turbine packaging systems. This partnership is designed to scale production of FTAI’s Mod-1 CFM56 aeroderivative units and support the company’s goal of delivering 100 units in 2027. At an average selling price of $25 million and projected 40% EBITDA margins, which management expects to be accretive to the core aerospace business, we continue to believe FTAI Power represents a $1 billion EBITDA opportunity next year. This potential remains largely overlooked in current analyst 2027 consensus estimates.
Further positive momentum continues within the company’s Strategic Capital Initiative (SCI). FTAI is nearing the full deployment of SCI I and plans to launch SCI II in the third quarter. Additionally, there is an opportunity to launch Power-specific SCI vehicles to further optimize future growth.”
