NYSE:HEI

HEICO CORP (HEI)

331.15
-5.38 (1.60%)
as of Aug 31, 2026, 8:00:00 pm Market Open.
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Investor Insights
star iconSep 1, 2026, 12:00 am

This summary was created by AI, based on 3 opinions in the last 12 months.

HEICO Corp (HEI-N) has garnered mixed reviews from experts regarding its current performance and valuation. On one hand, it is regarded as a high-quality business that has seen substantial gains due to increased demand in the aerospace sector and rising defense spending. However, some analysts express concern over its high price-to-earnings (PE) ratio of 45x, labeling it as expensive. Additionally, there are worries about the company's performance this year, with a reported decline of 11% and signs of shrinking growth and margins. While the aerospace sector is noted for its significant future potential, experts emphasize the importance of looking beyond short-term volatility and focusing on long-term prospects.

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Consensus
Mixed
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Valuation
Overvalued
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Similar
LMT
BUY
In the last 5 years, its dividend has grown 18% annually. You're paid to wait. Good. Over 10 years, the stock is up nearly 1,000%. They've done a good job supplying replacement parts for planes. Also, a growing segment is outer space, which has a long runway. Their price and dividend has performed very well historically.
BUY ON WEAKNESS
HEI is picking up contracts that Boeing is losing. HEI hasn't had an accident in nearly 50 years. But this stock price went too far, too fast, so he sold half his holding to balance his weighting. A solid business. Enter with a half-position. You'll get 20% annual dividend growth. It's risen 10,000% since 1970, on par with Amazon. Likes this company. Buy on 20% weakness, too high now at 42x earnings.
PARTIAL BUY

They've done very well on the back of Boeing's woes. They make replacement parts for old planes, but it's not a cheap stock. He's taken a half position so he can be nimble. A good, long-term company despite a little volatility. They're acquisitive and smart with debt. Airlines are a little risky now, so he feels better being in the parts side, like Heico.

TOP PICK
An aerospace manufacturing company. Their parts have never been involved in any crashes. They grow their dividends at roughly 20%. He's happy to own it and hold for the next 10-20 years.
PAST TOP PICK
(A Top Pick May 27/19, Up 32%) You're exposed to all the airplanes coming back into the fleet with the Max 8 out to cover those routes. Long-term it's been very strong. They have an electronic tech division that deals in outer space which is a growth area with Bezos' and Branson's space plans.
TOP PICK
Serial acquirers in aerospace and defense. Net income has grown 19% Y/Y since 1990. No sales in Asia, so they avoid the tariffs. Also provides replacement parts for older planes. Yield is 0.13%. (Analysts’ price target is $105.11)
PARTIAL BUY
None of their aerospace parts have caused any accidents since they were formed in 1970. A quality company with quality goods. Q4 sales were up. If they're able to growth profits and dividends, then you can let this company run for you. Caveat: it's expensive, so buying half a position is OK. Plus, if we get another correction, the small caps will be more volatile. Have to make sure you're in quality small cap stocks, and this is one.
PARTIAL BUY

It’s still expensive. Don’t have to worry about the tariffs because it’s mostly domestic. Very well run. If the market goes down 20%, small caps will go down 30%. He’s buying a half position for clients, but is waiting for true value to buy the other half.

WAIT

Aerospace parts as well as electronic equipment. This has done exceptionally well over time. They are about to split their shares in May, which will probably be a 5 to 4 split, so he would hold back on buying this.

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