David BurrowsHowmetHWMSELLOct 22, 2026

Has a high PE, but is one of the best in its business. Is viewed as one of the best ways to play aerospace whereas its peers are viewed as so fraught with problems.

Another boring name. If it spins, they probably make it -- turbines for jet engines and power companies, wheels on 18-wheelers. Aerospace and power sectors are growing exponentially. Large backlog, high margin. Yield is 0.20%.

Today, SWK sold its aerospace unit to HWM, a terrific deal, because SWK needs to repair its balance sheet, In turn, HWM can become an even bigger player in aerospace.

Is the best performer in the aerospace industry. Shares are rising even as their customers are not doing that well.

Has made 30% over 5 months. Is taking profits. A good company that he will rebuy on a pullback.

It makes parts for engines which are much in demand. It is expensive so investors would be banking on the demand to be there.

RSI has been steadily improving for aerospace and defense since September 2022. Replacement cycle means lots of business at high margins. Made an RSI new high today relative to the market. Incredibly resilient. Trump's policies will steer other countries to spend more on defense.

Precision, specialized parts and fastening systems for aircraft. Defense market, which is performing well. Next generation of jet engines delayed, so those selling parts are doing well. Up close to 2.5x in last 12 months. Gapped higher on every earnings report in that time.

Continually beats estimates. One of his top ten positions. Making a new absolute and relative high against the market. Thought of using it as a Top Pick today. Chart shows the archetypal stair-step higher of rallies and consolidation.