Stock price when the opinion was issued
Aerospace has had some pretty tough volatile times lately. A bunch of industry metrics are pretty toppy. This company has found a way to squeeze out operational efficiencies. Their revenue generation and cost efficiencies have really improved. It has had a tough year with only mid-to single low digit EPS growth, so there is not a lot to pin your hopes on. He would look at other defense areas or an ETF.
He doesn't expect their recent strength to continue. Instead, he'd look at Southwest Airlines.
The will get tax relief from the election. For decades airlines were hated businesses because they were so competitive. Now the top 4 airlines represent 91% of the industry in the US. They are almost an oligopoly. They now have pricing power. (Analysts’ target: $22.42)