StandardAero, Inc. (SARO – Research Report), the Industrials sector company, was revisited by a Wall Street analyst yesterday. Analyst Kristine Liwag from Morgan Stanley maintained a Hold rating on the stock and has a $33.00 price target.
Kristine Liwag’s rating is based on a combination of factors that reflect both the strengths and challenges faced by StandardAero, Inc. The company reported strong quarterly earnings with revenue and adjusted EBITDA surpassing expectations, driven by robust growth across its commercial, business aviation, and military segments. Despite this positive performance, the stock’s valuation and future growth prospects may already be priced in, leading to a Hold recommendation.
Furthermore, while the company’s 2025 outlook is optimistic, with projected revenue and EBITDA above consensus, there are considerations such as leverage levels and the need for continued investment in engine programs. These factors suggest that while the company is performing well, the potential for significant stock price appreciation may be limited in the near term, justifying a Hold rating.
In another report released on March 10, Bank of America Securities also maintained a Hold rating on the stock with a $32.00 price target.