Vertical Aerospace can address main overhang with execution, says Canaccord

Canaccord analyst Austin Moeller keeps a Buy rating on Vertical Aerospace (EVTL) with an $11 price target after hosting management meetings with investors. The firm says management highlighted of the company’s final certification aircraft, Valo, as the premium electric vertical take-off and landing aircraft entering the urban air mobility market. Valo features new enhancements like a more aerodynamic airframe, under-floor battery storage, redesigned wing and propeller architectures supplied by Tier 1 aerospace vendors, the analyst tells investors in a research note. Canaccord believes Valo’s unveiling support management’s prior comments that Vertical is developing a premium product. The main overhang on the stock continues to be the company’s capital constraints, but successful execution should likely create a better capital raising environment for Vertical, contends the firm.