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Loar Holdings Inc. (LOAR)
NYSE:LOAR
US Market
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Loar Holdings Inc. (LOAR) AI Stock Analysis

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LOAR

Loar Holdings Inc.

(NYSE:LOAR)

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Outperform 72 (OpenAI - 5.2)
Rating:72Outperform
Price Target:
$84.00
▲(18.49% Upside)
Action:Reiterated
Date:08/06/26
The score is driven primarily by strong financial execution and cash generation, reinforced by a bullish earnings call with raised guidance and expanding adjusted EBITDA margins. Technicals also support the outlook with the stock trading above major moving averages, while the overall score is capped by expensive valuation (high P/E) and a balance-sheet consistency flag tied to the reported TTM debt shift.
Positive Factors
Sustained Revenue Growth
The multi-year revenue increase shows strong demand and expanding scale across commercial OEM, aftermarket and defense markets. Continued platform wins and management’s raised 2026 sales outlook support durable growth over the next several quarters.
Negative Factors
Balance-Sheet Data Inconsistency
The sharp reported debt change and mismatched leverage measures make the capital structure difficult to assess. This may reflect classification or timing effects, but clarification is important because balance-sheet uncertainty can affect financial flexibility and acquisition capacity.
Read all positive and negative factors
Positive Factors
Negative Factors
Sustained Revenue Growth
The multi-year revenue increase shows strong demand and expanding scale across commercial OEM, aftermarket and defense markets. Continued platform wins and management’s raised 2026 sales outlook support durable growth over the next several quarters.
Read all positive factors

Loar Holdings Inc. (LOAR) vs. SPDR S&P 500 ETF (SPY)

Loar Holdings Inc. Business Overview & Revenue Model

Company Description
Loar Holdings Inc. is an enterprise focused on the development, manufacturing, and marketing of specialized components essential to the aerospace and defense industries. These unique parts are utilized across various aircraft, aerospace applicatio...
How the Company Makes Money
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Loar Holdings Inc. Earnings Call Summary

Earnings Call Date:Aug 06, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 18, 2026
Earnings Call Sentiment Positive
The call conveyed strong operational and financial momentum: record sales, robust adjusted EBITDA growth and margins, exceptionally strong cash conversion, an active and accretive M&A program, and a sizable organic pipeline with early conversions. Offsetting items include GAAP net income constrained by higher interest and noncash amortization, defense market lumpiness, and required investments to scale certain businesses. On balance, the positive performance, raised guidance, and cash generation materially outweigh the challenges.
Positive Updates
Record Quarterly Performance
Achieved quarterly records for sales, adjusted EBITDA and adjusted EBITDA margin; marked the 16th consecutive quarter of sequential adjusted EBITDA growth.
Negative Updates
GAAP Net Income Flat
Net income was flat in Q2 2026 versus Q2 2025 despite higher operating income; the improvement in operating results was offset by higher interest expense and higher noncash amortization of acquired intangible assets.
Read all updates
Q2-2026 Updates
Negative
Record Quarterly Performance
Achieved quarterly records for sales, adjusted EBITDA and adjusted EBITDA margin; marked the 16th consecutive quarter of sequential adjusted EBITDA growth.
Read all positive updates
Company Guidance
Loar raised its 2026 outlook to net sales of $665–$675 million and adjusted EBITDA of $265–$270 million (roughly 40% EBITDA margin), with GAAP net income of $56–$60 million, adjusted EPS of $1.32–$1.36 (up from $1.26–$1.30), and capital expenditures at ~3% of sales (~$20 million). Management expects 2026 end‑market growth of high‑double‑digit% commercial OEM, low‑double‑digit% commercial aftermarket and mid‑single‑digit% defense; through H1 2026 sales and adjusted EBITDA have grown ~38% and ~47% year‑over‑year, Q2 sales were $172 million (+17% YoY) with adjusted EBITDA up $20 million and a 40.5% margin (↑220 bps). Cash generation remains strong (YTD operating cash flow minus capex divided by net income = 1.9x; free cash flow ≈200% of net income), and the company cites an organic pipeline of ~$750 million (up ~$50M since May) with ~ $200 million of that now showing initial orders expected to convert over the next five years.

Loar Holdings Inc. Financial Statement Overview

Summary
Strong revenue scale-up and profitability improvement, supported by robust and improving operating cash flow and free cash flow. The main offset is balance-sheet consistency risk, with an extreme reported debt shift in TTM versus prior years that warrants confirmation of capital structure sustainability.
Income Statement
78
Positive
Balance Sheet
66
Positive
Cash Flow
81
Very Positive
BreakdownTTMDec 2025Mar 2025Dec 2023Dec 2022
Income Statement
Total Revenue586.17M496.28M402.82M317.48M239.43M
Gross Profit305.86M261.32M198.82M154.26M111.50M
EBITDA192.89M157.24M124.24M107.52M73.42M
Net Income68.00M72.15M22.23M-4.62M-2.47M
Balance Sheet
Total Assets2.33B2.03B1.45B1.05B994.52M
Cash, Cash Equivalents and Short-Term Investments122.43M84.83M54.07M21.49M35.50M
Total Debt964.85M725.29M286.43M545.48M496.44M
Total Liabilities1.13B855.12M362.11M632.30M572.55M
Stockholders Equity1.20B1.17B1.09B418.14M421.97M
Cash Flow
Free Cash Flow106.04M99.26M46.10M679.00K5.34M
Operating Cash Flow121.32M112.28M54.97M12.81M13.27M
Investing Cash Flow-772.97M-520.88M-392.13M-72.56M-181.83M
Financing Cash Flow671.14M439.23M370.02M45.72M135.31M

Loar Holdings Inc. Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price70.89
Price Trends
50DMA
73.11
Negative
100DMA
67.31
Positive
200DMA
67.60
Positive
Market Momentum
MACD
0.96
Positive
RSI
48.32
Neutral
STOCH
44.43
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LOAR, the sentiment is Neutral. The current price of 70.89 is below the 20-day moving average (MA) of 73.14, below the 50-day MA of 73.11, and above the 200-day MA of 67.60, indicating a neutral trend. The MACD of 0.96 indicates Positive momentum. The RSI at 48.32 is Neutral, neither overbought nor oversold. The STOCH value of 44.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for LOAR.

Loar Holdings Inc. Risk Analysis

Loar Holdings Inc. disclosed 49 risk factors in its most recent earnings report. Loar Holdings Inc. reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Loar Holdings Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
$7.10B46.2911.41%0.63%4.63%84.70%
72
Outperform
$7.03B101.005.77%29.76%51.88%
72
Outperform
$5.25B24.174.44%11.44%291.35%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
59
Neutral
$5.49B-177.48-2.01%7.85%22.99%
54
Neutral
$7.08B180.319.42%50.23%365.67%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
LOAR
Loar Holdings Inc.
72.72
0.27
0.37%
HXL
Hexcel
92.57
29.53
46.84%
MRCY
Mercury Systems
89.59
21.95
32.45%
AMTM
Amentum Holdings, Inc.
20.06
-5.08
-20.21%
KRMN
Karman Holdings Inc.
51.37
-3.32
-6.07%

Loar Holdings Inc. Corporate Events

Executive/Board ChangesShareholder Meetings
Loar Holdings Shareholders Endorse Board, Pay, and Auditor
Positive
Jun 4, 2026
On June 2, 2026, Loar Holdings Inc. shareholders re-elected directors Raja Bobbili, Alison Bomberg, and Margaret (Peg) McGetrick at the company’s annual meeting, reinforcing continuity in board oversight. Investors also ratified the appointm...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 06, 2026