Subsidiaries of Spirit AeroSystems (SPR) and Albany International (AIN) have teamed up to enhance their hypersonic capabilities and create a premium range of technical and industrialized solutions.
Spirit AeroSystems, Inc. is a manufacturer of aerostructures for commercial airplanes, defense platforms, and business/regional jets. (See SPR stock charts on TipRanks)
Albany International is an industrial goods company that develops and manufactures engineered components.
The composites capabilities of both companies complement each other and will lead to the development of a superior range of scalable, flexible and low-cost thermal protection systems solutions for the hypersonic market.
Furthermore, the combination will lead to improved response time, higher output, lower wastage, and reduced costs.
Mark Miklos, VP of Hypersonic Solutions at Spirit, commented, “The biggest challenge facing the Department of Defense and primes in hypersonic programs is the need for scalable and affordable thermal protection systems that can be tailored to each mission and optimized for performance.”
He further added, “This collaboration enables elegant technical solutions while reducing the risk in accelerating program timelines and scaling to production.”
Greg Harwell, President of Albany Engineered Composites, commented, “By working together and leveraging our proprietary technologies and state-of-the-art manufacturing processes, Spirit and Albany Engineered Composites are expected to achieve superior hypersonic design solutions not possible before this collaboration launched…These synergies should assist with eliminating a serious market constraint and will deliver better results.”
Susquehanna analyst Charles Minervino recently maintained a Buy rating and the price target of $60 (33% upside potential) on the stock.
Minervino has increased his estimates based on the strong rebound in the narrow-body aircraft market. He expects the strong demand momentum to continue going forward as more countries reopen.
Overall, the stock has a Strong Buy consensus rating based on 6 Buys and 2 Holds.
The average Spirit AeroSystems price target of $55.75 implies 23% upside potential from current levels. Shares of SPR have jumped 107% over the past year.
TELUS International Snaps Up Playment
Talos Disappointed as SENER Chooses Pemex to Operate ZAMA Oilfield
GOL Linhas Reports Record Preliminary Air Traffic Figures for June 2021