Magellan Aerospace: Here's Why Commercial And Defense Growth Still Justify A Strong Buy

Magellan Aerospace remains a Strong Buy, with 24% upside to a $31.39 price target justified by robust commercial and defense tailwinds. MAL benefits from rising aircraft production rates, elevated defense spending, proprietary manufacturing, and exposure to key programs like the Boeing 737 MAX and F-35. Recent Q1 results showed 9.3% revenue growth, 20.4% gross profit growth, and margin expansion to 13%, driven by favorable mix, pricing, and operating leverage. Valuation at 13.5x EV/EBITDA reflects peer growth drivers and a transition to net cash, with further upside possible if capital returns increase.