StandardAero: Engine Aftermarket Growth Is Attractive

I assign a buy rating to StandardAero, driven by robust aftermarket demand and strategic positioning on LEAP and CFM56 engine platforms. SARO benefits from industry-wide aircraft delivery constraints, aging fleets, and surging maintenance demand, supporting a long-term growth runway. Component Repair’s high margins (29.2% in Q1 2026) and >$500 million investment since 2017 enhance SARO’s profitability and competitive advantage. Valuation is attractive at ~$38/share based on 2028E EBITDA, with margin expansion and earnings growth expected as LEAP and CFM56 ramp up.

I give a buy rating for StandardAero ( SARO ). SARO has an aftermarket platform that can turn LEAP and CFM56, and Component Repair volume into earnings growth, and I am confident of this because SARO has specific engine platforms, repair capability, and