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B
Review of Magellan Aerospace Corporation
DEC 10, 2024 - MAL is one of the few aerospace names with earnings and share prices that have not passed the 2019 levels yet. However, we think the recent improvement in revenue growth and earnings is quite positive for the company’s prospects going forward. MAL is still trading at a reasonable valuation compared to its historical averages and growth prospects; we think the company can continue to improve its organic growth profile and operational efficiency, as well as start to return capital to shareholders (either buyback or dividends). The share price could see a multiple re-rate from here
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5i Recent Questions
Q: Finally back even with MAL after 3+ yrs ...... hold or sell ?
Q: I have noticed MAL stock price moving upward a bit. I am seeing a $16 price target. I've been waiting patiently for this stock to recover so I can sell it, since it cut it's dividend. What is your 6-12 month outlook on it? I bought it just under $10 - would you continue to wait until I can realize my price, even make a small profit or sell? Thanks so much.
Q: I'm thinking of replacing my MAL shares with MDA for about a 2 to 2.5% position . { MAL is currently 1% so it would be a position size increase but still on the small side } ..... I notice the market cap of MDA is three times the size of MAL as well ..... It looks to me like MAL is a recovery play and MDA is a growth play. Could 5i give me a brief outlook on the short term and long term prospects of both and your preference between the two companies ? And whether a term I often see 5i use is applicable here ? The term is " We do not see it as need to own " ...... Thankyou for your terrific service .....
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