Montana Aerospace's ROCE: The company has a return on capital employed (ROCE) of 7.6%, which is below the Aerospace & Defense industry average of 11%, but shows improvement from previous losses.
Capital Utilization: Montana Aerospace is utilizing 54% more capital than five years ago, indicating opportunities for internal investment and potential for long-term growth.
Profitability and Growth: The company has transitioned from generating losses to profitability, with a solid 69% return to shareholders over the past three years, suggesting positive recognition from investors.
Cautionary Notes: Despite the positive trends, there are two warning signs identified for Montana Aerospace, one of which is significant, warranting further research into the company's future prospects.
Wall Street analysts forecast AERO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AERO is 29.79 USD with a low forecast of 25.00 USD and a high forecast of 36.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
7 Analyst Rating
Wall Street analysts forecast AERO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AERO is 29.79 USD with a low forecast of 25.00 USD and a high forecast of 36.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
7 Buy
0 Hold
0 Sell
Strong Buy
Current: 20.450
Low
25.00
Averages
29.79
High
36.00
Current: 20.450
Low
25.00
Averages
29.79
High
36.00
Evercore ISI
Duane Pfennigwerth
Outperform
initiated
$36
2025-12-17
Reason
Evercore ISI
Duane Pfennigwerth
Price Target
$36
AI Analysis
2025-12-17
initiated
Outperform
Reason
Evercore ISI analyst Duane Pfennigwerth initiated coverage of Grupo Aeromexico with an Outperform rating and $36 price target, arguing that shares present "a compelling opportunity." As the sole full-service carrier in Mexico, Grupo Aeromexico stands out in a market ripe for recovery and growth, "akin to an earlier-stage Delta Airlines," the analyst tells investors.
Deutsche Bank
initiated
$25
2025-12-17
Reason
Deutsche Bank
Price Target
$25
2025-12-17
initiated
Reason
Deutsche Bank initiated coverage of Grupo Aeromexico with a Buy rating and $25 price target. The firm says the company is Mexico's most profitable and only full service airline with a leading share in the majority of its key markets. Aeromexico has strong free cash flow generation supported by low costs, diversified revenues, and a restructured balance sheet, the analyst tells investors in a research note. Deutsche sees "significant" growth potential across all of the company's major operating segments including air, loyalty, and other ancillaries.
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Barclays
Pablo Monsivais
Overweight
initiated
$27
2025-12-17
Reason
Barclays
Pablo Monsivais
Price Target
$27
2025-12-17
initiated
Overweight
Reason
Barclays analyst Pablo Monsivais initiated coverage of Grupo Aeromexico with an Overweight rating and $27 price target. The firm says the company's "strong" slot position at the Mexico City airport and "leaner" cost structure post restructuring will support "robust" cash flow. Aeromexico offers a "compelling investment case" given its solid industry fundamentals and discounted valuation, the analyst tells investors in a research note.
Morgan Stanley
Jens Spiess
Overweight
initiated
$30
2025-12-17
Reason
Morgan Stanley
Jens Spiess
Price Target
$30
2025-12-17
initiated
Overweight
Reason
Morgan Stanley analyst Jens Spiess initiated coverage of Grupo Aeromexico with an Overweight rating and $30 price target. The firm thinks the company's earnings potential is being underappreciated by the market. Aeromexico trades at a discount to its full-service peers, which is unwarranted, given the airline's profitability will expand next year as demand recovers and the "premiumization" trend continues, the analyst tells investors in a research note.
About AERO
Grupo Aeromexico SAB de CV is a Mexican holding company primarily engaged in the provision of passenger and cargo air transport services. The Company offers destinations in Mexico, the United States, Europe, Central and South America, Asia and Canada. The Company operates a fleet of over 110 aircrafts. It is primarily engaged in the passenger transportation segment, comprising regional, domestic and international routes, and package holidays; as well as in cargo transportation segment.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
