HEICO (HEI – Research Report), the Industrials sector company, was revisited by a Wall Street analyst today. Analyst Sheila Kahyaoglu from Jefferies maintained a Buy rating on the stock and has a $305.00 price target.
Sheila Kahyaoglu’s rating is based on HEICO’s strong organic growth and strategic acquisitions. The company demonstrated significant organic growth in its Flight Support Group (FSG) and Electronic Technologies Group (ETG), with FSG showing a 13% increase driven by aftermarket replacement parts and repair services, and ETG growing 11% organically, primarily due to defense and space sectors.
Additionally, HEICO’s strategic acquisitions, totaling $255 million in the first fiscal quarter, further bolster its growth potential. These acquisitions, combined with the company’s focus on expanding its Defense PMA opportunities, which could add 3% to earnings per share, contribute to the positive outlook. The company’s efficient use of resources and improved profitability margins also support the Buy rating, indicating a promising future performance.
In another report released on March 5, Truist Financial also reiterated a Buy rating on the stock with a $294.00 price target.