AAR Corp. price target raised to $86 from $81 at Stifel

Stifel raised the firm’s price target on AAR Corp. to $86 from $81 and keeps a Buy rating on the shares. Shares have underperformed the broader aerospace aftermarket group over recent months, with the primary driver having been a lagging government business that’s weighed on total organic growth and continues to be a headwind, the analyst tells investors. However, the extending commercial aero aftermarket cycle, paired with sequential improvement in the government business, could yield a strong growth setup for FY25 with likely spillover into FY26, the analyst added.