Aug. 12 at 8:50 PM
B. Riley highlighted VSE Corporation as a top investment opportunity in the aerospace and defense sector, maintaining a Buy rating and a
$270 price target. The firm named VSE its Top Idea at its May conference, citing strong execution, acquisitions and market-share gains across aviation MRO and defense markets.
VSE reported record Q2 revenue of
$449.1 million, up 65% year-over-year, driven by roughly 14% organic growth and recent acquisitions. Adjusted EBITDA reached a record
$86 million, up 98%, while margins expanded 320 basis points to 19.2%. Growth was supported by strong commercial engine aftermarket activity, new contracts, distribution deals, expanded repair capabilities and recent acquisitions of PAG, Aero 3 and NorthStar.
The
$2.03 billion PAG acquisition, completed May 5, significantly expanded VSE’s global scale and capabilities across commercial, business and general aviation, rotorcraft.
$VSEC