3 Top Aerospace Stocks Ready for a Bull Run
Instead of thinking about commercial aviation as a damaged industry suffering high sensitivity to potential resurgences of COVID-19 cases, it's better to think of it as an industry making a multi-year recovery. Of course, the industry won't recover in a straight line, and investors will have to tolerate negative news flow from time to time. Still, stocks like Raytheon Technologies (NYSE: RTX), AAR Corp (NYSE: AIR), and Hexcel (NYSE: HXL) are all excellent ways to play the recovery. Here's why.
The aviation market can be considered two separate markets, split into two highly connected submarkets. First, there's defense and commercial aviation, and within these two markets, there's the original equipment market (OEM) and the aftermarket.
Commercial aviation got hit hard by the pandemic, and all three of these companies leaned into their defense and space businesses during the worst periods of the pandemic. That said, the industry dynamics right now are fascinating. The key points can be summarized as follows.
Source Fool.com
