StandardAero: Up 19% Since My Last Article, And I'm Cutting My Rating
Seeking Alpha downgraded StandardAero from A- (Strong Buy) to B- (soft Buy) at $25.50 and set a $29.50 price target. Engine Services margins and earnings guidance improved, while Component Repair underperformed and contract assets continued to build; the thesis centers on Q4 free cash flow delivery and reducing contract assets.
Why it matters — SARO watchers may focus on whether Q4 free cash flow and contract asset trends support the company’s improved guidance and outlook.