Loar (NYSE:LOAR) Shares Gap Up – Still a Buy?

Shares of Loar Holdings Inc. (NYSE:LOAR) gapped up before the market opened on Monday. The stock had previously closed at $62.11, but opened at $65.41. Loar shares last traded at $67.0190, with a volume of 225,630 shares.

Analyst Upgrades and Downgrades

A number of brokerages recently weighed in on LOAR. Zacks Research lowered Loar from a “strong-buy” rating to a “hold” rating in a research report on Friday, October 9th. Weiss Ratings reiterated a “hold (c)” rating on shares of Loar in a research note on Tuesday, October 6th. Morgan Stanley decreased their target price on Loar from $82.00 to $72.00 and set an “equal weight” rating for the company in a research report on Friday, October 16th. Jefferies Financial Group restated a “buy” rating and issued a $88.00 target price on shares of Loar in a report on Sunday, August 9th. Finally, Royal Bank Of Canada upped their price objective on shares of Loar from $80.00 to $85.00 and gave the stock an “outperform” rating in a research report on Friday, August 7th. Four equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $86.00.

Loar Price Performance

The business’s 50 day moving average is $64.81 and its two-hundred day moving average is $66.67. The company has a debt-to-equity ratio of 0.79, a current ratio of 4.91 and a quick ratio of 3.24. The firm has a market capitalization of $6.42 billion, a PE ratio of 95.12 and a beta of 0.63.

Loar (NYSE:LOAR) last announced its quarterly earnings data on Thursday, August 6th. The company reported $0.38 earnings per share for the quarter, beating analysts’ consensus estimates of $0.31 by $0.07. The company had revenue of $171.58 million for the quarter, compared to analysts’ expectations of $162.80 million. Loar had a return on equity of 9.37% and a net margin of 11.60%. Loar’s revenue for the quarter was up 39.4% compared to the same quarter last year. During the same period last year, the firm posted $0.23 EPS. Loar has set its FY 2026 guidance at 1.320-1.360 EPS. As a group, research analysts anticipate that Loar Holdings Inc. will post 1.20 EPS for the current year.

Institutional Trading of Loar

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in LOAR. Wellington Management Group LLP increased its stake in Loar by 14.5% during the second quarter. Wellington Management Group LLP now owns 4,063,339 shares of the company’s stock worth $327,546,000 after acquiring an additional 514,061 shares during the last quarter. Bank of New York Mellon Corp raised its stake in Loar by 837.1% in the first quarter. Bank of New York Mellon Corp now owns 933,216 shares of the company’s stock valued at $53,464,000 after buying an additional 833,626 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in Loar by 17.4% in the 1st quarter. Dimensional Fund Advisors LP now owns 747,351 shares of the company’s stock worth $42,806,000 after purchasing an additional 110,864 shares in the last quarter. Spyglass Capital Management LLC raised its stake in Loar by 4.7% in the 2nd quarter. Spyglass Capital Management LLC now owns 611,657 shares of the company’s stock worth $49,306,000 after acquiring an additional 27,524 shares during the last quarter. Finally, Janus Henderson Group PLC increased its holdings in Loar by 54.0% in the 1st quarter. Janus Henderson Group PLC now owns 411,900 shares of the company’s stock worth $23,598,000 after buying an additional 144,375 shares during the period.

About Loar

Loar Holdings Inc is an aerospace and defense company that designs, manufactures and sells highly engineered, mission-critical components and systems. Its products are used in commercial and military aircraft, business jets, general aviation, space vehicles and other defense applications.

The company’s product portfolio includes specialized components such as shock absorbers, vibration-control products, elastomeric components, seals, electronic systems and other aircraft and defense parts.