Added to YB: 2026-08-21
Pitch date: 2026-06-09
MRO.L [bullish]
Melrose Industries PLC
+5.51%
current return
Author Info
No bio for this author
Company Info
Melrose Industries PLC, together with its subsidiaries, designs and delivers aerospace components and systems for civil and defence markets in the United Kingdom, rest of Europe, North America, and internationally.
Market Cap
GBP 6.0B
Pitch Price
GBP 4.51
Price Target
878.00 (+18063%)
Dividend
1.49%
EV/EBITDA
11.84
P/E
38.00
EV/Sales
2.10
Sector
Aerospace and Defense
Category
value
Melrose Industries PLC - $MRO.L
MRO.L: UK aerospace pure-play (70% civil/30% defence) w/ misunderstood RRSP accounting creating cheap entry. Trades 11x P/E, 8x EBITDA (lowest ever). FCF at inflection: £125m→£600m by 2029 as GTF fleet harvests. Adj EBITDA ~40% lower, FCF 10-20% lower on RRSP/factoring. Catalysts: buyback pause, factoring freeze, CFO investor day. ~100% upside, mid-20s IRR at 14x 2029 EBITDA; 30%+ SOTP. Risks: factoring overhang, inventory, Garden Grove F-35 canopy incident.
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