Loar (NYSE:LOAR) & CPI Aerostructures (NYSE:CVU) Critical Survey

Loar (NYSE:LOAR) and CPI Aerostructures (NYSE:CVU) are both aerospace companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, profitability, earnings, valuation, dividends, institutional ownership and risk.

Profitability

This table compares Loar and CPI Aerostructures’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Loar	N/A	N/A	N/A
CPI Aerostructures	20.63%	13.98%	4.61%

Institutional and Insider Ownership

26.0% of CPI Aerostructures shares are held by institutional investors. 8.5% of CPI Aerostructures shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Loar and CPI Aerostructures, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Loar	0	1	3	0	2.75
CPI Aerostructures	0	0	0	0	0.00

Loar presently has a consensus price target of $85.50, suggesting a potential upside of 17.40%. Given Loar’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Loar is more favorable than CPI Aerostructures.

Earnings & Valuation

This table compares Loar and CPI Aerostructures”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Loar	$378.81 million	17.25	N/A	N/A	N/A
CPI Aerostructures	$82.81 million	0.61	$17.20 million	$1.37	2.82

CPI Aerostructures has lower revenue, but higher earnings than Loar.

About Loar

Loar Holdings Inc., through its subsidiaries, designs, manufactures, and markets aerospace and defense components for aircraft, and aerospace and defense systems in the United States and internationally. It offers products in various categories, which include airframe components, structural components, avionics, composites, braking system components, de-ice and ice protection, electro-mechanical, engineered materials, flight controls, fluid and motion controls, environmental, metal forming, molded components, and restraints and safety devices. The company also provides auto throttles, lap-belt airbags, two-and three-point seat belts, water purification systems, fire barriers, polyimide washers and bushings, latches, hold-open and tie rods, temperature and fluid sensors and switches, carbon and metallic brake discs, fluid and pneumatic-based ice protection, RAM air components, sealing solutions, actuation devices, and others. It primarily serves commercial, business jet and general aviation, and defense markets. Loar Holdings Inc. was founded in 2017 and is headquartered in White Plains, New York.

About CPI Aerostructures

CPI Aerostructures, Inc. engages in the contract production of structural aircraft parts for fixed wing aircraft and helicopters in the commercial and defense markets. The company offers aerostructure and aerosystem assemblies, including new production and repair/overhaul of fielded wing structures and other control surfaces, rudder island, engine inlets/nacelles, engine exhaust manifolds, aircraft doors and windows, aircraft steps and racks, other aircraft secondary structures, airborne pod structures and integration of internal systems, radar housing structures, panel assemblies, and mechanical door locking and canopy lifting systems. It provides diameter tube bending, such as complex ducts and tubes in steel, aluminum, titanium, and nickel alloys; fusion welded fluid tanks, and resistance welding for spot and seam; wire harnesses; and power control, fuel management, power distribution, and fully integrated electrical control systems, as well as enclosures. In addition, the company offers engineering, program and supply chain management services, kitting contracts, and maintenance repair and overhaul services. The company was formerly known as Consortium of Precision Industries, Inc. and changed its name to CPI Aerostructures, Inc. in July 1992. CPI Aerostructures, Inc. was incorporated in 1980 and is headquartered in Edgewood, New York.