Eve Holding stock rating reiterated at Overweight by Cantor Fitzgerald

Published 23/06/2025, 13:00
Eve Holding stock rating reiterated at Overweight by Cantor Fitzgerald

Investing.com - Cantor Fitzgerald maintained its Overweight rating and $5.00 price target on Eve Holding Inc. (NYSE:EVEX) on Monday, below the current trading price of $5.26. The firm cited the company’s large and diversified customer order pipeline, which now exceeds 2,900 orders. According to InvestingPro data, analyst targets range from $5.00 to $8.00, suggesting potential upside.

The research firm highlighted Eve Holding’s relationship with Embraer as a key advantage for the company. This backing provides Eve with support in manufacturing and aircraft certification processes, as well as access to financial resources. InvestingPro data shows Eve maintains strong liquidity with a current ratio of 3.6x and holds more cash than debt on its balance sheet.

Cantor Fitzgerald noted that Eve’s connection to Embraer results in lower capital expenditures and reduced cash burn compared to industry peers. This financial efficiency represents a significant competitive advantage in the developing electric vertical takeoff and landing (eVTOL) market. While the stock has seen a 9.3% decline over the past week, it maintains a strong 27.4% return over the past year.

The firm expressed encouragement regarding Eve’s recent progress in its development timeline. Cantor Fitzgerald expects Eve to achieve its first certification in Brazil before expanding to other markets.

Eve Holding’s business model, which includes services and maintenance offerings for the industry, was identified as another differentiating factor that supports the Overweight rating. This approach provides potential revenue streams beyond aircraft sales.

In other recent news, Eve Air Mobility announced significant advancements in its electric vertical take-off and landing (eVTOL) aircraft program, with design refinements and testing progress. The company plans to begin its first flight tests this summer, featuring updates like an optional wheeled landing gear and a reconfigurable cabin. In financial developments, Eve Holding received a non-repayable grant of up to $15.8 million from Brazil’s FINEP, aimed at advancing its autonomous flight system and enhancing its TechCare platform. Meanwhile, Cantor Fitzgerald has maintained an Overweight rating with a $5.00 price target for Eve Holding, while H.C. Wainwright increased its price target from $6.00 to $8.00, maintaining a Buy rating. Jefferies also raised its price target to $7.00 from $6.00, citing insights from their eVTOL Summit and Eve Holding’s backlog of approximately 2,800 eVTOL aircraft. The company concluded the first quarter of 2025 with $411 million in available liquidity, which is expected to support operations through 2026. These developments reflect Eve Holding’s strategic moves in the urban air mobility sector, supported by significant financial backing and positive analyst ratings.

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