TSX lower after index logs fresh record closing high
Investing.com - UBS has upgraded Airbus (AIR:FP) (OTC:EADSY) from Neutral to Buy and raised its price target to EUR220.00 from EUR180.00, citing improvements in the aircraft manufacturer’s supply chain strategy.
The investment bank believes Airbus’s revised approach of providing more support to its supply chain is already yielding results in the form of increased aircraft production rates.
UBS projects that Airbus could deliver 945 aircraft in 2026, exceeding the consensus expectation of approximately 915 units, with investor expectations likely even lower.
For the longer term, UBS models a peak A320neo delivery rate of 85 aircraft in 2031, compared to Airbus’s own guidance of production rate 75 in 2027, suggesting further potential upgrades to peak delivery rates.
While UBS acknowledges near-term risks, particularly regarding 2025 delivery guidance, it concludes that medium and long-term opportunities outweigh these concerns.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.