5 Best Aerospace Stocks to Buy Now

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1. Transdigm Group Inc (NYSE:TDG)

No of HFs: 64

Total Value of HF Holdings: $6.12 Billion

TDG tops the list of 10 best aerospace stocks to buy now. The top hedge fund holder of this stock is Chase Coleman and Feroz Dewan’s Tiger Gobal Management LLC which had $834 million invested in the stock at the end of September. An insider recently purchased 1 share at around $600 in December 2020. The stock is up 0.8% since then. Vulcan Value Partners mentioned TDG in its Q2 2020 investor letter:

“TransDigm Group Inc. is an aerospace manufacturing firm that provides highly engineered, niche components for use on commercial and military aircraft. The vast majority of the company’s profits come from aftermarket sales. Most of its products are small volume, low cost items that are sole sourced from TransDigm. It is economically unlikely for a new company to compete on any particular product because volumes on individual components are not large enough to justify the investment in manufacturing facilities and regulatory approval. The company produces high levels of free cash flow, has long equity duration, a strong business model, and an effective, shareholder-oriented management team who are good capital allocators.”

TransDigm Group Incorporated (NYSE:TDG)

Please also see Top 10 Robotics and Artificial Intelligence Stocks to Buy and Top 10 Earnings Growth Stocks with Dividends for 2021

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