Precision Castparts Corp. (NYSE:PCP)
A manufacturer of complex metal components and products, provides high-quality investment castings, forgings and fasteners/fastener systems for critical aerospace and industrial gas turbine applications.
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Doing the right things at the right time
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fast growth with lean management
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Doing really well, but I'll fade the rally as slightly overdone in the face of a likely 2007 soft landing economy and a tougher sell in Congress for the Pentagon's pet projects. Both eventually trickle down, and PCP's valuation is extended. Very risky -- they've done great. CAPS design agitates for the guesstimate technique, though, given its focus on pick breadth over quality and addlepated "accuracy" metric.
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specialty metals parts mfr...accelerating revs and earnings in all segments....specialty metals is strong growth in 07...
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Aerospace suppliers such as this are reaping the new aircraft market build-out, and, will make more profit on selling aftermarket spare parts later to airlines.
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dominant player in most of its business lines
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High quality cast parts. Is a well positioned defense contractor.
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Well run company and has several months of backlog in terms of airplane parts...industry outlook is very good for next 12-24 months.
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Still riding the back of a longer and stronger commercial aerospace cycle than is priced into the stock. Relentless margin improvement.
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They have a near monopoly on casting titanium, which is essential for aircraft, jet engine fan frames.
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Very impressive charting
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Precision is running flat out and has recently bought land to build more capacity. Even tho' somewhat tied to BA, it is diversifying into the gas turbine business.
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makes the components for airplane manufacturers. Has worked well for me so far.
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Aggressive, well thought out acquisition strategy will continue to grow this business.
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