Spirit AeroSystems Holdings, Inc. (SPR)

Spirit AeroSystems is not as dependent upon Boeing as many think. Here is a list of SPR projects. This list is taken from the SPR website. SPR has only been publicly traded for a few years - and these have been tough years for the aviation business. I believe that better times are ahead.

787 development
5,000th 737
First 787 assembly
787 leading edges
Wing control surfaces for most Boeing commercial programs
AWACS Radome
AC-130U Gunship
UCAV X45C
Boeing 767 and 777 structures
Raytheon Hawker 800XP
Airbus A320, A330, A340 and A380
Airbus 350 XWB fuselage structures and wing leading edges
Cessna Citation Columbus fuselage and empennage
Gulfstream G250 wings
Gulfstream G650 wings
Mitsubishi Regional Jet pylons
Rolls-Royce BR725 nacelle systems

Low relative PE, good star ranking, PEG & 09 PE still below normal - bottom fishing 7/27 picks (late getting them in this week).

hidden gem

Spun off from Boeing. Makes fuselage, wings, and propulsion. With 787 nearing production, this is an indirect play on the 787.

I suspect this major supplier of aircraft systems will outperform the S&P in the coming years.

The industry allows for plenty of growth, It's price is low considering it's mostly healthy balance sheet and earning potential, and management is responsible.

Still a gamble in my book, but a lot of potential, unfortunately it hinges on a volatile aircraft and airline industries.

undervalued!

HG Track 1/27/09

As a former aerospace engineer I feel compelled to show some affection for this branch of industry and support them. I know the job market currently is in the dumps for automotive engineers but it's all guns blazing on the aero side just now! I expect an increase in the share price as it's been beaten below ½ it's 52 week high.

Based on HG pick.

I added this by mistake....

beat donw stock with a ton of parts to build for its customers that are all based on future orders. Spirit will be getting paid.

the only negative is theoverall economy and order cancellations. But then in that case were all hosed

Speculative - Technicals/Fundamentals look good.

https://www.schwab.wallst.com/schwab/directreport/report.asp?YYY101_z7WXf2Es8/yf11iodbci5/Z/VdnW4EUJbH9Q8snF4fflVsUcGmRSdnoFGsmVIV6IkPnNjlmWCwT1l3uDOxxv3dyz0qn2NB8C

"Reflecting increased caution over commercial aero fundamentals driven by slowing GDP growth, consumer spending pressures and airline ticket price rises, we have materially reduced assumptions for air traffic growth. We now believe global air traffic growth could slip into negative territory in 2009 and reflecting this we have cut OE delivery forecasts, now expecting a delivery peak in 09 vs. our prior assumption of 2010. Reflecting this, our Airbus and Boeing (NYSE: BA) delivery forecasts have been cut 13% in 2010 driving a 11% cut to SPR's 2010 EPS."

short fun -

Planes are aging Spirit builds the cores and is also diversified in its customer base covering the BA giant to Cessna on the BJ side

This stock along with the rest of the defense sector is heading higher. Say hello to investors and money managers looking to survive a recession this summer by jumping into defense. Learn to follow the crowd (mutual funds and such)--it consistantly weathers better than navigating against the grain.

Has contracts with Boeing for several years out.

With their contrat with Boeing for their 787, Spirit will have plenty of income over the next few years. However, I believe they use Accrual basis accounting, so they might have already counted thsee chickens before the eggs hatched.