What Happened
Post-IPO Selloff Creates Entry Point For Investors
Applied Aerospace & Defense, Inc. (AADX) has seen its stock price decline by 37% since its initial public offering (IPO) in June, potentially creating a buying opportunity for investors. The company’s Q2 revenue grew 47% year-over-year, with a $1.13 billion backlog, but its margin expansion and positive cash flow depend on successful program ramps. The analyst’s Buy rating and $20.75 price target are based on the expectation of substantial cash flow inflection and margin improvement in 2025. This analysis was first reported by Seeking Alpha.