Melrose has received a bullish annual result preview from analysts at JP Morgan, sending the share price up by almost 5%.
Over twelve months, the shares are up almost 90% but the US bank expects good news to keep coming for the aircraft parts maker and has labelled Melrose a top pick for 2024.
“Given the momentum in the business seen through 2023, we expect Melrose to meet the top-end of the 2023 guidance (at least) and raise the 2024 guidance to be ahead of consensus expectations at the Prelims.
“Melrose remains a key pick for us in 2024; an aerospace pure-play with a credible margin story, further upside to forecasts and a sizeable buy-back supporting the shares.
JP Morgan added it has placed Melrose on Positive Catalyst Watch into the preliminary numbers due on 7 March with an unchanged June 2025 Price Target of 620p.
Shares were 581.6p, up 24.2p today.