Jefferies initiates coverage on AAR Corp with 'buy' rating

Jefferies initiates coverage on aerospace & defense firm AAR Corp AIR.N with "buy" rating, price target of $100

PT represents an upside of 22.7% from stock's last close

Brokerage says AAR's transformed from a new and used aircraft parts supplier into a full-service aviation aftermarket portfolio, offering airframe maintenance, repair and overhaul, enabled by intellectual property stack and recurring software solutions

Jefferies notes that AAR’s shift into higher-margin, predictable channels reinforces confidence in its projected 11% compound annual growth rate (CAGR) through 2028

Average rating of six brokerages is "buy" or higher; their median PT is $90, according to data compiled by LSEG

As of last close, shares up 33% YTD