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Why Heico Stock Zoomed Nearly 6% Higher Today
The Motley Fool· 2025-12-19 22:48
Core Insights - Heico achieved record-breaking fiscal fourth-quarter results, leading to a nearly 6% increase in stock price [1] - The company reported net sales of $1.21 billion, a 19% year-over-year increase, and net income of $188 million, a 35% increase [2] - Both net sales and net income exceeded analyst estimates, with net sales surpassing expectations of $1.17 billion and GAAP net profit exceeding $1.21 per share [4] Financial Performance - Heico's flight support group saw net sales increase by nearly 21% year-over-year to over $834 million, while the electronic technologies group improved by 14% to almost $385 million [4] - The company's gross margin stands at 42.23%, with a market capitalization of $43 billion [6] Growth Drivers - The improvements in performance are attributed to a combination of organic growth and contributions from recent acquisitions, such as the purchase of Gables Engineering [6] - Heico operates in high-growth sectors, particularly aerospace, which enhances its business appeal [7]