Spirit AeroSystems a turnaround story with potential path to $50 - Baird

investing.com:

Baird upgraded shares of Spirit AeroSystems (NYSE:SPR) to Outperform from Neutral in a note Thursday, with analysts lifting the price target on the stock to $36 from $30 per share.

The firm stated that one of the reasons for the upgrade is the fact they believe the progress of SPR's CEO warrants backing.

«We are upgrading SPR to Outperform and are increasing our price target to $36 with various catalysts still in play near term with 2024 representing a cleaner story with improved unit economics on BA programs,» wrote the analysts.

«New interim CEO, Pat Shanahan is wasting no time in tackling high-urgency problem areas within SPR, setting up 2024 as an execution year and improved financial performance,» they added.

Baird believes that revising the Airbus production contract is the likely next catalyst for SPR, which is expected by February 2024. Analysts claimed the company is a «turnaround story with a potential path to $50+.»