Due to the Covid-19 pandemic and government lockdowns, aircraft have been grounded for many months. Although restrictions have eased and flights have resumed, airlines are still not utilising their full fleets. With that in mind, it’s not surprising that aviation stocks on the FTSE have taken a huge hit. However, with the beginning of a recovery finally in sight, I’m starting to look at interesting opportunities in the aviation industry.
One stock I like the look of is Meggitt Group (LSE:MGGT).
FTSE 250 opportunity
Meggitt Group is an engineering firm that operates in three divisions: civil aerospace, defence, and energy. Aerospace produces core components that many aircraft rely on. MGGT’s markets for aerospace include civil aircraft, helicopters, engines, and business jets. Over 50% of the group’s revenue comes from its aerospace division. Defence is the second biggest revenue generator for MGGT, with over 30% from military aircraft, vehicles, naval, … Read more