LOAR

Company Overview — What Does Loar Holdings Inc. Do?

We specialize in the design, manufacture, and sale of niche aerospace and defense components that are essential for today’s aircraft and aerospace and defense systems. Our focus on mission-critical, highly engineered solutions with high-intellectual property content resulted in approximately 85% of our 2023 net sales being derived from proprietary products where we believe we hold market-leading positions. Furthermore, our products have significant aftermarket exposure, which has historically generated predictable and recurring revenue. We estimate that 52% of our 2023 net sales were derived from aftermarket products. The products we manufacture cover a diverse range of applications supporting nearly every major aircraft platform in use today and include auto throttles, lap-belt airbags, two- and three-point seat belts, water purification systems, fire barriers, polyimide washers and bushings, latches, hold-open and tie rods, temperature and fluid sensors and switches, carbon and metallic brake discs, fluid and pneumatic-based ice protection, RAM air components, sealing solutions and motion and actuation devices, among others. We primarily serve three core end markets: commercial, business jet and general aviation, and defense, which have long historical track records of consistent growth. We also serve a diversified customer base within these end markets where we maintain long-standing customer relationships. We believe that the demanding, extensive and costly qualification process for new entrants, coupled with our history of consistently delivering exceptional solutions for our customers, has provided us with leading market positions and created significant barriers to entry for potential competitors. By utilizing differentiated design, engineering, and manufacturing capabilities, along with a highly targeted acquisition strategy, we have sought to create long-term, sustainable value with a consistent, global business model. Our ability to deliver high-quality solutions stems from management’s extensive industry experience and their long history of creating value across multiple businesses. Prior to the formation of Loar, Chief Executive Officer and Co-Chairman Dirkson Charles, Chief Financial Officer Glenn D’Alessandro, and VP & General Counsel Michael Manella helped lead K&F through 17 years of sustained success, including its initial public offering and ultimate sale to Meggitt plc (now part of Parker-Hannifin Corporation). The team, building upon its proven ability to create value, subsequently worked together at McKechnie until its 2010 sale to TransDigm. During their tenure at McKechnie, they worked alongside the Company’s Co-Chairman Brett Milgrim, who was a Managing Director and Partner of JLL, McKechnie’s majority owner before the sale to TransDigm. Through their collective experience at K&F and McKechnie, the management team built deep industry expertise and harnessed this knowledge to launch Loar, even entering some of the same product categories as K&F and McKechnie such as carbon and metallic brake discs, hydraulic valves, keepers, rate control devices, latches, hold-open rods, starter generators, and actuators, among others. By having the advantage of a clean blueprint and targeted list of attractive product categories and acquisition candidates, the management team has been able to leverage its significant experience to create a purpose-built, successful platform. Loar is centered around a commitment to a consistent and focused business model—creating a portfolio of proprietary products serving a highly diverse set of applications, end markets and customers within the aerospace and defense value chain. This strategy has resulted in what we believe to be market-leading positions, driven by products that have been difficult for competitors to replicate. The qualification process for the Company’s products serves as a significant barrier to entry for new suppliers. The time, investment, and risks associated with qualification are substantial. The process can often take years, involving multiple tests that require support and financial contribution from both the system supplier and the OEM. Moreover, the Company focuses on products that make up a relatively small portion of the total cost of an aircraft. As a result, it is not typically economical for OEMs to repeat the process of qualification after an existing supplier has been qualified already onto a given aircraft platform. In addition, customer relationships represent a key barrier to entry. Given the mission-critical nature of the Company’s products, we believe our customers look for highly reliable suppliers they can trust to deliver on-time, high-quality solutions. Loar’s position as a trusted supplier of highly engineered, value-added products not only has created significant barriers to entry, but also has established an ability to fairly value our products, which has resulted in consistent improvements to Loar’s gross profit margins over the long-term. --- Once Loar’s components are qualified on an aircraft platform, we believe we are likely to maintain our position as the provider of aftermarket parts and services for the life of the platform and related platform derivatives. This results in significant aftermarket revenue, which represented 52% of our 2023 net sales. For the platforms we serve, the total life of an aircraft can be up to 50 years, ensuring steady aftermarket revenue streams with historically higher margins than revenue to OEM customers. We believe our aftermarket exposure provides us with an opportunity for stable, recurring, long-lasting and high-margin financial performance. In addition to our OEM and aftermarket balance, our revenue is diversified across end markets, customers, and platforms. No more than 14% of our 2023 net sales came from any single customer, and no more than 6% of our 2023 net sales came from any single aircraft platform. We believe that our revenue diversification provides significant resiliency, and it positions us well to take advantage of new business opportunities. --- We believe that our efforts to serve our customers effectively have also differentiated our business and led to long-standing customer relationships. Given the complexity of our customers’ supply chains, they look for dependable suppliers across multiple products and capabilities. In addition to providing a broad set of capabilities, we believe our commitment to quality, consistent on-time delivery and highly specialized tailored solutions furthers our long-standing relationships. Our relationships enable an open dialogue regarding our customers’ supply chain challenges, which can give us insight into potential growth opportunities, both organically and inorganically. In 2023, we generated $317 million in net sales. Since the inception of our Company in 2012, we have grown our net sales at a CAGR of 38%. We generated a GAAP reported net loss of $5 million in 2023 and $113 million in Adjusted EBITDA in 2023, representing a GAAP reported net loss margin of (1)% and a 36% Adjusted EBITDA margin. Including one-time investments of $6 million related to the relocation of a manufacturing facility and the construction of a new factory in 2023, we invested $12 million in capital expenditures in 2023. Our historical capital expenditures from 2021 to 2023 (excluding the one-time investments described above) have averaged 3% of net sales, highlighting the low capital requirements of our business model. Over the next 12 months, we expect our capital needs to be in-line with our recent history at approximately 3% of net sales. Our business approach couples strong organic growth with our proven acquisition strategy. Since 2012, we have executed and successfully integrated 16 strategic acquisitions. We have a highly disciplined approach to evaluating potential acquisition targets, and have sought companies with valuable intellectual property, high aftermarket content, revenue synergies, ability to cross-sell and strong customer relationships. We operate in a highly fragmented market, which has historically provided ample acquisition targets as we look to enhance and grow our platform. We currently operate as a Delaware corporation under the name Loar Holdings Inc., which is a holding company that holds all of the equity interests of Loar Group Inc., the entity which directly and indirectly holds all of the equity interests in our operating subsidiaries. Loar Holdings, LLC was formed August 21, 2017. Loar Holdings, LLC became a Delaware corporation on April 16, 2024 and changed its name to Loar Holdings Inc. in the Corporate Conversion. Our principal offices are located at 20 New King Street, White Plains, New York 10604. Loar Holdings Inc. (LOAR) is classified as a mid-cap stock in the Industrials sector, specifically within the Aircraft industry. The company is led by CEO Dirkson Charles, headquartered in WHITE PLAINS, New York. With a market capitalization of $5.5B, LOAR is one of the notable companies in the Industrials sector.

Loar Holdings Inc. (LOAR) Stock Rating — Reduce (April 2026)

As of April 2026, Loar Holdings Inc. receives a Reduce rating with a composite score of 37.5/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.LOAR ranks #3,369 out of 4,446 stocks in our coverage universe. Within the Industrials sector, Loar Holdings Inc. ranks #578 of 752 stocks, placing it in the lower half of its Industrials peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).

LOAR Stock Price and 52-Week Range

Loar Holdings Inc. (LOAR) currently trades at $64.32. The stock lost $0.06 (0.1%) in the most recent trading session. The 52-week high for LOAR is $99.67, which means the stock is currently trading -35.5% from its annual peak. The 52-week low is $62.05, putting the stock 3.7% above its annual trough. Recent trading volume was 409K shares, suggesting relatively thin trading activity.

Is LOAR Overvalued or Undervalued? — Valuation Analysis

Loar Holdings Inc. (LOAR) carries a value factor score of 46/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 79.84x, compared to the Industrials sector average of 28.33x — a premium of 182%. The price-to-book ratio stands at 4.64x, versus the sector average of 2.23x. The price-to-sales ratio is 11.65x, compared to 0.50x for the average Industrials stock. On an enterprise value basis, LOAR trades at 52.17x EV/EBITDA, versus 5.70x for the sector.

Overall, LOAR's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.

Loar Holdings Inc. Profitability — ROE, Margins, and Quality Score

Loar Holdings Inc. (LOAR) earns a quality factor score of 33/100, signaling below-average profitability metrics relative to the broader market. The return on equity (ROE) is 5.8%, compared to the Industrials sector average of 8.9%, which is below typical expectations for high-quality companies. Return on assets (ROA) comes in at 3.4% versus the sector average of 3.3%.

On a margin basis, Loar Holdings Inc. reports gross margins of 52.4%, compared to 35.8% for the sector. The operating margin is 22.5% (sector: 6.2%). Net profit margin stands at 14.3%, versus 3.9% for the average Industrials stock. Revenue growth is running at 30.6% on a trailing basis, compared to 6.4% for the sector. Profitability is below benchmark levels, which may reflect industry headwinds, elevated reinvestment, or structural challenges.

LOAR Debt, Balance Sheet, and Financial Health

Loar Holdings Inc. has a debt-to-equity ratio of 61.0%, compared to the Industrials sector average of 70.0%. Leverage is within a manageable range for the industry, though investors should monitor debt trends over time. The current ratio is 4.70x, indicating strong short-term liquidity. Total debt on the balance sheet is $716M. Cash and equivalents stand at $99M.

LOAR has a beta of 1.13, meaning it is roughly in line with the broader market in terms of price volatility. The stability factor score for Loar Holdings Inc. is 50/100, reflecting average volatility within the normal range for its sector.

Loar Holdings Inc. Revenue and Earnings History — Quarterly Trend

In TTM 2026, Loar Holdings Inc. reported revenue of $468M and earnings per share (EPS) of $0.77. Net income for the quarter was $68M. Gross margin was 52.4%. Operating income came in at $105M.

In FY 2025, Loar Holdings Inc. reported revenue of $496M and earnings per share (EPS) of $0.77. Net income for the quarter was $72M. Gross margin was 52.7%. Revenue grew 23.2% year-over-year compared to FY 2024. Operating income came in at $106M.

In Q3 2025, Loar Holdings Inc. reported revenue of $127M and earnings per share (EPS) of $0.29. Net income for the quarter was $28M. Gross margin was 52.7%. Revenue grew 22.4% year-over-year compared to Q3 2024. Operating income came in at $29M.

In Q2 2025, Loar Holdings Inc. reported revenue of $123M and earnings per share (EPS) of $0.18. Net income for the quarter was $17M. Gross margin was 53.8%. Revenue grew 26.9% year-over-year compared to Q2 2024. Operating income came in at $27M.

Over the past 8 quarters, Loar Holdings Inc. has demonstrated a growth trajectory, with revenue expanding from $97M to $468M. Investors analyzing LOAR stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.

LOAR Dividend Yield and Income Analysis

Loar Holdings Inc. (LOAR) does not currently pay a dividend. This is common among smaller companies in the Aircraft industry that prefer to reinvest cash flows into business expansion rather than returning capital to shareholders. Income-focused investors looking for Industrials dividend stocks may want to explore other Industrials stocks or use the stock screener to filter by dividend yield.

LOAR Momentum and Technical Analysis Profile

Loar Holdings Inc. (LOAR) has a momentum factor score of 32/100, signaling weak relative price performance. Stocks with low momentum scores have historically tended to continue underperforming in the near term. The investment factor score is 24/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 55/100 reflects moderate short selling activity.

LOAR vs Competitors — Industrials Sector Ranking and Peer Comparison

Within the Industrials sector, Loar Holdings Inc. (LOAR) ranks #578 out of 752 stocks based on the Blank Capital composite score. This places LOAR in the lower half of all Industrials stocks in our coverage universe. Key competitors and sector peers include South Bow Corp (SOBO) with a score of 56.5/100, TSAKOS ENERGY NAVIGATION LTD (TEN) with a score of 61.4/100, Great Lakes Dredge & Dock CORP (GLDD) with a score of 56.7/100, Tri Pointe Homes, Inc. (TPH) with a score of 57.3/100, and Clear Channel Outdoor Holdings, Inc. (CCO) with a score of 52.2/100.

Comparing LOAR against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full LOAR vs S&P 500 (SPY) comparison to assess how Loar Holdings Inc. stacks up against the broader market across all factor dimensions.

LOAR Next Earnings Date

No upcoming earnings date has been announced for Loar Holdings Inc. (LOAR) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.

Should You Buy LOAR? — Investment Thesis Summary

The quantitative profile for Loar Holdings Inc. suggests caution. The quality score of 33/100 flags below-average profitability. Momentum is weak at 32/100, a headwind for near-term performance.

In summary, Loar Holdings Inc. (LOAR) earns a Reduce rating with a composite score of 37.5/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on LOAR stock.

Related Resources for LOAR Investors

Explore more research and tools: LOAR vs S&P 500 comparison, top Industrials stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare LOAR head-to-head with peers: LOAR vs SOBO, LOAR vs TEN, LOAR vs GLDD.