Summary

• Leonardo remains a Buy with a new $70.57 price target, implying 15% upside based on a refined 3-year EV/EBITDA valuation.
• Leonardo exceeded 2025 guidance, posting 10.9% revenue growth, 18.2% EBITA growth, and 20.5% free cash flow growth, with strong order momentum across segments.
• Margin expansion is underway, with EBITDA margins expected to rise steadily and free cash flow inflecting in 2027; net cash position anticipated by 2027.
• Multi-domain presence, especially in cyber and joint ventures, positions Leonardo to capitalize on global and European defense spending growth.
• Looking for a helping hand in the market? Members of The Aerospace Forum get exclusive ideas and guidance to navigate any climate. Learn More »

Shares of European aerospace and defense giant Leonardo S.p.a. (FINMY)(FINMF) has gained 3.7% since my last report. The stock reached a 52-week high of $75.88, which was less than $2 below my price target. So, I

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