Almost without exception, Arrow Capital Portfolio Manager Alex Ruus receives a question about FLYHT Aerospace during his many appearances on Canada’s Business News Network (BNN). Yesterday was no different as he detailed a number of positives in response to a caller’s query about the company. Here are some highlights:
- Great little company.
- Just recently emerged into profitability.
- This is the type of leader of tomorrow we like to invest in.
- It’s a very cheap stock right now, it trades at a market cap of under $50 million.
- They provide what I call smart black box streaming. It would help deal with issues like MH-370 that disappeared five years ago and still hasn’t been found. That would never have happened if it had the FLYHT equipment on. More importantly it is an economic sale to the airline. They sell their product to the airline, a streaming service and it helps them maximize profitability of their planes.
- They are on the assembly line of Airbus on the A-320 line and we think they could have some breakthroughs with other OEMs in the next year or two, as well as they could get some very big airline customers.
- They have about 1,000 units out in the market so far and they get a recurring revenue stream off of each of those units.
- I think a company like Air Canada would be smart to add FLYHT onto their fleet because we think that would allow them to increase their utilization of assets.
To view the full segment, please click here.