3 Aerospace Suppliers That Could Benefit as Aircraft Makers Face Bottlenecks

Summary

An optimistic Q2 earnings report from GE Aerospace NYSE: GE saw the company boost full-year profit guidance amid resilient demand for repairs and spare parts in spite of challenges related to fuel prices and more. This may bode well for the aerospace service industry more broadly, suggesting that companies providing critical services and products may be able to carve out a niche and potentially outperform larger aircraft makers and related firms. Aerospace and defense demand continues to surge, prompting some investors to flock to lesser-known names in search of companies with the capacity to scale production. Those willing to take on a bit more risk may find that these firms have greater potential for upside than some of the largest companies in the industry. Ducommun Pivots Toward Defense, With Revenues Continuing to RiseDucommun Stock Forecast Today12-Month Stock Price Forecast:$175.804.01% UpsideModerate BuyBased on 7 Analyst RatingsCurrent Price$169.03High Forecast$216.00Average Forecast$175.80Low Forecast$150.00Ducommun Stock Forecast DetailsWith a market capitalization of just $2.6 billion, Ducommun Inc. NYSE: DCO is on the smaller side of the aerospace firms on our list. DCO's share price story has been one of fairly steady growth throughout 2026, although a July sell-off has interrupted this momentum somewhat. Still, shares are up 74% year to date (YTD). Helping drive this growth is the company's pivot toward defense, which now accounts for the majority of its revenue. And when it comes to revenue, Ducommun has thrived: in the latest quarter, the company reported a record $209 million in revenue, up about 8% year over year (YOY) and the fourth consecutive quarter with at least $200 million in sales. The firm's commercial aerospace business is in the midst of a rebound, with revenue increasing about 18% YOY in the last quarter, and this has helped margins to improve as well. Nonetheless, defense is the biggest business for Ducommun, and missile defense in pa...