Royal Bank of Canada Has $9.35 Million Stake in Loar Holdings Inc. $LOAR

Key Points

• Royal Bank of Canada increased its Loar Holdings stake by 236.5% in the first quarter, owning 163,154 shares valued at approximately $9.35 million, or 0.17% of the company.
• Loar reported a strong second quarter, with adjusted EPS of $0.38 beating the $0.31 consensus and revenue rising 39.4% year over year to $171.6 million. Management also raised its fiscal 2026 revenue and EPS guidance above analyst expectations.
• Analyst sentiment remains generally positive, with a “Moderate Buy” consensus and an average price target of $88, although Zacks downgraded the stock to “hold” and an insider sold 35,000 shares. Shares opened at $71.07, while the stock trades at an elevated price-to-earnings ratio of 98.7.

Royal Bank of Canada lifted its holdings in Loar Holdings Inc. (NYSE:LOAR - Free Report) by 236.5% during the first quarter, according to its most recent Form 13F filing with the SEC. The firm owned 163,154 shares of the company's stock after purchasing an additional 114,674 shares during the period. Royal Bank of Canada owned 0.17% of Loar worth $9,348,000 as of its most recent filing with the SEC.

Other large investors have also made changes to their positions in the company. Rakuten Securities Inc. acquired a new position in Loar during the 2nd quarter valued at $27,000. Fifth Third Bancorp bought a new stake in Loar in the 4th quarter valued at $28,000. Sunbelt Securities Inc. grew its position in Loar by 238.3% in the 4th quarter. Sunbelt Securities Inc. now owns 592 shares of the company's stock worth $40,000 after purchasing an additional 417 shares during the last quarter. Danske Bank A S acquired a new stake in Loar in the 4th quarter worth $62,000. Finally, Tower Research Capital LLC TRC increased its holdings in shares of Loar by 347.0% during the 2nd quarter. Tower Research Capital LLC TRC now owns 970 shares of the company's stock worth $84,000 after purchasing an additional 753 shares during the period.

Key Stories Impacting Loar

Here are the key news stories impacting Loar this week:

• Positive Sentiment: Royal Bank of Canada raised its price target on Loar from $80 to $85 and reiterated an “outperform” rating, implying meaningful upside from recent trading levels. Benzinga
• Positive Sentiment: Loar exceeded second-quarter expectations: adjusted EPS was $0.38 versus the $0.31 consensus estimate, while revenue reached approximately $171.6 million, up 39.4% year over year and ahead of the $162.8 million estimate. Adjusted EBITDA increased 47.4% to $69.4 million, with margin expanding to 40.5%. Loar Q2 earnings report
• Positive Sentiment: Management raised its fiscal 2026 outlook to EPS of $1.32–$1.36 and revenue of $665 million–$675 million, above consensus estimates of $1.28 EPS and $652.5 million revenue. The increase reflects strong aerospace and defense demand and a robust new-business pipeline. Loar Q2 results and outlook
• Positive Sentiment: Recent insider activity was reportedly entirely on the buy side, while several institutional investors increased their Loar positions, providing an additional signal of confidence in the company’s long-term prospects.
• Neutral Sentiment: Investor’s Business Daily described Loar as forming a potential new buy point but pulling back toward an important support level. A decisive move above resistance could strengthen the technical outlook, while failure to hold support may keep the stock volatile. Loar technical setup
• Negative Sentiment: Zacks Research downgraded Loar from “strong buy” to “hold,” tempering the positive impact of the earnings beat and higher guidance. With the shares trading at an elevated earnings multiple, further gains may depend on continued strong execution and additional upward revisions. Zacks Research

Insider Activity at Loar

In other news, Director Taiwo K. Danmola sold 35,000 shares of the business's stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $60.59, for a total transaction of $2,120,650.00. Following the completion of the transaction, the director directly owned 54,286 shares in the company, valued at approximately $3,289,188.74. The trade was a 39.20% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 20.10% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

Several equities analysts have commented on the company. Citigroup upped their price target on Loar from $71.00 to $87.00 and gave the company a "buy" rating in a report on Thursday, June 25th. Morgan Stanley reissued an "equal weight" rating and set a $82.00 price objective (down from $91.00) on shares of Loar in a report on Wednesday, July 15th. Royal Bank Of Canada boosted their price objective on Loar from $80.00 to $85.00 and gave the company an "outperform" rating in a research report on Friday. Zacks Research lowered Loar from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, August 5th. Finally, Weiss Ratings raised Loar from a "hold (c-)" rating to a "hold (c)" rating in a research report on Friday, July 10th. Four equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat.com, Loar currently has an average rating of "Moderate Buy" and a consensus price target of $88.00.

Loar Price Performance

Shares of LOAR stock opened at $71.07 on Monday. The stock's fifty day moving average is $71.37 and its 200-day moving average is $66.63. The company has a debt-to-equity ratio of 0.79, a quick ratio of 3.24 and a current ratio of 4.91. The stock has a market capitalization of $6.66 billion, a PE ratio of 98.70 and a beta of 0.57. Loar Holdings Inc. has a 52 week low of $53.15 and a 52 week high of $83.43.

Loar (NYSE:LOAR - Get Free Report) last announced its earnings results on Thursday, August 6th. The company reported $0.38 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.31 by $0.07. The company had revenue of $171.58 million for the quarter, compared to analyst estimates of $162.80 million. Loar had a net margin of 11.60% and a return on equity of 9.37%. Loar's quarterly revenue was up 39.4% on a year-over-year basis. During the same period in the prior year, the business earned $0.23 earnings per share. Loar has set its FY 2026 guidance at 1.320-1.360 EPS. Equities research analysts expect that Loar Holdings Inc. will post 1.16 EPS for the current fiscal year.

About Loar

Loar Holdings Inc, through its subsidiaries, designs, manufactures, and markets aerospace and defense components for aircraft, and aerospace and defense systems in the United States and internationally. It offers products in various categories, which include airframe components, structural components, avionics, composites, braking system components, de-ice and ice protection, electro-mechanical, engineered materials, flight controls, fluid and motion controls, environmental, metal forming, molded components, and restraints and safety devices.

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