- Currently trading at book value, Embraer offers limited downside but enormous upside.
- Investors are skeptical of Embraer's commercial aviation segment, but as a leading vendor of planes suited for emerging markets where aviation is expanding, Embraer is positioned for secular growth.
- Recent new-plane orders, and a growing list of airlines with stated interest in ordering more commercial planes have improved Embraer's near-term prospects.
- In addition to the value of its established business segments, Embraer's innovation wing, EmbraerX, and particularly its EVE (eVOTL) subsidiary, represent huge value not reflected in Embraer's current valuation.
For further details see:
Embraer: A Special Combination Of Value And Growth