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Magellan Aerospace Corporation (MAL) Fair Value & Analysis

Industrials · CA · Market cap C$1.8B

MA Magellan Aerospace Corporation MAL · TO
PriceC$40.36
Fair ValueC$14.39
Upside-64.4%
Quality63/100
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Mixed Growth
Thin margins · 4.2% net margin
Low debt · generates free cash flow
0.63% dividend yield
Mixed vs. peers (7/15)
Narrow moat 39/100
Evidence: High Range C$9.07 – C$18.14 Share as image

Fair value as of: Jul 16, 2026

From 26 valuation models · updated 24 days ago

Share price +13.0% over the past month.

A solid business, but screening 64% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (C$18.14). The favourable scenario is already priced in.
  • Solid but not exceptional quality (63/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (C$9.07 to C$18.14) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

C$40.36 C$6.47 Fair Value C$14.39 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 16, 2026.

How to read this chart

60‑month range C$6.47 – C$40.36 · fair‑value band C$9.07 – C$18.14 · the C$40.36 price screens above the C$14.39 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 16, 2026.

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Analysis

Magellan Aerospace Corporation (MAL) currently trades at C$40.36, while our model-based Fair Value estimate is C$14.39, implying the stock looks roughly 64.4% overvalued today. The Quality Score stands at 63/100 (solid quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Magellan Aerospace Corporation generated revenue of C$1.1B at a net margin of 4.2%. Revenue grew 9.3% year over year. It earns a return on equity of 5.4%. Net debt stands at C$24.6M. Fundamentals as of Jul 16, 2026

Our scenario range runs from C$9.07 (bear case) to C$18.14 (bull case); at C$40.36, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades near its 52-week high and 170% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -59% fair-value upside, at -64%, MAL screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF C$5.30 C$7.09 C$9.35 80
Residual Income C$10.31 C$10.10 C$8.81 76
Rev-Margin DCF C$9.74 C$16.16 C$23.53 74
All 26 models by family
DCF Models
FCF DCF C$5.27 C$7.35 C$10.14 38
Owner Earnings C$6.66 C$9.37 C$13.01 31
5Y Revenue Exit C$9.74 C$16.28 C$24.77 39
5Y EBITDA Exit C$14.06 C$24.40 C$36.61 41
5Y P/E Exit C$8.32 C$13.62 C$19.21 38
10Y Revenue Exit C$7.50 C$12.68 C$19.83 36
10Y EBITDA Exit C$10.35 C$17.84 C$28.12 37
10Y P/E Exit C$7.00 C$10.99 C$15.94 35
Earnings-Based
Graham-Dodd C$4.70 C$14.96 C$19.94 54
Lynch FV C$3.30 C$4.71 C$6.13 50
PEG = 1.0 C$3.30 C$4.71 C$6.13 46
EPV C$9.77 C$11.00 C$12.03 59
Dividend Discount
Gordon GGM C$1.36 C$2.45 C$3.37 70
DDM Multi-Stage C$1.36 C$2.14 C$2.62 61
Multiples
P/E Multiple C$10.88 C$14.51 C$18.14 63
P/S Multiple C$8.81 C$11.75 C$14.68 58
P/B Multiple C$8.81 C$11.75 C$14.68 55
EV/EBIT C$18.43 C$24.33 C$30.24 53
EV/EBITDA C$22.38 C$29.60 C$36.83 54
EV/Revenue C$13.35 C$18.77 C$24.19 43
Asset-Based
NCAV (Graham) C$7.20 C$9.65 C$14.41 50
Growth DCF
Growth DCF C$5.30 C$7.09 C$9.35 80
Rev-Margin DCF C$9.74 C$16.16 C$23.53 74
Economic Profit
Residual Income C$10.31 C$10.10 C$8.81 76
ROIC Compounder C$9.77 C$11.00 C$12.03 72
Growth Earnings
Growth-Adj P/E C$9.07 C$12.96 C$16.84 68

Widest divergence: Multiples (C$14.51) versus Dividend Discount (C$2.14). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) C$1.1B
Revenue growth (YoY) +9.3%
Net margin 4.2%
Return on equity 5.4%
Free cash flow C$27.6M FY2025
P/E ratio 40.7
More key figures
Operating margin 8.2%
EPS (TTM) C$0.7900
Dividend yield 0.6%
EPS growth (YoY) +52.3%
Net debt C$24.6M FY2025

Figures from reported company fundamentals · as of Jul 16, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 63/100

Of which business quality 62 · Market factors (momentum, volatility) 89

Profitability 35
Margins and returns on capital today
Quality Growth 66
Are margins and returns improving?
Cashflow 40
Earnings quality: real cash, not paper profit
Fin. Strength 83
Balance sheet, leverage, solvency risk
Investment 80
Disciplined investing over empire-building
Low Volatility 63
Calm price path (market factor)
Momentum 100
Price trend over the last 3–12 months (market factor)
52W Momentum 100
Distance to the 52-week high (market factor)
Net Issuance 84
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Magellan Aerospace Corporation engineers and manufactures aeroengine and aerostructure components for aerospace markets in Canada, the United States, and Europe.

Full company description

Magellan Aerospace Corporation engineers and manufactures aeroengine and aerostructure components for aerospace markets in Canada, the United States, and Europe. The company offers aero engine products, such as laser welded honeycomb and filament wound tubes, frames, compressor components, bypass ducts, hot section components, and aeroengine and helicopter drive shafts, as well as other flight safety critical machined components, including discs, seals, and spacers; and aerostructures comprising landing gear systems, wing ribs, spars and skins, bulkheads and fuselage components, tailcone assemblies, composite wing and fairing structures, horizontal and vertical stabilizers, plug and nozzle, exhaust systems, crown modules, and vane boxes and transition ducts. It also designs, engineers, and manufactures assemblies and components for aerospace markets, governments, space markets, and specialty products; wire strike protection systems for helicopter safety; space solutions, including small satellite bus platforms and satellite subsystem equipment, as well as offers services for satellite assembly, integration, and testing; and aluminum and magnesium alloy sand castings, such as engine mounted accessory gearbox housings, helicopter power transmission housings, auxiliary power unit inlet and gearbox housings, engine front inlet and intermediate cases, engine front frames and fan cases, pump and accessory drive housings, and environmental control housings. The company was incorporated in 1996 and is based in Mississauga, Canada.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Magellan Aerospace Corporation reported revenue of C$1.0B in FY2025 versus C$688M in FY2021, a compound +11.0%/yr. Reported net income was C$39.4M in FY2025.

Growth Quality 61/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
C$1.0B
Latest YoY
+10.9%
Avg. growth/yr (3Y)
+11.0%
Avg. growth/yr (5Y)
+7.0%
Avg. growth/yr (33Y)
+10.1%
Revenue +11.0%/yr
FY21 C$688M
FY22 C$765M
FY23 C$880M
FY24 C$942M
FY25 C$1.0B
Net income
FY21 −C$977K
FY22 −C$21.7M
FY23 C$9.2M
FY24 C$35.5M
FY25 C$39.4M

MAL screens 64% overvalued. Compare with General Electric Company →

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Cite: Fair Value Calculator (2026). "Magellan Aerospace Corporation Fair Value". https://www.fairvalue-calculator.com/stock/MAL

Peer Group

Aerospace & Defense · 226 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 63 · Top 25%
Fair Value upside −64% · Below median
Return on equity (TTM) 5% · Below median
Return on assets 4% · Above median
Net margin (TTM) 4% · Below median
Operating margin (TTM) 8% · Below median
Revenue growth 9% · Above median
Dividend yield (TTM) 0.6% · Below median
Debt / equity 0.03× · Lower than median

Valuation Multiples vs Aerospace & Defense median · lower = cheaper

P/E (TTM) 40.7× · Pricier than median
P/B 1.60× · Cheaper than median
P/S (TTM) 1.23× · Cheaper than median
P/FCF 47.7× · Pricier than 75% of peers
EV/EBITDA 10.5× · Cheaper than 75% of peers
PEG 2.21× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 0
FUTURE 47 · sector 46
PAST 22 · sector 38
HEALTH 99 · sector 94
DIVIDEND 13 · sector 15

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

Weapons Defense

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Aerospace & Defense stocks, each showing price versus our Fair Value estimate (as of Jul 16, 2026).

Stock Price Fair Value vs Fair Value
General Electric Company GE $381.22 $116.71 -69%
RTX Corporation RTX $195.93 $88.37 -55%
Airbus SE 1AIR €213.25 €86.20 -60%
The Boeing Company BA $217.11 $48.20 -78%
China CSSC Holdings 600150 ¥34.31 ¥21.90 -36%
HD Hyundai Heavy Industries Co 329180 466,000 KRW 272,966 KRW -41%
Hanwha Aerospace Co 012450 967,000 KRW 573,468 KRW -41%
ASELSAN Elektronik Sanayi ve Ticaret Anonim Sirketi ASELS 337.50 TRY 130.70 TRY -61%
Saab AB SAABB kr 520.40 kr 212.84 -59%
Kongsberg Gruppen ASA KOG kr 277.50 kr 106.93 -61%

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Frequently asked questions

Is Magellan Aerospace Corporation (MAL) overvalued or undervalued?
As of Jul 16, 2026, our model estimates a fair value of C$14.39 versus a price of C$40.36, about −64% (overvalued).
What is the fair value of MAL?
Our model-based fair value for Magellan Aerospace Corporation is C$14.39 (as of Jul 16, 2026), built from audited fundamentals. The current price is C$40.36.
What is the quality score of MAL?
Magellan Aerospace Corporation has a Quality Score of 63/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Magellan Aerospace Corporation (MAL)?
Magellan Aerospace Corporation reported trailing-twelve-month revenue of about C$1.1B (latest available figure, as of Jul 16, 2026).
What is the net profit margin of MAL?
The net profit margin of Magellan Aerospace Corporation is about 4.2%, meaning it keeps roughly 4.2% of revenue as net income. Based on the latest reported figures.
Does Magellan Aerospace Corporation pay a dividend?
Magellan Aerospace Corporation currently shows a dividend yield of about 0.60% relative to its recent price (as of Jul 16, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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