Shares of Aerojet Rocketdyne Holdings Inc. (NYSE: AJRD) soared more than 12% Tuesday after the maker of rocket motors landed two contracts with an estimated aggregate value of $1.4 billion.
And we believe there’s lots more to come.
We first recommended Aerojet at $11.40 a share back in February 2013, when it was still known as GenCorp Inc. That was just months after GenCorp had inked a $550 million deal to buy the Pratt & Whitney Rocketdyne unit from United Technologies Corp. (NYSE: UTX).
In our view, GenCorp’s stock was akin to a coiled spring. And when it was released – ignited by an outside catalyst or investors finally recognizing its potential – we said GenCorp could double.
That’s just what happened.