There are a lot of opportunities all over the market in 2017 – technology, biotech, small caps, financials – but we're especially excited about aerospace. A "perfect storm" of regulation, innovation, and competition gives it the potential to be a standout boom sector, with profit plays right and left in the commercial and military segments.
Boeing's 787 Dreamliner, the most efficient and advanced commercial aircraft ever, overcame early high-profile battery fires to win the global long-haul, wide-body battle over Airbus' A380 "superjumbo," the largest commercial aircraft ever flown. But the short-hop market is still very much up for grabs.
The sector's two heavyweight giants right now, Airbus and Boeing, are neck and neck in another race to the top. December airframe deliveries for both firms broke longstanding records, and demand is high for both the Airbus A320neo and Boeing 737-MAX "next-gen" narrow-bodies.
But… the biggest gains for investors will come to those who back the ultimate winner in this struggle for the skies.