Avio hits fresh record high, doubts over capital increase dispel on US upside

Avio SpA

15/09/2025 10:32

** Shares in Italy's Avio AVI.MI rise as much as 9.3% and hit a new all-time high as the rocket maker extends its Friday's gains and investors' concerns over its capital increase diminish

** Avio detailed on Friday plans to expand in the U.S. defence sector after it approved a 400-million-euro capital increase plan

** Equita notes the growth prospects in Defence Propulsion are much stronger than assumed - considering the turnover target of 0.6 billion euros in 2035 - visibility on orders coming from U.S. clients is high and execution risks are lower compared to its launchers business

** The broker raises its PT by 48% to 37 euros, accounting 4/5 of the increase to upside in U.S. business

** A Milan-based trader also points to Avio's management offering reassurances on the handling of the group's debt after the capital increase as a reason for the ongoing rally

** At 0906 GMT, shares in Avio trade up 8.2%, adding to Friday's 12.7% rise; stock hits new intraday record high of 43.6 euros

** Including today's rise, the stock has gained almost 210% YTD​

($1 = 0.8520 euros)

 (Enrico Sciacovelli)

 ((enrico.sciacovelli@thomsonreuters.com))