This is Why HEICO Corporation (HEI) is The Best Industrial Stock Following Sherwood Avionics and Accessories Acquisition

HEICO Corporation (NYSE:HEI) is one of the best industrial stocks to buy in 2026. On April 7, Jefferies reiterated its Buy rating on HEICO Corporation (NYSE:HEI) and maintained a $400 price target. The bullish stance is in response to the industrial company announcing that it has reached an agreement to acquire an 80% stake in Sherwood Avionics and Accessories.

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With the acquisition, Heico gains access to a unit that has carved a niche as a maintenance, repair, and overhaul provider for defense and select commercial aviation platforms. The unit employs 150 people and generates an average of $45 million in revenue. Its capabilities include auxiliary power units (APUs), landing gear systems, avionics components, and related accessories.

Jefferies expects the acquisition to add about 1% to Heico’s total annual revenue and result in about a 1% increase in earnings per share. On the back of the acquisition, Jefferies expects Heico to achieve 12% revenue growth in 2026, with organic growth contributing about 7% points. Mergers and acquisitions are also expected to add about 5% points.

HEICO Corporation (NYSE:HEI) is a leading, technology-driven aerospace and electronics company that designs, manufactures, and distributes critical aircraft replacement parts, electronic components, and specialized systems. HEICO serves customers in the aerospace, defense, space, medical, and telecommunications industries, focusing on providing high-quality, cost-effective aftermarket alternatives.

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