Air Industries Secures $5.4M U.S. Air Force Contract, Boosts Defense Manufacturing Role

Air Industries has been awarded a $5.4 million contract to supply landing gear components for the US Air Force. The company plans to commence deliveries in late 2026 and will contribute to its future revenue stream. Based on analysts' forecasts, the average target price for AIRI is $6.50, implying a 97.57% upside from the current price of $3.29. The company's gross margin increased by 320 basis points in Q1 2025, and its funded backlog reached a record $120 million.

Air Industries Group (AIRI), a leading manufacturer of precision components and assemblies for large aerospace and defense prime contractors, has been awarded a $5.4 million contract for Landing Gear Steering Collar Components for the US Air Force B-52 Aircraft [1]. The company plans to commence deliveries in late 2026, which will contribute to its future revenue stream.

The contract, announced on July 2, 2025, comes as AIRI faces significant financial challenges. The company closed the most recent trading day at $3.27, down 2.1% from the previous session. This change lagged the S&P 500's 0.83% gain on the day. Prior to today's trading, shares of the maker of parts for the aerospace industry and defense contractors had lost 2.91%, lagging the Aerospace sector's gain of 2.79% and the S&P 500's gain of 4.99% [2].

Analysts project that AIRI will report earnings of -$0.15 per share for the upcoming quarter, representing a year-over-year decline of 266.67%. The company's full-year Zacks Consensus Estimates call for earnings of -$0.45 per share and revenue of $53.39 million, representing year-over-year changes of -9.76% and -3.12%, respectively [2].

Despite these challenges, AIRI has shown signs of improvement. The company's gross margin increased by 320 basis points in Q1 2025, and its funded backlog reached a record $120 million. The average target price for AIRI is $6.50, implying a 97.57% upside from the current price of $3.29 [2].

Air Industries' stock has been volatile, with a one-year change of -19.16% and a three-year change of -0.30%. The company's recent earnings call highlighted the need for improvement in its financial performance. The contract for the US Air Force B-52 Aircraft is a significant step forward for the company, but it remains to be seen whether AIRI can sustain its growth and profitability in the long term.

References:
[1] https://www.ncnewsonline.com/news/national/air-industries-group-secures-5-4-million-contract-for-landing-gear-components-for-the-us/article_7fbf913d-b3ab-5a2a-8814-211d9ad40ccf.html
[2] https://finance.yahoo.com/news/air-industries-airi-stock-sinks-220002995.html