The Intrinsic Value PodcastPublished 2026-10-03
“HEICO Vs. TransDigm: Whose Aerospace Monopoly Is Better?”
$HECONo side taken
HECO has superior business quality and alignment but trades at ~50x earnings which is too expensive to own today; wait for a 10-20% pullback.
Nearly every single component that Hiko sells has been approved specifically by the FAA. So I think the simple way to think about this is that Hiko is like maybe the generic drug company of the aerospace industry.
They sell a product that is something like the functional equivalent of the original equipment manufacturers component, but they do so for a really steep discount. And the FAA is like this governing body that decides whether their components are up to par, basically.
What they said to watch for