Rolls-Royce Holdings plc·Industrials

UBS remains bullish on the aerospace engineer ahead of next month's trading update, despite cutting its target on peer group derating. UBS has reduced its price target on Rolls-Royce Holdings PLC (LSE:RR.

RYCEY benefits from a growing engine backlog across commercial/defense end markets, along with higher aftermarket contracts/servicing opportunities. The ongoing Iran conflict may trigger near-term noise in commercial flying hours, albeit potentially contributing to higher defense spending trends. RYCEY remains compelling at P/E of 31.81x and 3Y PEG of 0.69x, while offering an excellent upside potential to my long-term price target of $21.90.

Airlines and related stocks such as engine maker Rolls-Royce Holdings PLC (LSE:RR.) were lifted higher in early trading on Wednesday as oil prices fell after comments from the US and Iran raised hopes of an end to the war in the Middle East.

The Rolls-Royce share price has dropped and moved into a correction this month as the US-Iran war has escalated. It tumbled to a low of 1,108p, down by over 22% from the year-to-date high.

Shares in airlines and associated industries were hit on Monday as investors buckle up for a longer period of turbulence in air travel markets due to the Iran war, hiking fuel prices and dampening demand On the FTSE 100 British Airways owner International Consolidated Airlines Group SA (LSE:IAG) and easyJet PLC (LSE:EZJ) were down 2.9% and 2.8%, while Rolls-Royce Holdings PLC (LSE:RR.), which makes and maintains engines, fell 4.9%.

Lamborghini and Rolls-Royce both face pressure from US import taxes and a stalling electric vehicle pivot, but their responses differ markedly Two of the world's most prestigious carmakers reported contrasting fortunes this week, yet both pointed to the same forces reshaping the top end of the global automotive market: American tariffs, Middle East instability and a faltering shift to electric vehicles. Lamborghini, the Italian supercar manufacturer owned by Volkswagen through its Audi subsidiary, delivered a record 10,747 cars in 2025, generating $3.7 billion in revenue, a 3.3% rise on the previous year.
Rolls-Royce Holdings plc operates as an industrial technology company in the United Kingdom and internationally. The company operates in four segments: Civil Aerospace, Power Systems, Defence, and New Markets. The Civil Aerospace segment develops, manufactures, and sells aero engines for large commercial aircraft, regional jet, and business aviation markets, as well as provides aftermarket services. The Power Systems segment engages in the development, manufacture, marketing, and sale of integrated solutions for onsite power and propulsion for the marine, defense, power generation, and industrial markets. The Defence segment offers aero engines for military transport and patrol aircraft applications; and naval engines and submarine nuclear power plants, as well as aftermarket services. The New Markets segment develops, manufactures, and sells small modular reactor and new electrical power solutions. It also provides maintenance, repair, and overhaul services. Rolls-Royce Holdings plc was founded in 1884 and is headquartered in London, the United Kingdom.
Industrials
Aerospace & Defense
42,400
2009-02-13
1.23