#5 - Ducommun Incorporated (NYSE:DCO)
Ducommun Incorporated (NYSE: DCO) is the first of three small-cap stocks that will close out this list. Ducommun is the smallest of the three, with a market cap of just $687 million as of this writing.
But don’t let that fool you. The company provides essential equipment to its customers. This includes circuit boards, avionics racks, radar enclosures, and surge protectors. Not exciting stuff but extremely necessary. That’s reflected in the company’s stock price. DCO stock was up 24% in 2022 and 10% in the early stages of 2023.
And investors can buy DCO stock at an attractive valuation at just over 5x earnings which is cheaper than about 87% of the companies in a sector where companies average 28x earnings. The company has one of the healthiest profit margins in the industry at about 19%, which is well above the sector average of 6.76%.
About Ducommun
Ducommun Incorporated provides engineering and manufacturing services for products and applications used primarily in the aerospace and defense, industrial, medical, and other industries in the United States. The company operates through two segments, Electronic Systems and Structural Systems. The Electronic Systems segment provides cable assemblies and interconnect systems; printed circuit board assemblies; electronic, electromechanical, and mechanical components and assemblies, as well as lightning diversion systems; and radar enclosures, aircraft avionics racks, shipboard communications and control enclosures, printed circuit board assemblies, cable assemblies, wire harnesses, interconnect systems, lightning diversion strips, surge suppressors, conformal shields, and other assemblies.
Read More - Current Price
- $68.19
- Consensus Rating
- Buy
- Ratings Breakdown
- 4 Buy Ratings, 0 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $76.50 (12.2% Upside)
