Heico Corporation Common Stock (HEI)

FairStock Score: 46/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Heico is a textbook stalwart. In fiscal 2025, the year ended 2025-10-31, revenue reached $4.5 billion and net income $690.4 million, up from $3.9 billion and $514.1 million in fiscal 2024, the year ended 2024-10-31. Diluted EPS rose to $4.90 from $3.67. More recently, in fiscal Q3 2026, the quarter ended 2026-07-31, revenue was $1.4 billion, net income $235.4 million, and diluted EPS $1.67, versus net income $177.3 million and EPS $1.26 in fiscal Q3 2025, the quarter ended 2025-07-31. That is real growth from an aerospace, defense, and electronic products and services business. The figures do not directly quantify a moat, but ROE of 17.73% on a FairStock basis suggests some capital efficiency. Financial health is decent: FairStock data show debt-to-equity of 0.45, Altman Z-Score of 6.18, and free cash flow of $1.0 billion, though the FCF yield is only 2.5%. ROCE of 8.50% is moderate, and the dividend yield is just 0.08%. Valuation is the rub. At the close on 2026-10-13, the price was $296.73. FairStock calculations show a P/E of 49.54, P/B of 8.38, EV/EBITDA of 30.14, PEG of 1.51, and a Graham Number of $69.07, implying a margin of safety of -329.61%. The Piotroski F-Score is 4/9, and the FairStock Score is 46/100. The Lynch category is STALWART, with 17.1% annual profit growth and 20.2% revenue growth over five years. I admire the compounding, but the price already assumes it continues. I would want ROCE and free cash flow yield to improve before calling this a Graham-style bargain.

In plain English: Heico makes and sells parts and services for airplanes, defense, and electronics. In fiscal 2025, the year ended 2025-10-31, it earned $690.4 million on $4.5 billion of sales, and the latest quarter, fiscal Q3 2026 ended 2026-07-31, was stronger than the same quarter a year earlier. The business looks strong, but at $296.73 the stock looks expensive relative to those profits and its accounting value, so much of the appeal depends on future growth.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q3 2026 10-Q (period ended 2026-07-31) · fiscal Q2 2026 10-Q (period ended 2026-04-30) · fiscal Q1 2026 10-Q (period ended 2026-01-31) · fiscal Q3 2025 10-Q (period ended 2025-07-31) · FY2025 10-K (period ended 2025-10-31) · FY2024 10-K (period ended 2024-10-31) · FY2023 10-K (period ended 2023-10-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer