Brazilian aircraft manufacturer Embraer S.A. (ERJ) has seen a significant increase in its stock price in the first quarter of 2021, with shares jumping 26%. This impressive growth can be attributed to the company’s strong financial results and positive outlook.
Embraer reported a 26% increase in revenue in the first quarter, driven by higher deliveries of commercial and executive jets. The company also saw a 3.3% increase in operating margin, reaching 6.7%. This is a positive sign for investors as it shows the company’s ability to generate profits and manage costs effectively.
In addition, Embraer’s backlog of orders has also increased, reaching $15.9 billion. This is a 23% increase compared to the same period last year, indicating a strong demand for the company’s products. With the global economy gradually recovering from the pandemic, the aviation industry is expected to rebound, which bodes well for Embraer’s future growth.
Overall, Embraer’s impressive results in the first quarter have boosted investor confidence and led to a 26% increase in its stock price. With a strong financial performance and a growing backlog of orders, the company is well-positioned for future success. This makes it a promising investment opportunity for retail investors looking to capitalize on the recovery of the aviation industry.