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欧股最耀眼的星! 航空发动机巨头罗尔斯·罗伊斯股价2年间暴涨600%

The brightest star in European stocks! Aviation engine giant Rolls-Royce's stock price surged 600% over the past two years.

Zhitong Finance ·  Dec 4 14:57

Strong demand for long-range jet engines fueled the stock's rise; Rolls-Roy shares have risen more than 600% since the end of 2022.

The Zhitong Finance App learned that the overall market value of Rolls-Royce Holdings Plc (Rolls-Royce Holdings Plc), which is headquartered in the UK, broke the important mark of 50 billion pounds (about 63 billion US dollars) for the first time. As the two major aerospace giants, Boeing and Airbus, are full of commercial aircraft orders, demand for Rolls-Royce long-range jet engines is extremely strong, driving the company's performance and stock price to soar rapidly. Since the end of 2022, Rolls Roy's shares in the UK stock market have risen by more than 600%.

This engine manufacturer, headquartered in London, has the same English name as Rolls-Royce, a leader in luxury cars, and they are all “Rolls-Royce.” But Rolls-Royce is focusing on aero engines, such as the Trent XWB engine that powers the French aircraft manufacturer Airbus (Airbus). Rolls-Royce's Trent series, particularly large-scale applications in long-haul flights, has made it one of the world's leading manufacturers of long-range aero engines.

Rolls-Royce shares rose 3.2% at the close of the UK stock market on Tuesday, and the increase so far this year has increased sharply to 97%. Since the end of 2022, the stock has “skyrocketed” by more than 600%, surpassing all other constituent stocks in the European stock market benchmark index, the Stoke Europe 600 Index. The increase over the same period far surpassed the most popular investment targets in the European stock market, such as Dutch lithography giant ASML (ASML), German software giant SAP, and Danish pharmaceutical giant Novo Nordisk.

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Due to the surge in international long-distance travel after the COVID-19 pandemic, major airlines around the world have stepped up their efforts to buy Boeing and Airbus's most advanced civil aviation models to increase capacity — Boeing and Airbus have continued to face a “hot order” situation recently, that is, the backlog has repeatedly reached new highs, which in turn has driven Rolls-Royce's aero engine sales to soar.

Rolls-Royce announced earlier this year that the “flight hours” of large engines have finally surpassed the peak level before the global lockdown caused by the COVID-19 pandemic. Since the COVID-19 lockdown was lifted, with decades of absolute leadership in the engine sector, the company has received huge orders in the field of civil aero engines, and its continuous signing of huge contracts with airlines and aircraft manufacturers (such as Airbus and Boeing) provided important support for the epic rise in its stock price. The company has also made significant progress in restructuring its operations and reducing debt, which has greatly boosted investor confidence.

Rolls-Royce was founded in 1906 by Charles Stewart Rolls (Charles Stewart Rolls) and Frederick Henry Royce (Frederick Henry Royce). When Rolls-Royce was founded, it was involved in both automobile manufacturing and aero engine production, but in 1971, due to financial difficulties in developing a new aero engine, the company was forced to go bankrupt.

Subsequently, with the intervention of the British government, Rolls-Royce was split into two independent companies: Rolls-Royce, known as Rolls-Royce in Chinese, focusing on the manufacture of aero engines and power systems; Rolls-Royce Motors, the famous luxury car leader, focuses on the production of luxury cars and owns the Rolls Royce and Bentley brands. Later, Bentley was acquired by the German public, and Rolls-Royce was acquired by BMW in Germany.

Rolls-Royce is one of the world's top three aero engine manufacturers, providing the most core aircraft engines for the world's major airlines. Its engines are widely used in flagship civil aviation aircraft models such as Boeing and Airbus. Rolls-Royce also provides core engines and related engine technical support for military aircraft around the world. These military aircraft include fighter jets, transport aircraft, etc. Rolls-Royce also provides power systems and propulsion technology for ships around the world, covering various fields such as commercial ships, warships, and marine exploration. The company also provides nuclear power systems for military nuclear submarines, and has been a key supplier of British Navy nuclear submarines for a long time.

Disclaimer: This content is for informational and educational purposes only and does not constitute a recommendation or endorsement of any specific investment or investment strategy. Read more
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