Moog Inc. (MOG-A): A Bull Case Theory

We came across a bullish thesis on Moog Inc. on SharpeStack’s Substack. In this article, we will summarize the bulls’ thesis on MOG-A. Moog Inc.'s share was trading at $213.30 as of October 8th. MOG-A’s trailing P/E were 31.49 according to Yahoo Finance.

Moog is a leading designer, manufacturer, and integrator of precision motion and fluid control systems, serving critical applications across aerospace, defense, industrial, and medical sectors. The company’s products are often mission-critical subsystems, with its fin control actuation systems for missiles standing out as a key differentiator.

These systems enable precise steering and micro-adjustments, ensuring highly accurate targeting, and are integral to widely used and strategically important weapons such as the Hellfire missile family, the Javelin, and various guided bombs. Moog’s Space and Defense segment has demonstrated consistent performance, underpinned by a robust backlog and recurring orders from prime defense contractors.

The growing focus on precision munitions, along with the modernization of existing missile stockpiles with advanced guidance and control technologies, positions Moog to directly benefit from secular tailwinds in defense spending. The company’s strong reputation for quality and on-time delivery provides a durable competitive moat, as its components, once integrated into system designs, are effectively “locked in” until the next product cycle. This creates a high switching cost for customers and ensures long-term visibility into revenues.

With its technology embedded in mission-critical systems and a steady flow of defense orders, Moog offers a compelling investment case rooted in both strategic importance and operational reliability, providing investors exposure to stable cash flows and potential upside from expanding demand for advanced precision systems. The company’s unique positioning in critical defense applications, combined with a strong execution record, makes it difficult for competitors to displace Moog, reinforcing the resilience and attractiveness of its core business.

Previously we covered a bullish thesis on AeroVironment, Inc. (NASDAQ:AVAV) by Stock Picker’s Corner in January 2025, which highlighted AVAV’s leading UAV position and rising global drone demand. The company's stock price has appreciated approximately by 153% since our coverage. The thesis still stands as UAV adoption continues to grow. SharpeStack shares a similar bullish view but emphasizes Moog’s missile fin actuation systems and embedded defense contracts.

Moog Inc. is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 31 hedge fund portfolios held MOG-A at the end of the second quarter which was 18 in the previous quarter. While we acknowledge the potential of MOG-A as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy NOW 

Disclosure: None.