High Yield Aerospace/Defense, Industrials, and Services: 2Q26 Model Book

研报英文原文证据摘录

High Yield Aerospace/Defense, Industrials, and Services: 2Q26 Model Book

J P M O R G A N North America Credit Research

21 July 2026

High Yield Aerospace/Defense,

Industrials, and Services

2Q26 Model Book

North America Corporate Credit -

Aerospace & Defense (HY & IG) and

Industrials (HY) and Services (HY)

Yilma Abebe AC

(1-212) 270-3265

yilma.abebe@jpmorgan.com

In this publication, we share models for our rated credits as well as selected

Austin Maltbia

industry and market data

(1-212) 834-4684

austin.maltbia@jpmchase.com

J.P. Morgan Securities LLC

Sector Outlook Summary

Aerospace & Defense: Neutral. We expect the A&D subsector to continue to see

Summary of Ratingsgrowth, even if there is softer than expected global economic expansion. First

quarter results were solid and we look for 2Q26 to deliver comparable Issuer Ticker JPM Rating

performance. Despite our favorable view of the sector’s underlying fundamentals, ADT Security Corp ADT/PRSESE UW

AECOM ACM N

valuations (6.0% for the A&D Index versus 7.3% for the HY Index) don’t justify Arcosa ACA NR

an Overweight recommendation. Ashtead AHTLN N

Atkore ATKR N

Manufacturing/General Industrials: Underweight. Our recommendation Avis Budget Group CAR UW

reflects mostly valuation rather than fundamentals, considering the subsector’s Bombardier (USD) BBDBCN OW

BWX Technologies BWXT N

6.5% yield versus 7.3% for the broader high yield market. 1Q26 results were Chart Industries GTLS N

uneven, with demand diverging across the different subsectors, and we anticipate Clean Harbors CLH OW

this bifurcation to persist in the second quarter. That said, we see opportunity for Custom Truck One Source NSCO OW

select names to outperform. Long-term, publicly and privately backed mega EnerSys ENS OW