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    Dassault Aviation (ENXTPA:AM): Assessing Valuation After Expanded Falcon 6X Manufacturing Partnership with Dynamatic Technologies

    Simply Wall St·12/14/2025 08:17:47
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    Dassault Aviation société anonyme (ENXTPA:AM) just deepened its partnership with India based Dynamatic Technologies, handing it responsibility for manufacturing and assembling the complete rear fuselage of the Falcon 6X business jet. This matters for supply chain resilience, cost base, and long term growth positioning.

    See our latest analysis for Dassault Aviation société anonyme.

    That deeper tie up with Dynamatic comes as the latest share price, at €272.2, has cooled from its recent highs after a strong year to date share price return of roughly 39 percent. The 1 year total shareholder return of about 45 percent shows longer term momentum is still very much intact.

    If this kind of aerospace story has your attention, it is worth exploring other names in the sector through aerospace and defense stocks for more potential ideas beyond Dassault.

    With shares still up strongly over one and three years, yet trading below analyst price targets, the key question now is simple: is there still upside left here, or is future growth already fully priced in?

    Most Popular Narrative: 16.3% Undervalued

    With the narrative fair value sitting around €325 versus the €272.2 last close, the story assumes the market is still underpricing Dassault’s earnings runway.

    The robust international demand for the Rafale highlighted by major new contracts with India (including the first Rafale Marine export order) and the UAE, ongoing negotiations for additional aircraft with Indonesia, and active Make in India transfer initiatives provides exceptional multi year revenue visibility and demonstrates Dassault's ability to capitalize on the trend toward higher global defense spending, particularly among NATO and partner nations. This growing backlog should drive forward revenue growth and enhance long term earnings stability.

    Read the complete narrative.

    Want to see how this defense backlog, upcoming Falcon launches, and rising margins are stitched together into one valuation roadmap? The full narrative reveals the earnings, revenue, and profit assumptions driving that fair value call, and how they translate into a future multiple the market has not fully embraced yet.

    Result: Fair Value of €325.06 (UNDERVALUED)

    Have a read of the narrative in full and understand what's behind the forecasts.

    However, unresolved supply chain disruptions or a weaker than expected Falcon 6X and 10X ramp could quickly challenge these upbeat earnings and valuation assumptions.

    Find out about the key risks to this Dassault Aviation société anonyme narrative.

    Build Your Own Dassault Aviation société anonyme Narrative

    If you would rather stress test these assumptions or prefer to dig into the numbers yourself, you can build a fresh view in minutes with Do it your way.

    A great starting point for your Dassault Aviation société anonyme research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.

    Ready for more high conviction ideas?

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.