Astronics’ new Qi2 charging module puts cabin power in focus

Astronics (ATRO) has introduced its EmPower Qi2 Wireless Charging Module for aircraft cabins, targeting airlines and seat manufacturers that want wireless charging for smartphones, tablets and other personal electronic devices directly at passenger and crew locations.

The Qi2 launch comes as Astronics’ share price sits at US$73.23, with a 30-day share price return of 13.04% and a 90-day share price return of 6.65%. The 1-year total shareholder return of 232.11% indicates strong momentum that has cooled slightly in recent weeks.

If you are tracking how aircraft electronics and power suppliers are being repriced, it can also be useful to scan beyond this stock and see 33 power grid technology and infrastructure stocks

With Astronics trading at US$73.23, an intrinsic value estimate that is about 17% higher and an analyst target that is about 18% above the market raise a simple question for you: is there still upside here or has the Qi2 story already been priced in?

Most Popular Narrative: 20% Overvalued

The widely followed Astronics narrative pegs fair value at about $61, which sits below the current $73.23 share price and frames the Qi2 launch against higher long term earnings expectations.

Production rate increases for major commercial aircraft platforms (such as Boeing 737, Airbus A320, and expected ramp ups for 787, A350, and new programs like the A220) are likely to drive continued growth in demand for Astronics' power, lighting, and connectivity solutions, supporting both revenue acceleration and operating leverage through 2025 and beyond. Continued global growth in air travel and airline fleet renewals boost both OEM sales and retrofit opportunities for cabin power, inflight connectivity, and entertainment products, strengthening recurring revenue streams and fostering pricing power, as reflected by ongoing successful price increases across major OEM and airline customers.

Want to see the full playbook behind that valuation call? The narrative leans heavily on outsized earnings growth, richer margins, and a future earnings multiple that assumes meaningful execution on those cabin power and test system opportunities.

Result: Fair Value of $61 (OVERVALUED)

However, you still need to weigh tariff exposure, which could add US$15 million to US$20 million in annual costs, and ongoing execution issues in the Test Systems segment.

Another Take: DCF Points to Undervaluation

The popular $61 fair value view leans on earnings multiples and suggests Astronics looks about 20% overvalued. The Simply Wall St DCF model tells a different story, with a fair value estimate of $88.44 that puts the current $73.23 price at a 17.2% discount. Which set of assumptions appears more realistic to you?

Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Astronics for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 54 high quality undervalued stocks. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.

Next Steps

Mixed signals on value and growth so far? Use that tension as a prompt to move quickly, test the assumptions yourself, and weigh Astronics’ potential using 3 key rewards and 2 important warning signs

Looking for more investment 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.