The aerospace sector continues to gain power as all five of its core sub-industries expand rapidly. Among the standout performers are two Canadian companies — Firan Technology Group (TSX:FTG) and Magellan Aerospace (TSX:MAL). Both are emerging as compelling opportunities with the potential for multi-bagger returns.

Firan Technology Group: A PCB Powerhouse

Firan Technology Group has been an exceptional market performer, soaring 51.9% in 2025 and delivering an incredible 492% gain over the last three years. The $278.7 million company specializes in advanced, technology-driven aerospace and defence solutions through its two divisions: FTG Circuits and FTG Aerospace. With shares at $11.02, the valuation remains compelling.

FTG Circuits produces high-reliability printed circuit boards (PCBs), essential components for aviation, defence, and space applications. PCBs remain the company’s core business and the foundation for mounting computer chips. FTG Aerospace complements this by designing and manufacturing avionic subsystem hardware used in both flight and simulation systems across commercial and defence platforms.

A pivotal move came in December 2024 when FTG acquired FLYHT, a major provider of aerospace and defence electronics. This acquisition boosts FTG’s position in the commercial aerospace aftermarket and supports its long-term goal of becoming a dominant force in both PCB and aerospace electronics markets.

For the first nine months of 2025, revenue rose 19.2% to $139.3 million, while adjusted earnings jumped 54.2% to $9.8 million. The company also reported a backlog of $137.1 million — up 12% from the previous year — underscoring strong forward demand.

CEO Brad Bourne remains optimistic, citing broad strength across all markets and no material impact from U.S. tariffs so far. Management’s long-term ambitions are clear: compound annual growth of 15%, double the business every five years through organic expansion and acquisitions, and maintain a debt-to-EBITDA ratio under 1:1.

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Magellan Aerospace: Strong Backlog and Long-Term Visibility

Magellan Aerospace, nearly twice the size of Firan, has also been a standout performer with an 80.7% gain this year. The stock currently trades at $18.05 and offers a modest 1.2% dividend.

The company serves global aircraft manufacturers, engine makers, and space agencies. Its capabilities span designing, engineering, and manufacturing aeroengine and aerostructure components, as well as providing repair and overhaul services for engines and related systems.

In the first half of 2025, revenue grew 6.8% to $510.7 million, while net income increased 17.7% to $16.2 million. Beyond solid financials, Magellan’s strength lies in its robust long-term revenue visibility.

Recent achievements include new manufacturing program awards, multiple contract extensions, and renewed legacy agreements with Pratt & Whitney Canada. Additionally, Magellan’s Revenue Sharing Agreement with GE Aerospace will see the company supply F414 engine frames over the next seven years, enhancing its multi-year backlog.

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Looking Ahead

Industry analysts expect aerospace growth to continue into 2026 and beyond. With their distinct strengths — FTG’s PCB and electronics leadership and Magellan’s deep customer relationships and long-term contracts — both of these Canadian aerospace stocks are well-positioned to benefit from that momentum.